Allowed

Union Bank of India v. M/S. Maruthi Agencies

DRT30 Jan 2024OA/95/2023

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal-I at Hyderabad allowed an Original Application filed by Union Bank of India for recovery of Rs. 40,39,501/- with interest, holding the defendants liable to pay the sum, interest, costs, and directing the issuance of a Recovery Certificate.

What did the court decide?

Applicant Bank awarded Rs. 40,39,501/- with interest @ 14.75% p.a.; Recovery Certificate issued; Defendants hold jointly and severally liable.

Union Bank of India versus M/S. Maruthi Agencies — Banking and Recovery | DRT (2024)

¶1

IN THE DEBTS RECOVERYTRIBUNAL-I AT HYDERABAD DATED THIS THE 3OTH DAY OF JANUARY' 2024

¶2

PRESENT: SRI GUMMADI GOPICHAND, PRESIDING OFFICER OA.No.95 ot 2023

¶3

Between:

¶4

Union Bank of India, Suryapet branch, D.No.1-2-17, main road, Suryapet, Telangana - 508 213. Represented by its branch Manager

¶5

Applicant

¶6

VERSUS

¶7

M/s. Maruthi Agencies, Represented by its^proprietor, D.No.1-2-270 /170/3, KudaKuda road, Suryapet, Suryapet district,

¶8

Telangana - 508 213.

¶9

Mr. Y. Ravindar Reddy, s/o Y. Amrutha Reddy, aged about 57 years, male, occ: business ( proprietor of M/s. Maruthi Agencies) R/o H.No. 1-6-L4t/2/9/ t, Vidyanagar, suryapet town, Suryapet district, Telangana - 508 213.

¶10

3, Srl T. Vaikuntachari, s/o Sri T. Narasaiah, aged about 56 years,

¶11

occ: employee, R/o H.No.4-3 loyapally, Suryapet town, suryapet district, Telangana - 508 213.

¶12

i./ ,t,
trF
*
I 0 ,iirl 202t
Defendants

¶13

Counsel for the Parties:

¶14

For the Applicant

¶15

Smt. Keshpally Jhansi Rani

(OA.No.9s12023)

For the Defendants

: Exparte

ORDER

1' The Appricant Bank fired the present oA against Defendants for recovery of a total sum of Rs.4O,3g,5O1/- (Rupees Forty Lakhs Thirty Eight thousand Five hundred and one onty) with current and Future interest @ I4.75o/o p.a with monthly rests from date of firing of oA ti, the date of rearization and in defaurt for sare of mortgaged property as described in the schedule to OA.

¶21

As per the averments in the application, the Applicant Bank states that defendant No.1 is a proprietary concern represented by its Proprietor defendant no,2 availed OCC loan facility of Rs.30.00 lakhs. The defendants 2 & 3 stood as guarantors / co_obligants for the loan avaired by defendant no.1. The defendants executed demand promissory note for a sum of Rs.30.00 lakhs, letter of access, general form of guarantee etc. The defendants also availed UGECL facility of Rs.6.00 lakhs on 30.t2.2020 to meet liquidity crunch and cash flow. To secure the due repayment of loan, the defendant no.1 executed regd memorandum of deposit of tiUe deeds vide doc.No.g659 of 2018 more fully described in the schedule to OA. After availing the loan facility, the defendants failed the terms of sanction, hence the applicant bank was the account as NpA on 30.04.2021 and d .09.202t. Inspite of Ji.d ?02t

¶22

(oA.No.9s/2023)

¶23

several requests and demands, the defendants did not crear the outstanding. Hence this OA.

¶24

Defendants No.1 to 3 cailed absent and set exparte on 1g,09.2023.

¶25

Shri P. V. Suresh Babu, Chief Manager of the Applicant Bank examined herserf as AW.1 and exhibited rerevant documents, which are marked as Ex.A.1 to A.29.

¶26

Heard the Ld. Counsel for the Applicant Bank.

¶27

The point that arise for consideration is whether the Applicant Bank is

¶28

entitled for the claim made in the OA against the Defendants as

¶29

prayed for?

¶30

7' Defendants cafled absent and set exparte. To substantiate the case of the Applicant Bank, AW.1, official of the Applicant Bank was examined and she exhibited relevant documents as Ex.A1 to A.29. In view of the above, I hold that the Applicant Bank has established their claim made in the OA and hence the Applicant Bank is entitled to n the OA with future interest and costs. * * lo JilN t3 I r{1 :.,'(i B. In the result, the present OA with costs, as

¶31

(oA.No.ssl2023)

¶32

The Defendants are joinily and severally liable to pay to the Applicant Bank a total sum of Rs.4O,3g,SOL/- (Rupees Forty Lakhs Thirty Eight thousand Five hundred and one only) with current and future interest @ t4.750/o p.afrom date of filing of oA till realization.

¶33

The Applicant bank is entiUed to proceed against the mortgaged property as described in the schedule to oA towards realization of the debt due.

¶34

11' the Applicant Bank is arso entitled to proceed against the person and properties of defendant No.2 & 3 and properties of defendant no.1 firm towards realization of the debt due.

¶35

The Applicant Bank is entifled to the costs of the OA.

¶36

The Applicant shall file a cost memo within two weeks from the date of receipt of order.

¶37

Issue Recovery ceftificate accordingly,

¶38

Communicate a copy of the order to the parties concerned.

¶39

P.A., transcribed by her, corrected, signed and pronounced by me in the open :10"'^{day of )an'2o24)}

¶40

sd/::w (G. GOPTCHAND) PRESIDING OFF]CER

Union Bank of India v. M/S. Maruthi Agencies

Case brief

What is this about?

What did the court decide?

Union Bank of India v. M/S. Maruthi Agencies

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Parties & counsel

Coram

Case details

Similar cases

Indian Overseas Bank, versus M/S. Anusha Industries

Indian Overseas Bank versus M/S. D.J. Mining Equipment

State Bank of India versus Sri Bandarapu Ramesh

Union Bank of India versus M/S. Krishna Plywood

State Bank of India versus Mohammed Hamed Ali

Masiya Afreen versus Can Fin Homes Ltd.