Allowed

State Bank of India v. M/S. Sri Balaji Industries

DRT11 Aug 2025OA/103/2025

Case brief

AI extract

What is this about?

In this Original Application, the State Bank of India sought recovery of Rs. 26.44 lakhs incurred by M/s. Sri Balaji Industries, where partners Mrs. Daravath Nikitha and Mr. Daravath Soma failed to meet NPA classification terms. Upon a prima facie examination of submitted documents and the respondent's absence, the Presiding Officer held the bank established its claim and allowed the application.

What did the court decide?

The Original Application is allowed. Defendants to jointly and severally pay Rs. 26,44,414 with future interest from date of filing. Recovery certificate issued against person and properties of respondents.

State Bank of India versus M/S. Sri Balaji… — Contract and Commercial Disputes | DRT (2025)

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7IN THE DEBTS RECOVERYTRIBUNAL-I AT HYDERABAD DATED THIS THE 11TH DAY OF AUGUST,2025

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PRESENT: SRI GUMMADI GOPIcHAND, PRESIDING oFFIcER

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OA.No.1O3 OF 2025

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Between:

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State Bank of India, Stressed Assets Recovery Branch, (SARB-2) L-B-563/t, 1st floor, Opp Sandhya Theatre, RTC X roads, Chikkadpally, Hyderabad Represented by its Chief Manager

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Applicant

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VERSUS

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M/s. Sri Balaji Industries, Represented by its partners Mrs. DaravathNikitha and MrsDaravath Soma, R/o D.No.7-B-t72/ t, goutham Nagar, Ferozguda, Balanagar, Medchal - Malkajgiridist- 500 011.

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Mrs. DaravathNikitha,
w/o Mr. DaravathSomaraj, aged
about 40 years, occ: partner of
M/s. Sri Balaji Industries,
R/o D.No.7-B-2 l3,goutham
Nagar, Ferozguda, Balanagar,
Medchal - Malkajgiridist- 500 042.
,r';**
3. Mr. Daravath soma, ,'ii*''' t' ,it
s/o Sri Bhadru, aged about JB i'ears, t..,.i
occ: partner Ri:' Sifi:,":.:: of M/s. Sri fj:' "Aa jJl,.:fl.?'j,. Balaiitndustries,-.- d' T'f ?uc ma
Na ga r, Ferozg uOa, ta na geil.,,f;.
da nts
Medchat - Matkajgiridist- SO\tt|,ft..... ^6
sjxrt&

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(OA.No. 103/ 202s)

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Counsel for the Parties: For the Applicant For the Defendants

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Sri Ch. Dayakar Rao Expa rte

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ORDER

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1' The Applicant Bank filed the present oA against Defendants for recovery of a total sum of Rs.26,44,4L4l- (Rupees Twenty Six Lakhs Forty Four Thousand Four Hundred and fourteen only) with future interest @ 13.25olo p.a From date of filing of oA till the date of realization.

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As per the averments in the application, the Applicant Bank states that Defendant no.1 is a firm represented by its partners/ defendants 2 & 3 availed working capital limit for a sum of Rs.24.00 lakhs and executed agreement of roan cum hypothecation dated 16.08.2018. The defendants also avaired advances to sME segment for a sum of Rs.4,88,000/- on 16.07.2020 and executed necessary documents in favour of Applicant bank. After availing the ioan facility, the defendants failed to comply the terms of sanction, hence the applicant bank classified the account as NpA and issued legal notice dated 06.01.2025. lnepffii"of of s revegal requests and demands, the ,^-{r.'-ii; . i, a derendantsotonorT$#;ff"'";W,;;d&\rencethisoA. (}'b 3. Defenda nts ca tte{l epsendafr4ggt pTpa rt t4.07.2025. rlt ir r<I

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(oA.No. 103/ 202s)

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4' sri sarojMishra, Manager of the Appricant Bank examined himserf as AW.1 and exhibited rerevant documents, which are marked as Ex.A.1 to A.12.

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Heard the Ld. Counsel for the Applicant Bank.

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

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

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Defendants remained exparte. To substantiate the case of the Applicant Bank, AW.1, official of the Applicant Bank was examined and he exhibited rerevant documents as Ex.A1 to A.12. In view of the above, I hord that the Appricant Bank has estabrished their craim made in the oA against the Defendants and hence the Applicant Bank is entitled to recover the claim made in the oA with future interest and costs.

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B. In the result, the present OA is allowed with costs, as under: The Defendants are jointry and severaily riabre to pay to the Appricant Bank a total sum of Rs.26,44,4L4/- (Rupees Twenty Six Lakhs

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Forty Fou Four Hundred and fourteen only) with futu re from date of filing of OA till the date of = kation^11NgM e,-b,$#

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(oA.No. 103/ 202s)

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The Applicant Bank is also entifled to proceed against the person and properties of defendants towards realization of the debt due.

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

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

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Issue Recovery certificate accordingly.

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Communicate a copy of the order to the parties concerned.

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(Dictated to the P.A., transcribed by her, corrected, signed and pronounced by me in the open court on this the 11th day ofAug, 2025)

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sd/(G. GOPTCHAND) PRESIDING OFFICER

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¶33

TRUE SO
ART"I, ^*r.Ml HYEEP.AEAD 1

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State Bank of India v. M/S. Sri Balaji Industries

Case brief

What is this about?

What did the court decide?

State Bank of India v. M/S. Sri Balaji Industries

Case brief

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