Allowed

Union Bank of India v. M/S. S S Equipments

DRT7 Apr 2025OA/145/2024

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the applicant bank's appeal for recovery of a loan from two proprietors of M/s. SS equipments. The bank established its claim through self-examination and documentary evidence submitted ex-parte. The Tribunal ordered payment of the principal plus future interest and authorized proceedings against hypothecated machinery and respondent properties.

What did the court decide?

Recovery of Rs. 39,86,994.50 plus future interest at 14.50% p.a., costs, and authority to proceed against hypothecated machinery and respondent properties. Recovery certificate issued.

Union Bank of India versus M/S. S S Equipments — Specific Performance | DRT (2025)

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IN THE DEBTS RECOVERY TRIBUNAL-I AT HYDERABAD

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DATED THrS THE TTHDAY OF APRTL, 2025

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PRESENT: SRI GUMMADI GoPIcHAND, PRESIDING oFFIcER

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OA.No.145 ol 2024

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Between:

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Union bank of India, (E-Andhra Bank), Gandhichowk, Khammam -2 branch, Khammam district, Telangana state. Rep by its Branch Manager

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Applicant

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VERSUS

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M/s. SS equipments, Represented by its Proprietor Sale Srichandana, 15-9-230, Road no.9, Kaviraj naga r, Khammam - 507 002. TS.

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Mrs. Sale Srichandana w/o Rambabu, Prop of M/s. SS equipments, d/o Vijay Sale. Aged about 30 years, R/o Pocharam village, Kusumandchimanda l, Khammam district - 507 163.

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Defendants

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Counsel for the Parties:

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For the Applicant eshpally lhansi Rani For the Defendants % * .\ r,^07APB206 : ,-f r, .v:i:. "r W***9

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(oA.No.145 /2024)

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ORDER

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The Applicant Bank filed the present OA against Defendants for recovery of a total sum of Rs.39,g6,994.5ops (Rupees Thirty Nine Lakhs Eighty Six Thousand Nine Hundred Ninety four and paise Fifty only) with current and future interest @ !4,soo/o p.a from date of filing of OA till the date of realization and in default for sale of hypothecated machinery as mentioned in the schedule to OA.

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As per the averments in the application, the Applicant Bank states that defendant No.1 is a proprietary concern represented by defendant no.2 as its proprietrix availed term loan of Rs.60.00 lakhs on 29.04.2020 under Stand up India Scheme. The said loan facility was sanctioned against personal guarantee of defendant no.2 and on hypothecation of machinery. The defendants executed composite agreement, letter of access, consent letter dated 27.4.2020. After availing the loan facilities, the defendants failed to comply the terms of sanction, hence the applicant bank was constrained to classify the account as NPA on 14.8.2023 and issued recall notice dated 16.08.2023. Inspite of several requests and demands, the defendants did not clear the outstanding. Hence this oA.

on 24.03.2025.

(oA. N o.14sl2024 )

Sri GouthamAlexander, Chief Manager of the^{Applicant Bank} examined himself as AW.1 and exhibited^relevant documents,^which are marked as Ex.A.1 to A.10.

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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} entitled for the claim made in the OA against the^Defendantsas 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 relevant documents as^Ex.A1 to A.10.^{In view of} the above, I hold that the Applicant Bank^{has established their claim} 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:}

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The Defendants are^jointly and severally liable to^pay to the Applicant Bank a total sum of Rs.39,86,994.50ps⁽ Rupees Thirty Nine Lakhs Eig sand Nine Hundred Ninety four and

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paise Fifty nd future interest @ 14.50o/o P.a from date thne or of rea lization.

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(oA. No.14sl2024)

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The Applicant bank is entitled to proceed against the hypothecated movables/ machinery as mentioned in the schedule to OA towards realization of the debt due;

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The Applicant Bank is also entitled to proceed against the person and properties of defendant No.2 and properties of defendant no.1 firm towards realization of the debt due.

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The Applicant Bank is entitled 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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14, 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 thrs the 7th day of Aprit, 2025)

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sdl_ (G. GOPTCHAND) PRESIDING OFFICER

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TRUE COPY

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*offi-,, ORT-I,HyIr]EFJ,BAC.

Union Bank of India v. M/S. S S Equipments

Case brief

What is this about?

What did the court decide?

Union Bank of India v. M/S. S S Equipments

Case brief

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What did the court decide?

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