Allowed

State Bank of India v. M/S. Sri Vani Educational Society

DRT13 Jun 2025OA/246/2023

Case brief

AI extract

What is this about?

The Tribunal adjudicated an OAST filed by State Bank of India for recovery of dues. It held that the bank established its claim and awarded recovery of principal amounts with future interest, costs, and authority to proceed against hypothecated/mortgaged properties.

What did the court decide?

Applicant awarded Rs.1,64,35,702 with 17.25% p.a. interest, costs, and right to proceed against mortgaged/hypothecated properties.

State Bank of India versus M/S. Sri Vani Educational Society — Execution and Attachment | DRT (2025)

¶1

IN THE DEBTS RECOVERY TRIBUNAL-I^{AT HYDERABAD} DATED THIS THE 13TH DAY OF JUNE, 2025

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PRESENT: SRI GUMMADI GOPICHAND,^{PRESIDING OFFICER} OA.No.246 ot 2023

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Between:

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State Bank of India, Stressed Assets Recovery Branch, Bus Terminal complex, Koti, Hyderabad - 500 095. Represented by its Chief Manager

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Applicant

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VERSUS

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1, M/s. Sri Vani Educational Society, Represented by its President, Chevuturu Gram panchayat, G. Konduru Mandal, Krishna dist

¶8

A.P. - 52t 299.

¶9

Sri DoddaMutyam, s/o Sri Anandaiah, H.No.2-28, Koppenakuntla, Penuballimandal, Khammam - 507 302.

¶10

3, Sri AkkinapalliVenkappaCharyu lu, s/o Sri Seetaramaiah,

¶11

H.No. 17-173, Ashok nagar,

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Tiruvuru - 521 235, Krishna dist.

¶13

Sri Kollivenkata Ravi Kumar, s/o Sri Kolli Krishna Murthy, H.No.7-66, flat no.303, Ki Plaza, Nacharam road, Ngfh Factory centre, nabsigu/A1*';' Hyderabad - 500 007

¶14

Also at

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(OA. No.2461202 3)

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	D.No.2-17-54l1,SriSai^Shanthi Nilayam,Near Kanaka Durga^temPle, SBHcolony, Uppal,^RangareddY District-500039.
5.	Sri MarigantiVenkata^{KrishnaMohan,} s/oSri Appalachary^Mariganti, H.No.3-5-1083,Narayanaguda Keshava Memorial High^School, Narayanaguda,Himayathnagar-^500029. Hyderabad.
6.	SmtKolliBhaskralyothi, W/o Sri KolliVenkata^{Ravi Kumar,} D.No.2-17-54l1,SriSai^Shanthi Nilayam,Near Kanaka^{Durga temPle,} SBHcolony,UPPal,^Rangareddy District-500039.
7,	Sri TVKD Prasad, H.No.6-9711Patha CPI^officeroad, NadimiTiruvuru,Krishna^dist-521235.
B.	SriP.Nageswara^Rao, Millenium school,SathuPallYPost Andmandal, Khammam^dist-507303.
9.	Sri.P.Venkateswara^Rao, s/oSriViswanatham,^D.No.1-85, Koppenakuntla,^{Penuballimandal,} Kharnmam-507 302.
10.	Sri J.Sivalinga^Prasad, S/o Satyanarayana^D.No.1-47, Bypassroad, Tiruvuru, Krishnadist-521^235'
11.	SriD.SrinivasaRao, H.No.7-54,laiHind^{RiceMillRoad,} Tiruvuru,Krishnadist-
t2.	SriK.Venkatesw H.No.14-78l1, ffiis;tu<br> No.15,sathuPal
	J^{1I JUiiiil?5}; Q**^,"-# ,

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(oA. No.24612023 )

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13.	SriM. PrabhakaraReddy, H.No.16-198, Nethajiroad, Ayyagaripeta, ward-9, Sathupally,Khammam-507303.
14.	Sri Ch. MadhusudhanaRao, H.No.9-7-107, wardno.9, Blockno.7,Kasaba bazar, Vallalavaniveedhi,khamma (urban),Khammam-507001.
15.	Sri K.Raghavendrarao,(Expired) H.No.7-31,Ramalayamstreet, Mustabad(Post)Gannavaram, Krishnadist-521107.
16.	Smt K.RatnaKumari, H.no.1-B-639/4OL,AlekyaApartments, Nallakunta,Hyderabad-500044.
L7.	SriS.Satyanarayana, H.No.4-1-54l2,wardno.1, JagadambaTakisuArea, Yellandu(M),Khammam-507123.
18.	SriJ.Muralikrishna, H.No.22-23,Bypass road, Nadimi,Tiruvuru,Krishnadist-521235.
19.	SriCh.Krishnaiah, H.No.2-63, KlapatharuRoad, Ayyagaripeta,Sathupally, Khammam-507303.
20.	SmtN.Ambika, W/oChalapathiRao, 10-9-1l-34/72,Siddharthanagar, Acharya RangaNagar, Krishnadist-500030.
21. 22.	SriM. Ramakrishna, H.no.4-88la,Vemireddypally, Vissannapet, Krishnadist-521/t SriN.SrinivasaRao, H.No.2-232/A, kalluru,Sath Khammamdist-507209. JUri2025^* Y .S .--.i;rf'7t ,,iijl ..-......... 13

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lOA.No.246/2023)

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Also at

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	D.No.B-5/6,OppSChostel, Kallurupost,Khammamdist-507 209.
23.	SriE.SubramanyeshwaraRao, H.No.17-173, AshokNagar, Tiruvuru-521 235.
24.	SriTakellapathiVenkatadurgaPrasad, s/oSriPurna ChandraRao T, H.No.6-43/12,Bhagyarekha residency, Devinenivaristreet,Gollapudi, Krishna dist-527225.
1tr	SriKominenividyaSagar, s/o sriNarayana, H.no.21-51, shantinagar, Nearfactorycentre, Tiruvur,Krishnadist -521235.	Defendants

¶22

Counselfor theParties:
FortheApplicant	SriC,Prabhakar
FortheDefendantsNo.1to4,
5,6,7&.25	SriJeevanJanjirala
DefsB-12,1,3,1,7to19,27to23	Sri BharadwajReddytvlothe
DefendantsNo.16, 20,24	ex^parte

¶23

ORDER

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The Applicant Bank filed the present OA against Defendants for recovery of a total sum of Rs.|,64,35,7O2l- (Rupees One Crore

¶25

Sixty Four La Thousand Seven Hundred and :^{1t runms}

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(oA.No.2a612023 )

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a) A sum of Rs.1,41,78,352/- under loan^account no.40604413357 with further interest @^{17.25o/op.a with} monthly rests from date of filing of OA till^{the date of} realization;

¶28

b) A sum of Rs.22,57,350/- under loan account^{no.40605061924} with further interest @ 17.25o/o^p.a with monthly^restsfrom date of filing of OA tlll the date of realization; and

¶29

and in default for sale of hypothecated^movables XV,,

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mortgaged properties as mentioned in the^{schedule"I To} to OA.

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As per the averments in the application,^{the Applicant Bank states} that defendant no.1 is^{the principal borrower, defendants no' 2 to 25} are^{personal guarantorsand defendantsno. 1 to 6 & B to 19, 22 to} 24 are mortgagors. The defendants^{availed cash credit of Rs'100'00} lakhs and term loan of^{Rs.900.00lakhs vide letter oF arrangement} dated 20.05.2010.^{To secure due repaymentof aforesaidloan} facilities, the defendant^{no.1 executed agreementof loancum} hypothecation dated 20.05.2010.^{The defendantsno. 2 to 23 jointly} executed^guarantee agreement^{and createdequitable mortgage by} way of de o""a nol+teo/2ooa dated^15.12.2008in perty-II. Defendants 4 & 12^jointly

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creat hedule property-Ill.^Defendants11 &13 J"*J &,'l|ltE4"*i in respect of schedule ProPerty^IV, ..Altll. --^5, .+

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(oA.No.2461202 3 )

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Defendants 14 & 2 created equitable mortgage of schedule property V. Defendants 15 & 16 created mortgage of schedule property VI and defendants no.17 &5 created mortgage of schedule property - VII. Defendants no.4,9 & B created mortgage of schedule property VIII and defendants no.4 7 24 created mortgage of schedule property IX. Defendants 10,18& 19 created mortgage of schedule property - X and defendants 6 & 23 created mortgage of schedule property XI. Defendants 24,3 & 22 created mortgage of schedule property XII, XIII, XIV and XV. After availing the loan facilities, the defendants failed to comply the terms of sanction, hence the applicant bank classified the account as NPA and legal notice was issued on 08.08.2023. Inspite oF several requests and demands, the defendants did not clear the outstanding. Hence this OA.

¶35

Counsel for Defendants No.1 to 74,77 to 19,21 to 23 and 25 filed vakalaths but failed to file WS.Defendants no.16,20 and 24 were called absent and set exparte on 01.05,2024. Defendant no.15 expired and hence the claim against D.15 was abated.

¶36

Smt K. GeethaLakshmi, Manager of the Applicant Bank examined

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herself as AW ibited re leva nt documents, which are marked AS 5. Heard t nt Bank. jo-.f5'S,f"/ifp" ot vro. hJ. W,.-W

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(oA.No.24612023 )

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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 Defendants as prayed for?

¶40

Counsel for Defendants No.1 to 74, 17 to 19,21 to 23 and 25 filed vakalaths but failed to file WS. Defendants no.16,20 and 24 were called absent and set exparte on 01.05.2024. Defendant no.15 expired and hence the claim against D.15 was abated. 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.71. 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.

¶41

B. in the result, the^present OA is allowed with costs, as under: The Defendants No.1 to 14, 16 to 25 are jointly and severally liable to pay to the Applicant Bank a total sum of Rs.1,64,35,702/(Rupees One Crore Sixty Four Lakhs Thirty Five Thousand Seven Hundred and two only) i.e,,

¶42

a)A sum of Rs.1,47,78,352/- under loan account with further interest @ 77.25o/o p. a from ll the date of realization ;

¶43

j 1t rttrtzszs a r.ra^,'

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(oA.No.246/2023)

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b) A sum of Rs.22,57,350/- under^{loan account} no.40605061924 with further^interest @^17.25o/o 9'a^from date of filing of OA till the^{date of realization;}

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g. The Applicant bank is entitled to proceed against the hypothecated andmortgagedpropertiesasmentionedintheschedule"ItoXV"to OA towards realization^{of the debt due;}

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The Applicant^{Bankis also entitled to proceedagainstthe person} and^properties of^{defendant No. 2 to 14 and 16 to 25 and properties} of defendants^{no.1 firm towards realization of the debt due'}

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The Applicant^{Bankis entitledto 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.}

¶50

Issue Recovery^{certificate accordingly'}

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Communicate^{a copy of the order to the parties concerned'}

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(Drctated to the P A., transcribed^{by her, corrected'signedand pronouncedby mein the opencourton} this the 13th^lune,2025)

¶53

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¶54

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(G. GOPICHAND)
PRESIDING OFFICER
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State Bank of India v. M/S. Sri Vani Educational Society

Case brief

What is this about?

What did the court decide?

State Bank of India v. M/S. Sri Vani Educational Society

Case brief

What is this about?

What did the court decide?

What the court decided

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Issues for consideration

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