Allowed

Canara Bank v. M/S Pattela Projects Pvt. Ltd.

DRT29 Apr 2025OA/254/2024

Case brief

AI extract

What is this about?

In an original application filed by Canara Bank for recovery of dues from two defendants, the Defendants did not file a written statement, adduce evidence, or appear for arguments. The Tribunal held the bank's evidence unchallenged, allowing the claim, awarding recovery with interest, and granting costs.

What did the court decide?

Defendants liable to pay Rs. 1,02,34,656.98 with interest @8.90% simple from application date; secured by hypothecated BMW Car; bank entitled to proceed against person and properties and costs.

Canara Bank versus M/S Pattela Projects Pvt. Ltd. — Contract and Commercial Disputes | DRT (2025)

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IN THE DEBTS RECOVERY TRIBUNAL-II AT HYDEMBAD DATED THIS THE 29I'I DAY OF APRIL, 2025

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PRESENT: SH. RAMESHWAR KoTHE, B.com, L.LB. (Hons.), M.A. PRESIDING OFFICER

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ORIGINALAPPLICATION NO. 254 OF 2024

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Between:

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Canara Bank Jubilee-II Branch Road No.70 Journalist Colony Andhra Jyothi Lane Jubilee Hilts Hyderabad-500033. Rep by its Authorised Officer,

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....Applica nt.

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And

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M/s. Pattela Projects pvt. Ltd. (M/s. Sri Varna Water Tech pvt. Ltd.) 54-L8-U4 Bharath Gas Lane Opposite ITI Coltege Prasanthinagar, VUayawada-500028.

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Also at:

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Plot No.592, Ftat No.305 N S Mountain View Apartments Arora Colony, Road No.3 Banjara Hills, Hyderabad-34.

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Pattela Srinivas Gautham S/o Pattela Venkata Narasimha Rao Age: Major, Occ: Business H. No. 8-2-269l2/F/58 & 11/305 Mountain View Apartments Arora Colony, Road No.3 Banjara Hills, Hyderabad-34.

..... Defendants.

0b,..$.f

oa.25412024

Counsel for Applicant Defendants

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Mr. Manav Gecil Thomas. No representation.

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:3 ORDER^::

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The Applicant Bank filed the^{present OA for the recovery of a} sum of Rs.1,02,34,656.98Ps^{jointly and severallyfrom the} defendants with future^{interest @36010per annumfrom} 04.O5.2024 till the date of^{realisation along with costs and sale} OA schedule Car.

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The averments of applicant^{bankas per the OA, briefly, are that} defendant No.1 is a^{privatelimited Company and defendant} No.2 is its Director and^{guarantor to the loans availedby 1st} defendant Company. The^{1st defendantavaileda loan of} Rs.99,99,000/- for^purchase of^{BMW Car to be repayable in 84} EMIS with a minimum^interest of 8,90%^{p.a. The vehicle was} hypothecated as a security for the loan'^{Defendant No'2} representing defendant No.1^{executedall the requisiteloan} documents dated 17.08.2017.^{The loan was restructured during} Covid.19 pandemic. Defendants acknowledged^{the debt for an} amount of Rs.78,97,899.92Ps as on^{11.10.2022 exclusiveof} interest from 77.05.2027 @7.95o/o Per annum^compounded monthly. Defendants account was classified as NPA on 23.O2.2023, followed by recall notice dated 23.04.2024. Since the defendants have not discharged the liability,^present OA is filed.

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Defendants entered appearance through Advocate, Mr, T. Vijay Kumar, but did not choose to file written statement, Hence fuitt;

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0A.2s412024

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defendants right of filing written statement was forfeited vide docket order dated 25.77.2024.

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Applicant Bank examined Nibedita Mohanty, Senior Manager as AW-1 and marked 13 documents through him as Ex. A.1 to Ex. A.13.

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Defendants right to adduce evidence was forfeited on 1 1.03.2025.

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Heard learned counsel appearing for the applicant. Defendants right of arguments forfeited vide docket order dated 08.04.2025. Perused the material placed on record.

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Learned counsel appearing for the applicant submits that defendants did not pursue the case either by filing written statement or adducing evidence or advancing arguments. Therefore, applicant bank is entitled to the OA claim in view of evidence affidavit of AW,1 coupled with recitals in Exhibits A.1 to A.13. Accordingly, learned counsel prayed for allowing the OA claim in favour of the applicant bank and against the defendants.

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The point that arises for consideration is:-

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Whether the Applicant Bank is enti ed for the OA claim against the Defendants and OA schedule hypothecated vehicle?

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As stated supra, defendants did not choose to pursue the case. Under such circumstances, the Evidence Affldavit of AW.l coupled with the recitals in documents viz., Exs.A.l to A.13 /b-^tf

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a'$"

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oa.2s4l2o24

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marked on behalf of the Applicant^{Bank remains unchallenged} and un-rebutted. Accordingly, applicant^{bank cinches claim} against the Defendants.^Hence I^{hold that defendants 1 and 2} are liable to^pay the claim^made by^{the ApplicantBankin the} O.A. with future interest and^costs.

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In the result. the^present original^{ApplicationNo.25412024is} allowed as under:^-

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i) defendants 1 and 2 are llable to^{pay a sum of} Rs.1,02,34,656.98Ps to the applicant^bank with future interest @8.900/0^{per annum} simple from the date of^{applicationtill the} date of realization;

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ii) the OA claim is secured bY^{way of} hypothecation of BMW Car described in^the schedule annexed to the OA and^the applicant bank is entitled to^{proceed against} the same for recovery of its debt;

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iii) the applicant bank is also^entitled to^proceed against the person and^properties of^the defendants for realization of^its dues;^and

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iv) the applicant bank is entitled for the^costs.

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The Applicant Bank is directed to^file cost^{Memo within2 weeks} from the date of receipt of this Orderewo\rE

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oA.2s4l2O24

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Issue Recovery Certificate accordingly.

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Communicate a copy of this order to the parties concerned and

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upload on Web portal.

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[]'i?fili .|ffiT.no' signed and pronounced bv me in the open coxrt on this the 2e6

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,''5ry6o**

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(RAr{ESHWAR KorHE) PRESIDING OFFICER

Canara Bank v. M/S Pattela Projects Pvt. Ltd.

Case brief

What is this about?

What did the court decide?

Canara Bank v. M/S Pattela Projects Pvt. Ltd.

Case brief

What is this about?

What did the court decide?

What the court decided

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