Allowed

Union Bank of India v. M/S. Mallikarjuna Markets

DRT7 Oct 2025OA/293/2025

Case brief

AI extract

What is this about?

This order allows an Original Application filed by Union Bank of India against M/s Mallikarjuna Markets. The Tribunal held that the bank established its claim through documentary evidence since the defendant remained absent. The appeal/order was granted in favor of the bank, directing recovery of the principal sum along with future interest and costs, resulting in the issuance of a recovery certif

What did the court decide?

Allowed the OA; directed the Defendant to pay Rs. 26,12,372.73 with future interest at 9.25% p.a. from 03.06.2025; issued a Recovery Certificate.

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

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IN THE DEBTS RECOVERYTRIBUNAL-I AT HYDERABAD

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DATED THIS THE 7rH DAy OF OCTOBER,2025

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PRESENT: SRI GUMMADI GoPICHAND, PRESIDING OFFICER

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OA.No.293 ot 2O2S

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Between:

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Union Bank of India, Mehdipatnam branch, Ring road, l3-6-434/C/t39 & 138/1, Maruthi Mehdipatnam, Hyderabad.

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Represented by its Chief Manager

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Applicant

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VERSUS

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M/s, Mallikarjuna Markets, Represented by its^proprietor, Sri Pegada Srikanth^yadav, S/o Sri Pegada Lakshman

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Aged about 30 years, occ: business, Plot no.41, shop no.1,2,3 and 4 Sy.No.55, Dwaraka nagar, Bandlaguda Jagir, Hyderabad - 500 086.

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Also at

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C/o Late Pegada Laxman^yadav, 4-t-69, Kalikanagar colony, Opp LNR concept school, KV Rangareddy - 500 086.

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Defendant

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Counsel for the Pa For the Applicant ngeeta Jaiswal ,.+ For the Defendant E

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(oA.No.293l202sl

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ORDER

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The Applicant Bank filed the present OA against Defendant for recovery of a total sum of Rs.26112,372.73ps (Rupees Twenty six Lakhs Twelve Thousand Three Hundred seventy Two and paise Seventy Three only) with future interest @ tL.25o/o p.a inclusive 2o/o pendl interest from 03.06.2025 till the date of realization.

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2- As per the averments in the application, the Applicant Bank states that defendant availed working capital loan of Rs.25.00 lakhs on 12.02.2024. The loan amount is primarily secured by hypothecation of stocks and book debts and executed demand promissory note, hypothecation of book and debts agreement, letter of continuity, letter of undertaking etc. After availing the loan facility, the defendant failed to comply the terms of sanction, hence the applicant bank classified the account as NPA on 10.02.2025 and issued legal notice dated 10.06.2025. Inspite of several requests and demands, the defendant did not clear the outstanding. Hence this OA.

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Defendant called absent and set exparte on 21.08.2025.

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Sri Pramod Sin the Applicant Bank examined himself as AW.1 ments, which are marked as

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Ex.A.1 to

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(oA.No.293l202s)

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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 Defendant as prayed for?

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7' Defendant 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.1g. In view of the above, I hold that the Applicant Bank has established their claim made in the OA against the Defendant and hence the Applicant Bank is entitled to recover the claim made in the oA with future interest and costs.

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In the result, the present OA is allowed with costs, as under: The Defendant is liabre to pay to the Appricant Bank a totar sum of Rs,26,12,372.73ps (Rupees Twenty Six Lakhs Twelve Thousand Three Hundred Seventy Two and paise Seventy Three only) with future interest @ 9.25yo p.a from 03.06.2025 till the date of realization.

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The Applicant Bank is elsA entitled to proceed against the person and properties of .q,%endCilti.to\iiJ$f,*Rization of the debt due. ,,#' E,$.-\

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up\losts of the oA. 10. rhe Appticdhlaanff lig s ' i; figi,,f#. uL,l (t(d r*j "9' *,i \l

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(oA.No.293/202s)

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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 7th day of Oct, 2025)

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sd/(G. GOPTCHAND) PRESIDING OFFICER

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Union Bank of India v. M/S. Mallikarjuna Markets

Case brief

What is this about?

What did the court decide?

Union Bank of India v. M/S. Mallikarjuna Markets

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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