Allowed

Karnataka Bank Ltd. v. M/S. Brahmaputra Hybrid Seeds Pvt. Ltd.

DRT23 Apr 2025OA/313/2024

Case brief

AI extract

What is this about?

In an original application for recovery of a defaulting loan, the Debt Recovery Tribunal allowed the Applicant Bank's claim as the defendants remained in ex-parte. The bank was granted a recovery certificate and the right to proceed against hypothecated properties.

What did the court decide?

Adjudged the defendants jointly and severally liable to pay Rs. 8,91,46,747.96 with interest at 16.50% per annum. Issued a recovery certificate and directed the bank to proceed against mortgaged prope

Karnataka Bank Ltd. versus M/S. Brahmaputra Hybrid… — Contract and Commercial Disputes | DRT (2025)

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IN THE DEBTS RECOVERY TRIBUNAL-I AT HYDERABAD

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DATED THrS THE 23RD DAY OF APRTL, 2025

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PRESENT: SRI GUMMADI GOPICHAND, PRESIDING OFFICER

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OA.No.313 of 2024

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Between:

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Karnataka Bank ltd, Branch office at ground floor, Beside pillar no.210, MQ SPlendour Complex, Rajender Nagar, Rangareddy district, TS. Rep by its GPA holder Sri Omar Saheb

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Applicant

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VERSUS

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M/s. Brahmaputra Hybrid seeds Pvt Ltd, Represented by its directors H.No. 1 1-13-662,^plot no.4, Road no.4, Haripuri colony, Hyderabad, TS - 500 035.

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Sri ChinnasubbanagariVenkata Rama Mohan, S/o Chenna Rami Reddy, aged about 55^years, Occ: business, R/o H.No.^{1 2-7 -134/ LtB,} Anja neya naga r, Moosa Pet, Balanagarmandal, Hyderabd -^1B Rangareddy district.

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Sri Eragam Reddy Subramanyam^Reddy, S/o Eragam Reddy Muni^ReddY, Aged about 70^year, occ: busifl€1.9,.,.,,,,,. ,. --... R/o MIG 414, A2, Road^{no.4,..u"'":n'::-...-.} 'r" .,'t"'o. KPHB colony, Kukatpally, .'-.-";',1,i".'tt,',,",....t4,* Hyderabad - 500 072, R.R. dist.^{'' ')} i"i' "''.',.'it,r-, -q] ;"'i # "l',0 ji . i,, ,1,^{,, ? 3 fif,R} m5^{n' il}

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(oA. No.313/2024)

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Sri Yellom raju Ra m^prasad Raju, s/o Krishnam Raju, aged about 51^years, R/o H.No.4- 1 15/3011 A, VijethaPrameela Pride Apartments, Near Rajdhani theatre, Durganagar, Dilsukhnagar, Hyderabad - 48. Ranga Reddy district.^....

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Defendants

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Counsel for the Parties:

For the Applicant

For the Defendants

Sri N. Rama Rao

Exparte

ORDER

The Applicant Bank filed the^{present OA against Defendants for} recovery of a total sum of Rs.8,9L,46,747.96ps^{(Rupees Eight} Crores Ninety One Lakhs^{Forty Six Thousand Seven hundred} forty seven and^paise ninety six^{only) with interest @ 16'50o/o} p.a with monthly rests from date of application^{tillthe date of} realization and in default for^sale of^{hypothecated and mortgaged} properties as mentioned in the schedule to^OA.

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As per the averments in the^{application, the Applicant Bankstates} that defendant No.1 is a^{Companyand defendants2 to 4 are its} directors who availed OD^{facilityof Rs'4,50,00,000/-on 12.04.2017'} The defendants executed^{various necessarydocuments'As a} primary security, the defendants hypothecated^{the stock in trade and} deposited the-':(iU,g deeds .9f^{scnefyf. mentionedpropertv. The} :'i-

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defendants cieated^{pq.Vit#l%Sortga$Qof immovable propertvin}

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(oA. No.313/2024)

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favour of Applicant bank. 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} 31.03.2019 and issued demand^{notice dated 09'08'2019.Inspite} of several requests and demands, the^{defendantsdid not clear the} outstanding. Hence this OA.

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Defendants remained exparte on^16.t2.2024.

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Sri D. Omar Saheb, Branch^{Manager of the ApplicantBank} examined himself as AW.1^{and exhibited relevantdocuments,which} are marked as Ex.A.1 to^A.34.

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Heard the Ld. Counsel^{for the Applicant Bank.}

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The^point that arise^{for consideration is whetherthe ApplicantBank is} entitled for the claim^{made in} the^{OA against the Defendantsas} prayed for?

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Defendants remained exparte.^{To substantiatethe case of the} Applicant Bank, AW.1, official of^{the Applicant Bank was examined} and he exhibited relevant^{documentsas Ex'A1 to A.34. In view of} the above, I hold that^{the Applicant Bank has established their claim} made in the OA aga 'endants and hence the Applicant Bank is entitled to re.oyer the^{claim made in the OA with futureinterest} . .. ., ''',

' : , ..,1

and costs.

(oA.No.313 12024)

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.8,91A6t747.96ps^(Rupees Eight Crores Ninety One Lakhs Forty Six Thousand Seven hundred forty seven and^paise ninety six only) with^interest @ 16.50% p.a from date of application till the date of^realization.

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The Applicant bank is entitled to^proceed against^{the hypothecated} and mortgaged^properties 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 againstthe person} and^properties of defendant No.2 to 4 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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t2. 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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L4. Communicate a copy of the order to the^{parties concerned.}

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(Dictated to the P.A., transcribed by her'icorrected, signed and^{pronouncedby mein the open courton} 2O2s)

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)3[PRm

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sd/ - (G. GOPTCHAND) PRESIDING OFFICER

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n#; ;itD?Fr.=siil'

Karnataka Bank Ltd. v. M/S. Brahmaputra Hybrid Seeds Pvt. Ltd.

Case brief

What is this about?

What did the court decide?

Karnataka Bank Ltd. v. M/S. Brahmaputra Hybrid Seeds Pvt. Ltd.

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Parties & counsel

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