Allowed

Union Bank of India v. SP Engineering Industries

DRT17 Jan 2025OA/377/2024

Case brief

AI extract

What is this about?

In an ex-parte hearing, the tribunal allowed the bankruptcy recovery application filed by Union Bank of India against respondents for cash credit loan dues, holding them jointly and severally liable.

What did the court decide?

Defendants are jointly and severally liable to pay Rs. 50,85,265.86 with future interest; bank entitled to proceed against property and persons for realization.

Union Bank of India versus SP Engineering Industries — Banking and Recovery | DRT (2025)

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IN THE DEBTS RECOVERY TRIBUNAL.II AT HYDERABAD

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DATED THIS THE 17th DAY OF ]ANUARY, 2025

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PRESENT: SH. RAMESHWAR KOTHE, B.Com., L.LB. (Hons.), M.A.

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PRESIDING OFFICER

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ORIGINAL APPLICATION No: 377 OF 2024

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U nion Bank of India U lv'lEB lvla llapur Branch, Hyderabad. Rep. by its Branch Manager. .....Applica nt.

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Versus

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I4ls.S.P. Engineering Industries., Plot No.4/18/10, Road No.16, IDA Nacharam, Hyderabad - 500076.

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Mr. P. Ka ru na kar Reddy, S/o.P.Ramana Reddy, Plot No.104 and 105, Lake View Enclave, High Court Colony, Uppal, Hyderabad - 500062.

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Mr.G.Thirumala Reddy, S/o.G. Ravinder Reddy, H.No.2- 19-79 184, Plot No.84, Balaji Enclave, Kalyan puri, Uppal, Hyderabad - 500039.

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Mrs.P.Padma Reddy, W/o. P. Karunkar Reddy, Plot No.104 and 105, Lake View Enclave, H igh Court Colony, Uppal, Hyderabad - 500062.

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... Defenda nts

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Counsel for the Applicant : M/s.K.Murali Babu

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Defenda nts :Ex-parte 1Q^*

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oa.No.377 12024

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:: O-LD-LL ::

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The Applicant Bank filed the^present OA for the recovery a total sum of Rs.50,85,265.86ps as on 05.07.2024 under Cash Credit Loan from the defendants^jointly and severally with future interest @12.50yo p.a. with monthly rests from 06.07.2024 till the date of realization along with costs and in default for sale of OA schedule^property.

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Summons served on D1 to 4. They were set ex-parte on 07.77.2024 as called absent and no representation.

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The Applicant Bank examined K.C.Sreedhar, Chief Manager, as AW-1 and marked 15 documents through him as Ex. A.1 to Ex. A.15.

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Heard the Ld. Counsel for the Applicant Bank. Perused the material^placed on record.

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The^point that arises for consideration is:-

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Whether the Applicant Bank is entitled for the claim made in the OA against the Defendants and OA schedule property?

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As stated supra, the Defendants remained ex-parte. The Evidence Affidavit coupled with the recitals in the documents viz., Exs. A.1 to A.15 marked on behalf of the Applicant Bank clinches the claim of the Applicant Bank against the Defendants. Hence, I hold that the Defendants are^jointly and severally liable to pay the OA claim to the Applicant Bank witb future interest a nd costs. ?w*,q

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oA.NO.37712024

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In the result, the present Original Application No.377/2024 is allowed as under: -

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i) The Defendants are jointly and severally liable to pay to the Applicant Bank a sum of Rs.50,85,265.86ps as on 05,07.2024 under Cash Credit Loan with future interest @10.30olo^p.a. simple from the date of application till the date of realization;

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ii) the OA claim is secured by way of mortgage of property described in the schedule annexed to the OA and the applicant bank is entitled to proceed against the same to realise its debt;

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

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iv) the applicant bank is entitled for the costs.

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B. The Applicant Bank is directed to file Cost Memo within 2 weeks from the date of receipt of this Order.

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Issue Recovery Certificate accordingly.

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Communicate a copy of this order to the^parties concerned. (Dictated to the steno, corrected, signed and pronounced by me in the open court on this the 17'h Day of January, 2025).

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/9X'r"

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(frfNesHwna KorHE) PRESIDING OFFICER

Union Bank of India v. SP Engineering Industries

Case brief

What is this about?

What did the court decide?

Union Bank of India v. SP Engineering Industries

Case brief

What is this about?

What did the court decide?

What the court decided

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