Allowed

Indian Overseas Bank v. M/S. Sri Sai Poultry Farm

DRT11 Jun 2025OA/393/2024

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the application filed by the Appellant Bank for recovery of a loan sum of Rs. 81,38,999.27 with future interest. The court held that the bank established its claim and directed the joint and several liability of the respondents to pay the dues.

What did the court decide?

The Appellant Bank is entitled to recover Rs. 81,38,999.27 with future interest at 13.75% p.a., and to proceed against properties of the Respondents.

Indian Overseas Bank versus M/S. Sri Sai Poultry Farm — DRT (2025) — LawSathi Research

¶1

IN THE DEBTS RECOVERY TRIBUNAL-I AT HYDERABAD DATED THIS THE 11TH DAY OF JUNE, 2025

¶2

PRESENT: SRI GUMMADI GOPICHAND, PRESIDING OFFICER OA.No.393 ot 2024

¶3

Between:

¶4

Indian Overseas Bank, langaon branch, Hyderabad - Warangal road, Jangaon - 506 167, TS. Represented by its Manager

¶5

Applica nt

¶6

VERSUS

¶7

M/s. Sri Sai Poultry Farm, Represented by its proprietor Mr. Banoth Ram KotiNayak, R/o 3-45/3, Sapthagiri colony, Komatipally, Hasanparthymandal,

¶8

Hanamkonda, Telangana - 506 37L.

¶9

Mr. BanothRamkotiNaik, s/o Late BanothManghtyanaik, aged major, male, H.No.3-4513, Sapthagiri colony, Komatipally, Hasanpa rthymandal, Hanamkonda, Telangana - 506 371.

¶10

)), Sri Ba noth Ravinder, s/o BanothMangthyaNaik, aged major, male, H.No.1-l l/A2, DharavathThanda, Pedamadur Village, devaruppulamandal, langaon district - 506 303.

¶11

f .&$"
tu
,t
? 1 JUil2U6

¶12

(OA. No.393/2024)

¶13

4.	SmtBhukyaVeeravva,
	w/oShankar/agedmajor/ female,H.No.18-48,Aagpete villagc,Narrnettamandal, Warangaldistrict.
5.	SriBanothSatti, w/oLate BanothManghtyaNaik, agedmajor,female, H.No.1-12, dharmaGaddaThanda, Devurupputa,Madaorkalan Mandal, Jangaondist-506303.
6.	SriBanothKishan, s/oLate BanothManghtyaNaik, agedmajor,male, H.No.'l-12, Dharrna gaddathanda, Deurupputa,Madaorkalan Mandal,langaondist-506303.
7.	DaravathVijaya, D/oLate BanothManghtyaNaik, agedmajor,male,H.No.1-12, Dharma gaddathanda, Deurupputa,Madaorkalan Mandal, Jangaondist-506303.
B,	Sri ChandrakalaGugulothu, D/oLate BanothManghtyaNaik, w/oGugulothuLachiram,aged maior, fcmate,H.No.t-.1-202,Girnictadda, langaontownanddistrict-506167.
9.	M/s. SriLakshmi NarasimhaPoultryFarm Representedby legal heirs(defendants No.2toB)of lateMr.BanothMangthya Naik,tl.No.1-12, Gopynayakthanda,Madoorkalan, Devuruppalamandal, Jangaondist-506303. Defendants
Cou	nsel forthe
For	ri AlluriKrishnamRaju the
For	xparte the

¶14

(oA. No.393/2024)

¶15

ORDER

¶16

The Applicant Bank filed the present OA against Defendants for recovery of a total sum of Rs.81,38,999.27ps (Rupees Eighty One Lakhs Thirty Eight Thousand Nine Hundred Ninety nine and paise twenty seven only)with futurc intcrest @) 13.75% p.a with monthly rests from 01.09.2024 till the date of realizationand in default for sale of mortgaged properties as mentioned in the schedulc to OA,

¶17

As per the averments in the application, the Applicant Bank states that dcfendant no.1 is a Poultry farm represented by its defendants no.2 to 8 who are legal hcirs of latc BanothManqthya, s/o Gopya proprietor of Sri Lakshmi Narsimha Poultry farm who expired on 18.05.2021. Defendants 5, 6,7 and B succeeded the assets of late BanothMangtya. Deiendants no.2,3 and 4 are the guarantors to the loans availed herein. Defendant no.1 represented by defendant no.2 availed term loan-I of Rs.32 lakhs and term loan-Il of Rs.4B lakhs and cash credit of Rs.60.00 lakhs. DeFendant no.I throuqh defendant no.2 cxecuted pronote, guarantee for cash credit loan, term loan agreement, letter of hypothecation etc. The defendant no. I represented by ant no.2 availed cash credit of Rs.40.00 lakhs ancl enh lakhs and executed necessary docu m c nts. trfter availing the loan facilities, the defendants failed $r

¶18

(OA. No.393/2024 )

¶19

to comply the terms of sanction, hencethe applicant bank classified the account as NPA on 29.02.2020 and demand notice was issued on 04.08.2022. Inspitc of several requests and demands, the defendants did not clear the outstanding. Hence this OA.

¶20

Defendants No.1 to 9 called absent and set exparte on 04.04.2025. 4. Sri A.S. Raju, Branch Manager of the Applicant Bank examined himself as AW.l and exhibited relevant documents, which are marked as Ex.A.1 to A.35.

¶21

Heard the Ld. Counsel for the Applicant Bank,

¶22

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?

¶23

t. Defendants remainedexparte. To substantiate the case of the Applicant Bank, AW.l, offlcial of the Applicant Bank was examined and he exhibited relevant documents as Ex.A1 to A.35. In view of the above, I hold that thc Applicant uank 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.

¶24

B. ln the result, the present OA is allowed with costs, as under: The Defendants are^jointly and severally liable to^pay to the

¶25

Applicant Ba of Rs.8 1,38,999.27ps (Rupees Eighty One Lak6s.$1-hi nd Nine Hundred Ninety nine k 1t luuyg6

¶26

(oA. No.393/202a)

¶27

and paise twenty seven only) with future interest @ 13.75olo p.afrom 01,09.2024 till the date of realization;

¶28

The ApplicanL bank is cntitled to pror:eed against the mortgaged properties as mentioned in the schedule to OA towards realization of the debt due;

¶29

The Applicant Bank is also entitled to proceed against the person and properties of defendant No. 2 to 8 and properties of defendants no.1 and 9 firms towards realization oF the debt due, However the Applicant bank is entltled to proceed only to the extent of estate devolved upon the legal heirs/ detcndants no.2 to 8 from the deceased BanothMangtya.

¶30

The Applicant Bank is entitled to the costs of the OA.

¶31

The Applicant shall file a cost memo within two weeks from the date of receipt of order.

¶32

Issue Recovery certificate accordingly.

¶33

Communicate a copy of the order to the^parties concerned, (Drctatcd lo tlrc P.n., transcrbeo by hcr, corre.lcd, srqnod and pronounced by nlc rn thc opon coLirl on thrs thc ll' lullr,2025)

¶34

sd/^_

¶35

(G. GOPTCHAND) PRESIDING OFFICER

¶36

TRUECOPY Ll,,C-G1/ irrr*A,€h'^ nnr-;, 6Yn':"'3'9tr6-

Indian Overseas Bank v. M/S. Sri Sai Poultry Farm

Case brief

What is this about?

What did the court decide?

Indian Overseas Bank v. M/S. Sri Sai Poultry Farm

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Parties & counsel

Coram

Case details

All orders in this case

Similar cases

State Bank of India versus Mr. Bheesetti Ramu

Smt Rizwana Begum versus Union Bank of India

Kompelli Jyothi versus Union Bank of India

Union Bank of India versus M/S. Suryodaya Infra Projects (I) India Private Ltd.

State Bank of India versus Ms. Kankipati Niharika

State Bank of India versus Sri. Muttagi Srisailam