Allowed

State Bank of India v. Katla Sreelatha

DRT10 Sept 2025OA/429/2024

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the applicant bank's origin application against the legal heirs of a deceased borrower and the borrower's employer, directing joint and several liability and realization from the estate.

What did the court decide?

Directing respondents to jointly and severally pay Rs.31,13,590/- (principal sum) plus future interest. Directing Defendant no.3 to disburse payables to the loan account. Entitlement to proceed with r

State Bank of India versus Katla Sreelatha — Consumer Protection | DRT (2025)

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IN THE DEBTS RECOVERY TRIBUNAL-I^{AT HYDERABAD} DATED THIS THE 1OTH DAY OF SEPTEMBER, 2025

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PRESENT: SRI GUMMADI GOPICHAND,^{PRESIDING OFFICER}

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OA.No.429 ot 2024

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Between:

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State Bank of lndia, Stressed Assets Recovery^Branch, 2nd floor, TSRTC Commuter Amenity Centre, Bus Terminal complex, Koti, Hyderabad - 500 095. Represented by its Authorised Manager

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Applica nt

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VERSUS

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Mrs. Katla Sreelatha, w/o Late Katla Venkateswarlu, aged major,

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Mr. Katla Sidharth, s/o Late Katla Venkateswarlu,

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' aged major,

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The above defendants are Legal heirs of late Katla Venkateswarlu and both are

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R/o H.No.7- 1-261, Laxmipur New stand, Hanamkonda, Warangal, TS - 506 001.

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Also at R/ o 7 -7-384/7, Padmakshi Colony, Opp Saraswathi Sishu Mandir, Ha n ma konda, Warangal - 506 001.

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2 The Mandai Parishad Mandal Praja Pa rish ;* Bheemadevera pa lly Karimnagar district. Defendants

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(OA. No.429l2024)

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Counsel for the Parties: For the Applicant : Sri C. Sreedhar For the Defendants : Sri G. Venkat Sri Maithreya

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ORDER

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The Applicant Bank Filed the present OA against DeFendants for recovery of a total sum of Rs.31,13,590/- (Rupees Thirty One Lakhs Thirteen Thousand Five Hundred and Eighty only)

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a) A sum of Rs.21,97,236l- with interest @ 13.10o/o p.a with monthly rests from date of filing of OA till the date of realization ;

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b) A sum of Rs.9,1-6,344l- with interest @ 13.90o/o p.a with monthly rests from date of filing of OA till the date of realization ;

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As per the averments in the application, the Applicant Bank states that at request of Sri K. venkateswarru avaired personar roan of Rs.23,07,000/- under the scheme of Xpress Credit on 23.0g.2022 and executed personal loan agreement. Again Sri K. venkateswarlu availed personal loan of Rs.13,47,200/- on 30.03.2023. subsequenfly the sri K. Venkateswarru died on 1g.04.2024. hence the defendants 1 and 2 are impleaded as legal heirs of the deceased late K. Ven ffi:{T $;:-tendant^{no.3 is the employer of the deceased} eswaffi 'fiffiuO.itted by the Appticanr bank that the Tt^tsiF aite$'He said loan facilities and faired to keep up mr

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loA.No.429/2024l,

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the repayment schedule, as such the account was classified as NpA on 3L.01.2024 and issued legat notice dated 29.LO.2024. Inspite of demands made by Applicant the defendants have not regularized the account, and the defendants did not come forward to repay the same. The total claim of Applicant agalnst defendants is of Rs.31,13r5g0/(Rupees Thirty One Lakhs Thirteen Thousand Five Hundred and Eighty only) with future interest @ 13.10% p.a and 13.90o/o p.a respectively from date of application till the date of realization. Hence the OA.

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The Defendants 1 & 2 filed written statement and denied the averments made in OA. It is contended that the defendants 1 & 2/ legal heirs of the deceased are not aware of the alleged loan transactions undertaken by deceased borrower. It is contended that the defendants neither inherited nor taken possession of any movable or immovable property of deceased borrower. Hence prayed for dismissal of OA.

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The Applicant Bank in support of its claim, filed evidence affidavit duly sworn in by Smt S. Kalyani Rathod, Manager of Bank as AW.1 and through her mar(ed.44 documents as Ex.A, L to A.16. As against this, the defendants.did not choose to aciouce any evidence on their behalf in su/fOfr of rheir contefifli"ok and atso did not choose to cross exa thc.? AW,i^, ro .{ont rt his Chief Evidence. In spite of

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(oA. No.429 12024)

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repeated adjournments, the defendants failed to file evidence Affidavit, hence the right of filing Defendant Evidence Affidavit was closed on 25,08.2025.

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I have perused the documents placed on record.

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Now, the points that arise for consideration are:

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i) Whether the Applicant Bank has proved its claim as made in OA against the defendants ? ii) To what relief ?

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Point No.i):

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As per the documents filed by the Applicant Bank and also as per the admissions made by the defendants in the Written statement, it is very clear that the deceased borrower availed loan from the Applicant Bank, but failed to repay the amount. All the amounts paid by the deceased borrower are clearly mentioned in the statement of account filed by Applicant Bank. The defendants have not placed any material documents to show their bonafides for establishing that they are not aware of the loan transactions of the deceased borrower.

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AW.1 tln" 'i't" l.?,^{rfoi eil;-&'rmined} ' I^{by the counset for defendants. The}

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OeferS:de.nts have nbt come-,forward to give evidence to substantiate i',' :i,*r 'r .

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thatJheir habilitv is less than the amount mentioned in the OA Under

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(oA.No.4z9/z0z4l

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to A.16 stood unchallenged and unrebutted. The Applicant bank clearly established that the defendants are liable to pay the oA amount to the Applicant bank.

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Point No.ii)

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B. In the result, the present originar application is allowed with costs as under:

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The Defendants No.1 and 2 are joinfly and severalry riabre to pay to Applicant Bank a total sum oF Rs,31,13,5gO/- (Rupees Tharty One

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Lakhs Thirteen Thousand Five Hundred and Eighty only)

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a) A sum of Rs.27,97,236/- with interest @ 13.10o/o p.a from date of filing of OA till the date of realization ;

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b) A sum of Rs.9,16,344l- with interest @ 13.90o/o p.a from date of filing of OA till the date of realization ;

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The Defendant no.3 is employer of deceased borrower, is hereby

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directed to disburse the payables/ receivables to the credit of loan account of Late K. Venkateswarlu with Applicant bank subject to

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prevailing ru les,

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The nk is also entiUed to proceed against the person and nt No.1 and 2 towards realization of the debt due.

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H oweve r a ppli nk is entatled to proceed only to the extent of ? 0 .sre tr6 *

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(oA.No.429 12024)

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estate devolved upon the legal heirs from the deceased borrower late

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Sri K. Venkateswarlu.

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

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12.The Applicant shalt file a cost memo within two weeks from the date of

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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 .l,Oth day of Scpr, 2O2lj)

sd/ -

(G. GOPTCHAND)

PRESIDING OFFICER

?CI .$FP ffi

rrq?1 t- ftl'$g.qn 9,40,

State Bank of India v. Katla Sreelatha

Case brief

What is this about?

What did the court decide?

State Bank of India v. Katla Sreelatha

Case brief

What is this about?

What did the court decide?

What the court decided

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