Allowed

Union Bank of India v. M/s. Rayalaseema Bio Bags.

DRT29 Oct 2025OA/507/2025

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an original application filed by Union Bank of India for recovery of loan dues totaling Rs. 27,30,073.94 along with interest and costs against the defendant company and its proprietor. The court held the defendants jointly and severally liable.

What did the court decide?

Defendants directed to pay total sum of Rs.27,30,073.94 with interest @11.50% p.a.; secured by hypothecated assets; recovery certificate to be issued.

Union Bank of India versus M/s. Rayalaseema Bio… — Contract and Commercial Disputes | DRT (2025)

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IN THE DEBTS RECOVERY TRIBUNAL-II AT HYDERABAD DATED THIS THE 29TH DAY OF OCTOBER, 2025 PRESENT: SH. RAMESHWAR KOTHE, B.Com., L.LB. (Hons.), N1.A. PRESIDING OFFICER

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ORIGINAL APPLICATION No: 507 OF 2O2S

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Un ion Bank of India., Krishna Nagar Branch D.No.80/1 1 12-A, Sankar Comolex Abbas Nagar, Kurnool - 5180d2. Rep. by its Authorized Signatory.

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.... .Applica nt.

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Versus

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M/s. Rayalaseema Bio Bags., Represented by its Sri Xodiganti Rajesh, Ptot No.27,2A,29, Industriat Estate,^phase III, Kallur Estate Kurnool, Andhra^pradesh - 51gOO3.

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Sri. Kodiganti Rajesh, S/o.Sri.K.Krishnaiah Aged about 43^years, Occ: Business Female, R/o. 78/B-B-4, New Krishna Nagar, Opp: Jaya Residency Kurnool, A.p - 518002.

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... Defendants

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Counsel for the Applicant

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: M r.V.Sethu Madhava Rao

Defen da nts

:Ex-parte

:: ORDER ::

The Applicant Bank filed the present OA for the recovery a total sum of Rs.27,30,073.94ps i.e., a sum of Rs.22,35,908.86ps towards Term Loan A/c. No.143016050000008 with subsequent interest @13.50o/o p.a. and a sum of Rs.4,94,165.0gps towards working capitat A/c. No.143015010000008 with future interest nt$-.,-c^ u/ 6!.'

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oA.NO.so7l202s

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defendants^{jointly and severally wlth} @^13.55o/o P.a^{from the} date of application^{till the date of} monthly^{rests from the} costs and^{in default for sale of} realization^alongwith hypothecated^assets.

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Summons^{served on D1 and 2 They were set ex-parteon} 25.Og.2025^{as called absentand no representation'}

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Rajesh,^{RecoverYManager,as}

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1. The ApPlicant^{Bank examinedR'} AW-1 and^{marked 13 documents} through^{him as Ex. A'1 to Ex'} A. 13.

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Bank rePorted^{ordersmay be}

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1. Ld. Counsel^{for the ApPlicant} the material Placed^{on record'}

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passed through merits^Perused

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The^point that^{arises for considerationis:-}

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Whether the^{Applicant Bank is entitled} for the claim^{made in the OA against} the Defendants^{and OA hypothecated} assets?

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As stated supra,^{the Defendants remained ex-parte'The} Evidence Amdavit^{coupted with the recitalsin the documents} viz., Exs. A.1 to^{A.13 markedon behalf of the Applicant Bank} clinches the^{claim of the Applicant Bank against the Defendants'} Hence, I^{hold that the Defendantsare jointlyand severally liable} to^pay the^{OA claimto the Applicant Bank with future interest} and costs.

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In the result, the^{present OriginallU)plication No 507/2025is} alowed as under: - IQY*O

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oA.NO.507/2025

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i) The Defendants^{are jointly and severally} liable to^{pay to the Applicant Bank a total} sum of Rs.27,30,073'94ps^{i'e', a sum of} Rs'22,35,908'86ps^{towards TermLoan} A/c.No.14301605OOOOOO8^{and asum of} Rs.4,94,165'08ps^{towards WorkingCapital} A/c.No.143015010000008;^withfuture interest @11.50o/o^{p'a' simple from the date} of application^{till the date of realization;}

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ii) the OA^{claim issecured bY waYof} hypothecation^{of assets describedin the} schedule annexed^{tothe OA and the} applicant^{bank is entitledto proceed against} the same to^{realise its debt;}

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ili) 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 entitledfor the costs'}

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B. The Applicant^{Bank is directed to file CostMemowithin 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,signedand pronounced by me in the open court on} this the^{29rh DaY of October,2025)'} dw*

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(RAVfSHWAR^KOTHE) PRESIDING^OFFICER

Union Bank of India v. M/s. Rayalaseema Bio Bags.

Case brief

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What did the court decide?

Union Bank of India v. M/s. Rayalaseema Bio Bags.

Case brief

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