Allowed

Canara Bank v. M/S Sri Grithika Silk House

DRT8 Apr 2025OA/517/2024

Case brief

AI extract

What is this about?

In an ex-parte matter, the Debts Recovery Tribunal allowed the Original Application filed by Canara Bank against lY/s. Sri Girthika Silk House for recovery of working capital and term loans totaling Rs.48,08,204.75 with future interest.

What did the court decide?

Recovery of Rs.48,08,204.75 with future interest @ 11.10% p.a. costs; permission to proceed against hypothecated assets and defendant's properties; issuance of Recovery Certificate.

Canara Bank versus M/S Sri Grithika Silk House — Contract and Commercial Disputes | DRT (2025)

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IN THE DEBTS RECOVERY TRIBUNAL-II AT HYDERABAD

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DATED THIS THE OEth DAY OF APRIL, 2025

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

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ORIGINAL APPLICATION No: 517 OF 2024

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Canara Bank., One of its Branch at Madanapalle-1, Annamayya District, A.P. Rep. by its Branch Manager.

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.....Applicant.

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Versus

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lY/s. Sri Girthika Silk House., Rep by its Proprietor Yamala Sarada, Aged 28 Years, D/o.Y.Venkatera ma nna, C/o.Y. Ramanju lu, Rl o.3- 146- t4- t4-6-2of , Damodar Nagar, Neerugattuvari Pa lle, ( Revenue Ward No.3), Ammacheruvmitta, In Front of N4/s.R.K.Tiles, Madanepalle, Andhra Pradesh - 577325.

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... Defendant

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Counsel for the Applica nt : M/s. P. Naga Durga Prasad

Defendant

: Ex-parte

:: ORDER ::

The Applicant Bank filed the present OA for the recovery a total sum of Rs.48,08,204.7sps i.e., Rs.16,90,439.31ps towards Working Capital Loan and Rs.3L,t7,765.44ps towards Term Loan from the defendant with future interest @ 19.25o/o p.a. with monthly rests from the date of application till the date of realization along with costs and in default for sale of hypothecated assets. ffi*

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2 oA.NO.517l2024

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Summon served on sole defendant and was set ex-parte on 30.01.2025 as called absent and no representation.

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The Applicant Bank examined Prakash Kumar Singh, Manager, as AW-1 and marked 15 documents through him as Ex.A.1 to Ex.A.15.

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Ld. Counsel for the Applicant Bank stated orders may be^passed on merits. Perused the material^placed on record.

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The^point that arlses for consideration is:-

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Whether the Applicant Bank is entitled for the claim made in the OA against the Defendant and OA hypothecated assets ?

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As stated supra, the Defendant 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 Defendant. Hence, I hold that the Defendant is liable to pay the OA claim to the Applicant Bank with future interest and costs.

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In the result, the present Original Application No.577/2024 is allowed as under: -

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i) The Defendant is liable to pay to the Applicant Bank a total sum of Rs.48,08,204.75ps i.e., Rs.16,90.439.31ps towards Working Capital Loan and RS.3L,L7 ,765.44os towards Term Loan with fu,re

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oA.NO.s17l2024

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future interest @11.10o/o^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 hypothecation of assets 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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10, 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 08th Day of April, 2025).

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ffi**

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(RAMESHWAR KOTHE) PRESIDING OFFICER

Canara Bank v. M/S Sri Grithika Silk House

Case brief

What is this about?

What did the court decide?

Canara Bank v. M/S Sri Grithika Silk House

Case brief

What is this about?

What did the court decide?

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