Allowed

Yes Bank v. M/s. Svr Enterprises Pvt. Ltd.

DRT23 Oct 2025TA/14/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal, Chennai, allowed the original application filed by the Asset Reconstruction Company against two defendants (a private company and its director) for the recovery of an outstanding business loan of Rs. 22,75,400/- along with interest and costs, as the defendants appeared ex-parte.

What did the court decide?

Recovery of Rs. 22,75,400/- jointly and severally with interest @17.5% p.a. and penal interest @2% per month along with costs.

Yes Bank versus M/s. Svr Enterprises Pvt. Ltd. — Contract and Commercial Disputes | DRT (2025)

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T.A. No. 14 of 2022

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23.10.2025

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IN THE DEBTS RECOVERY TRIBUNAL-III, CHENNAI

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Dated this the 23^rd day of October, 2025

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Present: SMT. S.V. GOWRAMMA Presiding Officer

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TRANSFERRED APPLICATION No. 14 of 2022

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*M/s J.C. Flowers Asset Reconstruction Private Limited 12^th Floor, Crompton Greaves House Dr. Annie Besant Road Worli, Mumbai Maharashtra – 400 030 Rep. by its Authorised Signatory ….Applicant

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-Vs-

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M/s. SVR Enterprises Private Limited, Rep. by its Directors, Plot No-101, Door No-7, VGP Shanthi Nagar, 1^st Main Road, Narayanapuram, Pallikaranai, Chennai – 600 100.

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D. Chandrasekhar, S/o Dander Raveendra Reddy Flat No.B-206, B-Block, 2^nd Floor, SIS Marakesh, K.P Cherry,

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Kancheepuram – 603 210 …..Defendants

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(Amended vide order in IA No.238/2024 dated 15.10.2025 in view of substitution)

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Counsels on record / appeared:

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Counsel for Applicant : M/s. Kvp. Deepak Raj

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Defendants were set ex-parte on 25.11.2022

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: - FINAL ORDER - :

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This Original Application is filed on 01.08.2022 by the Applicant

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T.A. No. 14 of 2022

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23.10.2025

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Bank under Section 19 (1) of Recovery of Debts and Bankruptcy Act, 1993 (formerly Recovery of Debts Due to Banks and Financial Institutions Act, 1993) against the Defendants jointly and severally for recovery of a total sum of Rs.22,75,400/- (Rupees Twenty Two Lakh Seventy Five Thousand Four Hundred Only) due in respect of Business Loan facility (Account No.BLN000500498950) repayable together with further interest @ 17.5% p.a. with monthly rests and penal interest @2% per month from the date of filing the OA, till date of realization in full and for costs of this application.

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Brief Facts of the case:

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The Applicant submits that the application is filed within the period of limitation as prescribed under Section 24 of the Recovery of Debts and Bankruptcy Act, 1993, and the subject recovery claim falls within the jurisdiction of this Tribunal.

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It is the case of the Applicant Bank that the 1^st Defendant represented by its Director, had approached the Applicant Bank for a Business Loan by submitting Loan Application on 22.03.2019.

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It is submitted by the Applicant Bank that based on the documents furnished by the Defendants, the Applicant bank had sanctioned the said Loan on 01.04.2019 for an amount of Rs.20,00,000/- bearing A/c No.BLN000500498950, which was repayable in 24 equated monthly installments of Rs.99,366/- each.

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T.A. No. 14 of 2022

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23.10.2025

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The Applicant Bank states that the 1^st Defendant, represented by its Director, being the 2^nd defendant had executed the necessary Loan documents on 01.04.2019 for an amount of Rs.20,00,000/- and agreed to pay the same in 24 equated monthly installments of Rs.99,366/- each along with interest at the rate of 17.5% per annum.

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It is submitted by the Applicant Bank that the 2^nd defendant stood as Co borrower for the due repayment of the above said loan and he has signed as Co borrower in the same Loan Agreement on 01.04.2019 for an amount of Rs.20,00,000/- in his individual capacity.

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It is further submitted by the Applicant Bank that due to Covid 19, an additional loan amount was disbursed to the 1^st Defendant, thus totally an amount of Rs.26,33,605/- was disbursed Vide Loan A/c No.BLN000500498950.

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The Applicant Bank states that subsequent to availing of loan, the defendants had neither repaid the loan amount, except for a few repayments which was not sufficient for maintaining the account and hence the Loan account became irregular and was declared as Non Performing Asset (NPA) on 08.03.2020 in accordance with RBI guidelines. Inspite of several demands and reminders made by the Applicant Bank, the Defendants failed and neglected to pay the amount due under the loan account. The Applicant bank issued a Legal notice dated 15.02.2022 to the defendants demanding the outstanding amount

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T.A. No. 14 of 2022

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23.10.2025

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in respect of the said Loan Account. The notices sent to all the Defendants has been Returned with the endorsement Left. Hence, the present Original Application (OA) has been filed by the applicant bank for recovery of its dues from the defendants.

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After the filing of the OA, summons were sent to Defendants 1 and 2 through Registered Post with Acknowledgment Due, which returned with postal endorsement as ‘left’. Applicant bank had caused paper publication of the notice and filed proof thereof. When OA was taken up on 25.11.2022 even after giving sufficient time, there was no appearance or representation from the defendants. Hence, defendants 1 and 2 were placed ex-parte on 25.11.2022.

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Heard the submissions of Applicant Bank and perused the records.

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To prove the case of the Applicant Bank, Sh. R. Muthusamy, Authorized Signatory representing the Applicant Bank, has filed his Affidavit by way of evidence and same was considered as evidence of AW-1 and list of documents came to be marked as Ex A-1 to A-5 . As the defendants remained ex-parte, the OA claim remains unchallenged. There is no contra evidence available on record to repudiate the claim of the Applicant Bank.

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With regard to the amount advanced, the interest applied, the

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T.A. No. 14 of 2022

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23.10.2025

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conduct and operations in the account and the default committed, this Tribunal comes to the conclusion that the applicant bank is entitled for a final order on the following terms:

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: O R D E R :

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The OA is allowed with costs,

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(a) The applicant bank is allowed to recover from the Defendants jointly and severally, a sum of Rs.22,75,400/- (Rupees Twenty Two Lakh Seventy Five Thousand Four Hundred Only) due in respect of Business Loan facility (Account No.BLN000500498950) together with further interest @ 17.5% p.a. with monthly rests and penal interest @2% per month from the date of filing the OA, till date of realization in full along with costs.

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(b) The applicant bank shall file the latest memo of calculation of

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OA amount together with interest, costs etc., to be paid by the Defendants duly considering the amounts, if any, paid by the Defendant and/or amount realized by sale of assets etc., during the intervening period after the filing of the OA, enabling the Registry to prepare Recovery Certificate for the amount to be paid by Defendant to the applicant bank.

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(d) Recovery Certificate shall be drawn up and issued to the

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T.A. No. 14 of 2022

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23.10.2025

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Recovery Officer in terms of the final order.

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A copy of this order be communicated to the parties concerned.

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Sd/-

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(S.V. GOWRAMMA) PRESIDING OFFICER, DRT-III, CHENNAI

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(Dictated to Steno (Deepika), transcribed by her, corrected, signed and pronounced by me on this the 23^rd day of October, 2025)

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK :

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AW-1: Sh. R. Muthusamy, Authorized Signatory representing the Applicant Bank.

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Exhibits on the part of the Applicant:

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Sl. No.	Description of Documents	Exhibit No.
1.	Loan Application dated 22.03.2019.	A-1
2.	Loan Agreement executed by the 1^stand 2^nd Defendants dated 01.04.2019.	A-2
3.	Copy of the Legal Notice dated 15.02.2022.	A-3
4.	Returned Covers	A-4
5.	Statement of Account	A-5

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Witness Examined for the Defendants: -Nil-

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List of Documents Exhibited for the Defendants: -Nil –

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:- SCHEDULE -:

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-NIL-

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Sd/(S.V. GOWRAMMA) PRESIDING OFFICER, DRT-III, CHENNAI

Yes Bank v. M/s. Svr Enterprises Pvt. Ltd.

Case brief

What is this about?

What did the court decide?

Yes Bank v. M/s. Svr Enterprises Pvt. Ltd.

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

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