Allowed

Canara Bank v. Vasantham Enterprises

DRT12 Jun 2026OA/137/2026

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed a motion for condonation of delay of 344 days in re-presenting an Originating Application sought by an applicant bank for recovery of dues, relying on a High Court judgment that financial institutions must be afforded opportunity to prosecute cases.

What did the court decide?

Condonation of delay of 344 days, subject to payment of fees Rs.3,000/- to Tamil Nadu State Legal Services Authority and filing compliance report.

Canara Bank versus Vasantham Enterprises — Contract and Commercial Disputes | DRT (2026)

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IN THE DEBTS RECOVERY TRIBUNAL-III, CHENNAI

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Dated this the 12^th day of June, 2026

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Present: SMT. S.V. GOWRAMMA Presiding Officer

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M.A. No.137 of 2026 in OA Dy. No.2943 /2024

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State Bank of India, SARB-II, Chennai, Represented by its Deputy Manager, No.44, first floor, Eldams road, Alwarpet, Chennai- 600 018 ...Petitioner

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-Vs-

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Mrs. Selvi, W/o Vijay kumar, No.278/B5 Kalyan nagar, Ramalingam Illam, Perambalur-621212 …Defendant

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Counsels on record / appeared:

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Counsel for Applicant : M/s. A.K.L. Jayakamal Rayudu

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ORDER IN MA No.137/2026

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MA No.137 of 2026 is taken up. This is an application filed by applicant bank for condonation of delay of 344 days in re-presenting the OA.

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Perused the Affidavit filed on behalf of the Applicant bank.

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It is submitted by applicant bank that the present OA was filed for recovery of sum of Rs.1,06,78,880/- together with interest and costs. It is stated that the OA was returned on 20.03.2025 from the Registry. During that period the counsel’s office underwent shifting of the office premises and replacement of record bundles, during which several cases were mixed up and remained inaccessible for considerable time. The subject

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case file was lost during the said period, which was traced out at a later point of time. Hence OA could not be re-presented within the time granted by this Tribunal, which is neither wilful nor wanton, but only due to aforesaid reasons. Therefore, the applicant bank prayed for condonation of delay of 344 days in representing the OA.

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Perused the Affidavit filed on behalf of the Applicant bank

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and the records of the case.

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As OA is filed for recovery of money due from borrower and in view of the fact that the bank being a financial institution is the custodian of the public money held under trust, the Tribunal relying on the judgment of Hon’ble High Court of Madras (At Madurai) in the judgment of

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V.P. Rajula -Vs.- K.J. Sakadeva Raja reported in LAWS (MAD)-

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2020-8-441 feels it apt to condone the delay and give opportunity to applicant to prosecute their case.

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Accordingly, MA No.137/26 stands allowed and delay is condoned, subject to payment of cost of Rs.3,000/- to the Tamil Nadu State Legal Services Authority on or before 06.07.2026 by the applicant and to file the compliance report before the Registry.

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In case of the applicant complying with the order and filing compliance memo, Registry is directed to number the OA, if otherwise found to be in order. It is clarified that in case if the applicant bank fails

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to comply with the conditional order above, MA stand dismissed

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automatically without there being any need to pass separate order.

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Sd/-

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

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(Dictated to Roshnee, transcribed by her, corrected, signed and pronounced by me in Open Court,

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on this the 12^th day of June, 2026)

Canara Bank v. Vasantham Enterprises

Case brief

What is this about?

What did the court decide?

Canara Bank v. Vasantham Enterprises

Case brief

What is this about?

What did the court decide?

What the court decided

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