Allowed

Bank of Baroda v. M/S. Raja Plastics

DRT18 Feb 2026OA/324/2025

Case brief

AI extract

What is this about?

The Tribunal allowed the Debts Recovery Tribunal Application filed by Bank of Baroda for recovery of loans and interest. The court held the defendants jointly and severally liable for the dues and abated the claim against the deceased defendant.

What did the court decide?

Defendants jointly and severally liable to pay Rs. 81,65,136/- including interest; claim against D.4 abated; Recovery certificate issued.

Bank of Baroda versus M/S. Raja Plastics — Banking and Recovery | DRT (2026)

¶1

IN THE DEBTS RECOVERY TRIBUNAL-I AT HYDERABAD DATED THIS THE lgrH DAy OF FEBRUARY, 2026

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PRESENT: SRI GUMMADI GOPICHAND, PRESIDING OFFICER

¶3

OA.No.324 of 2025

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Between:

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Bank of Baroda, ROSAR branch, Basheerbagh, Hyderabad, TS. Represented by its Authorised officer

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Applicant

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VERSUS

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M/s. Raja Plastics, Represented by its Proprietor, Sri E. Suryachandra Rao, Plot no.303 & 305, Phase-II, SVCIE, Jeedimetla, Hyderabad.

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Mr. Egalapati Suryachandra Rao, s/o Sarvarayudu, aged about 45 years, Proprietor of M/s. Raja Plastics, flat no.306, Balaji Enclave, Opp Usha Mullapudi Hospital, Jeedimetla, Hyderabad

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Also at:

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R/o 19-189, Roadmastri nagar,

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H.No. L2-49, 12th ward, Nagayalanka, Krishna district, AP - 521 001.

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(oA. No.324l202s)

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Mrs. Egalapati Jyothi, w/o E. Suryachandra Rao, aged about 36 years, occ:business, H.No.12-49, 12th ward, Nagayalanka, Krishna district, AP - 521 001. Also at: R/o 19-189, Roadmastri nagar, Quthubullapur, Medchal-Malkajgiri District,

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Mrs. Simhadri Akhilandeswari, (deceased) w/o Siva Rama Krishnaiah, aged about 66 years, occ: business, H.No.2-697, Avanigadda, Krishna dist AP - 52t 72L. Defendants

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Counselfor theParties:
FortheApplicant	SriN. ManoharReddy
FortheDefendants	Exparte
Reservedon	L7.02.2026
Pronouncedon	t8.02.2026
Uploaded inwebsiteon	t8.02.2026

¶17

ORDER

¶18

The Applicant Bank fired the present oA against Defendants for recovery of a total sum of Rs.g1,65,136/_ (Rupees Eighty One

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Lakhs One Hundred and thirty six only)

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(oA.No.324l202s)

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a) A sum of Rs.48,94,763/- in CC loan account with interest @ 14.45o/o p.a (including penal interest) from date of filing of OA till the date of realization;

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b) A sum of Rs.46,662l- in term loan -I account with interest @ 15.5olo p.a (including penal interest) from date of filing of OA till the date of realization;

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c) A sum of Rs.32,23,7LL1- in term loan -II account with interest @ 17.85o/o p.a (including penal interest) 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 defendant no.1 is a proprietary firm represented by its proprietor / defendant no.2 availed cash credit of Rs.7.00 lakhs on 22.Lt.2OlZ and executed all loan documents in favour of Applicant bank. Subsequently the cash credit facility was enhanced to Rs.18.00 lakhs on 16.12.20L4. Defendant no.3 stood as guarantor and executed guarantee agreement on 16.L2.20t4. Defendants no.2 & 4 mortgaged their immovable properties in favour of applicant bank. After availing the loan facilities, the defendants failed to comply the terms of sanction, hence the applicant bank classified the account as NPA on 2 B and issued notices. The Applicant bank initiated and sold the mortgaged properties and 3,71,000/- and the same were adjusted 1g FEB ?IJ28 *

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(oA.No.3241202s)

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towards loan account. Inspite of several requests and demands, the

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defendants did not clear the outstanding. Hence this OA.

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Defendants called absent and set exparte on 13.11,2025.

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Sri A. Anand Kumar, Senior Manager of the Applicant Bank examined himserf as AW.1 and exhibited rerevant documents, which are marked as Ex.A.1 to A.35. It is submitted that defendant no.4 died and craim against D.4 is abated on 13.11.2025.

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Heard the Ld. Counsel for the Applicant Bank,

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The point that arise for consideration is whether the Applicant Bank is

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entitled for the claim made in the OA against the Defendants as prayed for?

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Defendants No.1to 3 remained exparte and craim against D.4 abated. To substantiate the case of the Appricant Bank, AW.1, officiar of the Applicant Bank was examined and he exhibited rerevant documents as Ex.A1 to A.36. In view of the above, I hord that the Appricant Bank has established their craim made in the oA against the Defendants and hence the Applicant Bank is entifled to recover the claim made in the

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OA with fu nd costs.

¶35

B. allowed with costs, as under:

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(OA. No.3241202s)

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The Defendants No.1 to 3 are joinfly and severally liable to pay to the Applicant Bank a total sum of Rs.81,65,136/- (Rupees Eighty One Lakhs Sixty Five Thousand One Hundred and thirty six onty) i€.,

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a) A sum of Rs.48,94,763l- in CC loan account with interest @ L4.45o/o p.a (including penal interest) from date of filing of OA till the date of realization;

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b) A sum of Rs.46,662l- in term loan -I account with interest @ 15.5olo p.a (including penal interest) from date of filing of OA till the date of realization;

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c) A sum of Rs.32,23,7Lt/- in term loan -II account with interest

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@ L7.85o/o^{p.a (including} penal interest) from date of filing of OA till the date of realization;

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The claim against Defendant no.4 (deceased) is abated on 13.11.2025 and the letter of guarantee dated 24.01.20L7 is restricted only to Defendant no.3.

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The Applicant Bank is also entitled to proceed against the person and properties of defendants no,2 & 3 and properties of defendant no.1 firm the debt due.

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r"6
11. the costs of the OA.
18 rt8
,.,e. r} )
W,**u$Y
(9rrn-v S,7

¶45

(oA.No.3241202s)

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t2. The Applicant shall file a cost memo within two weeks from the date

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of 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 18ih day of Feb,2026)

sd/-

(G. GOPICHAND)

PRESIDING OFFICER

dVfrffi

Bank of Baroda v. M/S. Raja Plastics

Case brief

What is this about?

What did the court decide?

Bank of Baroda v. M/S. Raja Plastics

Case brief

What is this about?

What did the court decide?

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