Allowed

Canara Bank v. M/S Vigneshwara Powerlooms

DRT18 Feb 2026OA/342/2025

Case brief

AI extract

What is this about?

Applicant Bank filed OA for recovery of loan principal with interest and sale of mortgaged property. Bank proved its claim via affidavit. Tribunal held claim established, allowed OA, and directed defendants to pay the amount jointly and severally with authority to proceed against mortgaged and other properties.

What did the court decide?

Directing defendants to pay Rs. 1.40 Crores with interest; authority to sell mortgaged property and proceed against assets of respondents.

Canara Bank versus M/S Vigneshwara Powerlooms — Banking and Recovery | DRT (2026)

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IN THE DEBTS RECOVERY TRIBUNAL-I AT HYDERABAD

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DATED THIS THE 18rH DAy OF FEBRUARY,2026

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PRESENT: SRI GUMMADI GOPICHAND, PRESIDING OFFICER

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OA.No.342 ot 2O2S

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Between:

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Canara Bank, Hanamkonda branch - II, Warangal district, TS. Represented by its Authorised officer

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Applicant

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VERSUS

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M/s. Vigneshwara^powerlooms, Prop: Sabbani Rajender, Plot no.248, sy.No. 1791/1, Textile park, Madikonda, Warangal - 506 t42

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Mr. Sabbani Rajender

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s/o Rajeshwar (Prop),

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H. No.,1-403/1-9, Indiranagar, Narsampet

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(V) and mandal,

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Warangal - 506 132.

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Defendants

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Counsel for the Parties:- -;r+ \ Dr. Shaik Fahemuilah For the Appticant -,r,'lj ; , r ,t\ ,. *\ :- i rd. \ For the Defendants.,J .tr -r-:) l "l 'fl,. .(,r Exparte pronounced Reserved Keserveoon on on _i, :¹ -^Q rfi 2026 , ; '" :, )ire.oz.zozo^'i ,.L7.02.2026.17.02.2026 Uploaded in websi(f{q .) " "',^!.t ,..: r:i;i;t^L8.02.2026

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Dr. Shaik Fahemuilah

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:. r,1:l,T-, r,,i.",.,,: i:;..|i

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(oA.No.342l202s)

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ORDER

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The Applicant Bank filed the present OA against Defendants for recovery of a total sum of Rs.L,4O,76,461.20ps (Rupees One Crore Forty Lakhs Seventy Six Thousand Four Hundred Sixty One and paise twenty only) with interest @ 11.650lo p.a from 23.06.2025 till the date of realization and in default for sale of mortgaged property as mentioned in the schedule to OA.

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As per the averments in the application, the Applicant Bank states that defendant no.1 is a proprietorship firm represented by its proprietor availed term loan of Rs.98.31 lakhs and OD/OCC loan of Rs.15 lakhs. The defendants executed composite common hypothecation agreement, consent letter and letter of undertaking for Rs.113 crores. After availing the loan facilities, the defendants failed to comply the terms of sanction, hence the applicant bank classified the account as NPA on 29.L0.2023 and issued notices. Inspite of several requests and demands, the defendants did not clear the outstanding. Hence this OA.

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and set exparte on 09.12.2025.

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Sri G. licant Bank examined himself as AW.1 ,^which are^marked as^Ex.A.1 to

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(oA. No.3a2l202s)

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Heard the Ld. Counsel for the Applicant Bank.

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6' The point that arise for consideration is whether the Applicant Bank is entitled for the claim made in the OA against the Defendants as prayed for?

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Defendants remained exparte. To substantiate the case of the Applicant Bank, AW.1, official of the Applicant Bank was examined and he exhibited relevant documents as Ex.A1 to A.13. In view of the above, I hold that the Applicant Bank has established their claim made in the OA against the Defendants and hence the Applicant Bank is entitled to recover the claim made in the oA with future interest and costs.

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B. In the result, the present OA is allowed with costs, as under: The Defendants are jointly and severally liable to pay to the Applicant Bank a total sum of Rs.L,4O,76,46L.2Ops (Rupees One Crore Forty Lakhs Seventy Six Thousand Four Hundred Sixty One and paise twenty only) with interest @ 11.650lo p.a from 23.06.2025 till the date of realization.

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proceed against the mortgaged d in the to OA towards rea lisation of

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(oA.No.342l202sl

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

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The Applicant Bank is entitled to the costs of the OA.

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The Applicant shall file a cost memo within two weeks from the date of receipt of order.

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Issue Recovery certificate accordingly.

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L4. 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 18th day of Feb,2026)

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sdl-

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(G. GOPTCHAND) PRESIDING OFFICER

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18 rF} n26

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\rdw
Assf.'dqitutrer
D'?F.,T, HYDTRABAD

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Canara Bank v. M/S Vigneshwara Powerlooms

Case brief

What is this about?

What did the court decide?

Canara Bank v. M/S Vigneshwara Powerlooms

Case brief

What is this about?

What did the court decide?

What the court decided

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Issues for consideration

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