Allowed

South Indian Bank v. Ms Follow me Broadcasting limited liability partnership

DRT30 Jun 2026OA/371/2022

Case brief

AI extract

What is this about?

The Tribunal allowed the bank's application under S. 19(1) RDB Act, 1993, computing the final recovery claim by deducting amounts realized from asset sales and guarantor payment from the total outstanding dues and awarding interest.

What did the court decide?

Recovery Certificate issued permitting recovery of aggregate sum of Rs.8.32 crores (less deductions), post-decree interest at 9.45% p.a. and costs.

South Indian Bank versus Ms Follow me Broadcasting… — Contract and Commercial Disputes | DRT (2026)

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IN THE DEBTS RECOVERY TRIBUNAL-2, KERALA AT ERNAKULAM

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PRESENT: SRI.SOVAN KUMAR DASH PRESIDING OFFICER

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Dated this the 30^th day of June, 2026

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ORIGINAL APPLICATION No.371/2022

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Between

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The South Indian Bank Ltd., Chalai Branch, 1^st Floor, Sivakami Building, Power House Road, Thiruvananthapuram – 695 036. …Applicant

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And

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M/s.Follow Me Broadcasting - Limited Liability Partnership, having its office at SP 1/433, Kochuparambil, GRAK 58, Gandhipuram Road, Sreekariyam, Thiruvananthapuram – 695 017. Also at: TC 11/769, 2^nd Floor, Plamoodu, Pattom, Thiruvananthapuram – 695 004. represented by its designated Partners, defendants 2 to 4 herein.

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Mar Joseph Perumthottam, Archbishop of Changanassery, S/o.Joseph Mathai, Arch Bishop House, Changanassery, Kottayam – 686 101.

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Rev.Dr.Biju John, S/o.K.V.John, 162, Kochuparambil-1, Peroor, Sreekaryam, Thiruvananthapuram – 695 017.

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OA 371/2022

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Thomas John.

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S/o.K.V.John,

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162, Kochuparambil-1, Peroor, Sreekaryam, Thiruvananthapuram – 695 017.

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K.V.John, 162, Kochuparambil-1, Peroor, Sreekaryam, Thiruvananthapuram – 695 017.

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Justin Thomas Mathew, S/o.Thomas Mathew, Valiaparambil, Vettithuruth, Changanacherry P.O., Kottayam – 686 101. …Defendants

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This Original Application having been heard on 20.05.2026 in the presence of Advocate Ms.Arya Satheesh, representing counsel for Advocate Sri.Sunil Shankar for the applicant bank and stood over to this day for consideration, the Tribunal delivered the following:

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F I N A L O R D E R

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This Original Application has been filed under S.19(1) of the Recovery of Debts and Bankruptcy Act, 1993 for recovery of an aggregate sum of Rs.8,32,98,710.54 due under various loan accounts together with future interest on the sum of Rs.8,14,91,775.72 from the defendants jointly and severally and by sale of ‘A’ and ‘B’ schedule properties.

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OA 371/2022

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Facts of the case:

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The applicant is a banking company registered under the Companies Act, 1913, having its registered office at Thrissur and one of its branches at Chalai, Thiruvananthapuram.

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The 1^st defendant is a limited liability partnership firm

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engaged in the business of producing, broadcasting and distribution of television and radio programs and defendants 2 to 4 and 6 are its partners. The 1^st defendant approached the applicant in July, 2016 seeking financial assistance. Considering

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its request, applicant bank sanctioned the following facilities:

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Date of sanction	Type of loan	Amount	Availed by	Guarantors	Collateral security
20.09.2016	Overdraft facility	Rs.100 lakhs	1^st defendant	Defendants 2 to 6	‘A’ and ‘B’ schedule
	Term loan (TL-1)	Rs.400 lakhs			properties to the OA
28.11.2018	WCTL-1 (conversion of OD)	Rs.102 lakhs	1^st defendant	Defendants 2 to 6	‘A’ and ‘B’ schedule properties
	WCTL-2	Rs.50 lakhs			to the OA
Credit limits following faci	were restru lities:	ctured/renewed	on 28.08.20	19 and sanc	tioned the
28.08.2019	WCTL-1	Rs.1,10,02,000/-	1^st	Defendants	‘A’ and ‘B’
	WCTL-2	Rs.53,94,000/-	defendant	2 to 5	schedule properties
	TL-1	Rs.4,38,24,000/-			to the OA
	FITL-1	Rs.68,51,000/-
	FITL-2	Rs.15,71,000/-

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OA 371/2022

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The defendants availed the facilities but committed default in repayment, which resulted in classification of the accounts as NPA on 24.03.2021. The applicant issued a recall notice to the defendants on 17.04.2021 demanding repayment of the outstanding dues but they failed to clear the liability. In such premises, the applicant was constrained to file the OA claiming the following reliefs:

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(i) To recover an aggregate sum of Rs.8,32,98,710.54 together with pendente lite and post-decree interest on the sum of Rs.8,14,91,775.72 from the defendants jointly and severally and by sale of ‘A’ and ‘B’ schedule properties;

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(ii) To recover the costs, charges and expenses from the defendants;

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(iii) To issue Recovery Certificate to the Recovery Officer with a direction to recover the amount and pay it to the applicant bank.

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Defendants 1 to 6 were duly served with summons (6^th defendant was served with summons by way of substituted service). Defendants 1 to 3 entered appearance and sought adjournment for filing written statement but they did not file any written statement despite time granted and remained absent from

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OA 371/2022

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the proceeding and hence they were set exparte on 11.12.2024. None appeared and represented for defendants 4 to 6 in this proceeding.

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Proof Affidavit :

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To establish the claim on behalf of the applicant bank, one Mr.Aswaroop Nair, Branch Manager of the bank has filed proof affidavit and produced the loan documents marked as Exhibits A1 to A30. The proof affidavit filed by AW1 and the documents produced in this case are not challenged by the defendants. The availing of the loans is well established from the documents placed by the applicant bank. An aggregate sum of Rs.8,32,98,710.54 is outstanding in the loan accounts as on 20.05.2022, which is clearly established from the account statements marked as Exts.A25 to A29.

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Further, it is averred in paragraph 18 of the proof affidavit that pending the OA, applicant bank initiated recovery proceeding under the provisions of SARFAESI Act and sold the mortgaged property described in ‘A’ schedule to the OA and the movables described in ‘B’ schedule and hence no relief is sought against the OA schedule properties. It is also stated that sale proceeds (less TDS) were credited to the suit filed account on the respective dates of remittance. The account statement marked as

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OA 371/2022

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Ext.A30 produced by the applicant along with memo dated 20.06.2025 would prove the claim of the applicant in this regard. Further, it is stated in the memo dated 06.05.2026 filed by the applicant that the 2^nd defendant, who is a guarantor to the loans availed by the 1^st defendant, approached the applicant bank seeking for discharging him from his obligation under the guarantee and the applicant has agreed to release him upon making payment of Rs.50 lakhs. Accordingly, the 2^nd defendant made the payment of Rs.50,00,000/- on 30.04.2026 and the applicant has released him from the personal guarantee and they are not pressing any relief against the 2^nd defendant.

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The details of sale conducted by the applicant and the

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recoveries made during the pendency of the OA are furnished below:

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Date of sale	Details of properties	Sale consideration (less TDS)
29.09.2023	‘A’schedule	Rs.50,06,687/-
20.10.2023	‘B’schedule–item No.1	Rs.1,31,000/-
28.12.2023	‘B’schedule– item No.2	Rs.6,14,500/-
05.11.2022	‘B’schedule–item No.3	Rs.9,75,000/-
05.11.2022	‘B’schedule–item No.4	Rs.15,67,000/-
05.11.2022	‘B’schedule– item No.5	Rs.7,66,000/-
	Total	Rs.90,60,187/-
30.04.2026	Payment made by the 2^nd defendant	Rs.50,00,000/-
Total recove	ry made by the applicant	Rs.1,40,60,187/-

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Considering the amount advanced, interest and penal

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interest applied, default committed and substantial recovery

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OA 371/2022

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effected by sale of the secured assets, I am of the view that the applicant bank is entitled to get pendente lite and post-decree interest @9.45% per annum, which is reasonable in the facts and circumstances of the case.

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The applicant bank, therefore, is entitled to get a final

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order on the following lines:

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In the result, the applicant bank is given a final order allowing it to recover:

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(i) an aggregate sum of Rs.8,32,98,710.54 (Rupees eight crores thirty two lakhs ninety eight thousand seven hundred and ten and Paise fifty four only) due under the loan accounts, less the recoveries made by the applicant bank as stated in paragraph No.7 of this final order, from defendants 1 and 3 to 6 jointly and severally;

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(ii) pendente lite and post-decree interest @9.45% per annum on the sum of Rs.8,14,91,775.72 (Rupees eight crores fourteen lakhs ninety one thousand seven hundred and seventy five and Paise seventy two only) from 24.05.2022 till realization from defendants 1 and 3 to 6 jointly and severally; and

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OA 371/2022

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(iii) costs and expenses borne by it for realization of the loans from defendants 1 and 3 to 6.

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The applicant bank shall file memo of costs within ten

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days from the date of this final order.

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Recovery Certificate shall be drawn up and issued to the Recovery Officer in terms of the final order.

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Communicate copy of this order to both parties as provided in R.16 r/w R.2(c) of the Debts Recovery Tribunal

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(Procedure) Rules, 1993.

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(Dictated to my PA, corrected and pronounced by me in the open Tribunal on this the 30^th day of June, 2026)

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[SOVAN KUMAR DASH] PRESIDING OFFICER

OA 371/2022

A P P E N D I X

Witness for Applicant: AW1: Mr.Aswaroop Nair, Branch Manager of the applicant bank.

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Witness for Defendant(s): Nil

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Applicant’s Exhibits

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Ext.No	Date	Particulars of documents
A1	20.09.2016	Sanction intimation letter issued by the applicant bank and countersigned by the defendants.
A2	22.09.2016	Credit facility agreement executed by the 1^st defendant in favour of the applicant bank.
A3	22.09.2016	Agreement of guarantee executed by defendant Nos.2 to 6 in favour of the applicant bank.
A4	22.09.2016	Agreement of hypothecation executed by the 1^st defendant in favour of applicant bank.
A5	14.09.2018	Sanction intimation letter issued by the applicant bank and countersigned by the defendant Nos.1 to 5.
A6	28.11.2018	Acknowledgement of debt and security executed by the defendant Nos.1 to 5.
A7	28.11.2018	Sanction intimation letter issued by the applicant bank and countersigned by the defendant Nos.1 to 5.
A8	26.08.2016	Power of attorney executed by the 4^thdefendant in favour of the 5^thdefendant.
A9	28.11.2018	Short term restructuring (term) loan agreement for Rs.102 lakhs executed by the 1^stdefendant in favour of the applicant bank.
A10	28.11.2018	Agreement for conversion of overdraft limit to term loan executed by the 1^stdefendant in favour of the applicant bank.
A11	28.11.2018	Short term restructuring (term) loan agreement for Rs.50 lakhs executed by the 1^stdefendant in favour of the applicant bank.
A12	28.11.2018	Application for extension of securities to the restructured term loan executed by the defendant Nos.1, 4 and 5.
A13	28.08.2019	Sanction intimation letter issued by the applicant bank and countersigned by the defendant Nos.1 to 5.

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OA 371/2022

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A14	28.08.2019	Credit facility agreement for Rs.68,51,000/- executed by the 1^stdefendant in favour of the applicant bank.
A15	28.08.2019	Credit facility agreement for Rs.15,71,000/- executed by the 1^stdefendant in favour of the applicant bank.
A16	28.08.2019	Short term restructuring (term) loan agreement in respect of TL-1 executed by the 1^stdefendant in favour of the applicant bank.
A17	28.08.2019	Short term restructuring (term) loan agreement in respect of WCTL-1 executed by the 1^st defendant in favour of the applicant bank.
A18	28.08.2019	Short term restructuring (term) loan agreement in respect of WCTL-2 executed by the 1^st defendant in favour of the applicant bank.
A19	28.08.2019	Agreement of hypothecation executed by the 1^st defendant in favour of applicant bank.
A20	28.08.2019	Agreement of guarantee executed by the defendant Nos.2 to 5 in favour of the applicant bank.
A21	28.08.2019	Application for continuance of securities executed by the defendant Nos.1,4 and 5.
A22	28.11.2018	Acknowledgement of debt and security executed by the defendant Nos.1 to 5.
A23	17.04.2021	Recall notice issued to the 1^stdefendant along with the postal receipt and acknowledgement card showing the delivery of the notice.
A24	05.07.2021	Guarantee invocation letter issued to the defendant Nos.2 to 6 along with postal receipts, acknowledgment card and returned postal covers.
A25	20.05.2022	Certified copy of the statement of account relating to restructured term loan (TL-1) account No.0089652000000977.
A26	20.05.2022	Certified copy of the statement of account relating to restructured working capital term loan (WCTL-1) account No.0089655000000324.
A27	20.05.2022	Certified copy of the statement of account relating to restructured working capital term loan (WCTL-2) account No.0089655000000325.
A28	20.05.2022	Certified copy of the statement of account relating to FITL-1 account No.0089652000001130.

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OA 371/2022

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A29	20.05.2022	Certified copy	of the	statement of	account
		relating No.0089652000	to 001127.	FITL-2	account
A30	20.06.2025	Certified copy showing the ap the applicant.	of the propriatio	statements of n of recoveries	accounts made by
Defen	dants’Exhibits	– Nil

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PRESIDING OFFICER

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IN THE DEBTS RECOVERY TRIBUNAL-2, KERALA AT ERNAKULAM

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PRESENT: SRI.SOVAN KUMAR DASH PRESIDING OFFICER

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Dated the 30^th June, 2026

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OA NO.371/2022

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Between

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The South Indian Bank Ltd., Chalai Branch, 1^st Floor, Sivakami Building, Power House Road, Thiruvananthapuram. …Applicant And

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M/s.Follow Me Broadcasting - Limited Liability Partnership, having its office at SP 1/433, Kochuparambil, GRAK 58, Gandhipuram Road, Sreekariyam, Thiruvananthapuram – 695 017. Also at: TC 11/769, 2^nd Floor, Plamoodu, Pattom, Thiruvananthapuram & 5 others. …Defendants

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F I N A L O R D E R

South Indian Bank v. Ms Follow me Broadcasting limited liability partnership

Case brief

What is this about?

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South Indian Bank v. Ms Follow me Broadcasting limited liability partnership

Case brief

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