Allowed

Canara Bank v. N Elayaraja

DRT23 Jul 2026OA/41/2022

Case brief

AI extract

What is this about?

The DRT-III allowed the original application filed by Canara Bank for recovery of dues comprising Overdraft, MSME, and Term loans. The court adjudicated the claim against the primary borrower and guarantors, noting the MSME account was already closed via vehicle auction.

What did the court decide?

Recovery of total sum of Rs.71,38,804.91 from defendants 1 to 3 jointly and severally with future interest; liberty to sell scheduled properties and personal assets of guarantors.

Canara Bank versus N Elayaraja — Banking and Recovery | DRT (2026)

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O.A. No. 41 of 2022

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23.07.2026

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IN THE DEBTS RECOVERY TRIBUNAL-III, CHENNAI

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Dated this the 23^rd day of July, 2026

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Present: SMT. S.V. GOWRAMMA Presiding Officer

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ORIGINAL APPLICATION No. 41 of 2022

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Canara Bank SME Branch, Perambalur Rep. by its Manager No.170, NSR Complex, Trichy Main Road MadhanaGopalapuram, Perambalur 621 212 ….Applicant

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-Vs-

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Mr. N. Elayaraja, S/o Shri. Natarajan No.396, Subramaniyan Koil Street, Ranjankudi Village & Post Perambalur District – 621 115

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Mrs. Kanchana, W/o. Shri. Natarajan No.396, Subramaniyan Koil Street, Ranjankudi Village & Post

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Perambalur District – 621 115

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Mr. N. Sundaramoorthy, S/o. Shri. Natarajan No.396, Subramaniyan Koil Street,

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Ranjankudi Village & Post

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Perambalur District – 621 115

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Mrs. V. Malarkodi, W/o. Mr. Varadharaj

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No.396, Subramaniyan Koil Street,

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Ranjankudi Village & Post

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Perambalur District – 621 115 …Defendants

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Counsels on record / appeared:

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Counsel for Applicant : Mr. M. Muthukumaran

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Defendants 1 to 4 were set ex-parte on 05.05.2022

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: - FINAL ORDER - :

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This Original Application is filed on 25.01.2022 by the applicant

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O.A. No. 41 of 2022

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bank under Section 19 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.71,38,804.91p (Rupees Seventy One Lakhs Thirty Eight Thousand Eight Hundred Four and Ninety One Paisa Only) as follows:

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(i) A sum of Rs.31,89,795/- due in respect of OCC (Overdraft) facility (A/c No.4519256000004) repayable together with further interest @ 16.25% p.a. with monthly rests and penal interest @ 2% p.a. from the date of filing the OA till date of realization in full;

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(ii) A sum of Rs.4,94,926.47p due in respect of MSME/Services Loan Facility (A/c No.4519768000095), repayable together with further interest @ 9.90% p.a. with monthly rests and penal interest @ 2% p.a. from the date of filing the OA till date of realization in full;

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(iii) A sum of Rs.34,54,083.44/- due in respect of Term Loan Facility (A/c No.4519768000302), repayable together with further interest @ 10.10% p.a. with monthly rests and penal interest @ 2% p.a. from the date of filing the OA till date of realization in full;

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for sale of movable and immovable properties morefully detailed in Schedule A and B to the OA 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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(A) Open Cash Credit (Overdraft) facility of Rs.5,00,000/availed by 1^st Defendant

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It is the case of the applicant bank that the 1^st defendant, who is engaged in manufacturing of Chain Link (fencing) business had approached Applicant for an Open Cash Credit (Overdraft) Facility of Rs.5,00,000/-. The same was considered on mortgage of immovable property by defendants 1 to 4 in favour of Applicant and was granted Open Cash Credit (Overdraft) Facility of Rs.5,00,000/- to 1^st defendant. Having availed Open Cash Credit (Overdraft) Facility of Rs.5,00,000/under Loan Account No.4519256000004, 1^st defendant had executed following loan documents on 13.03.2014 in favour of Applicant as security:

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a) Request for Overdraft facilities

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b) Pronote for Rs.5,00,000/-

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c) Cash Credit Agreement

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The Applicant submits that without prejudice to rights of applicant

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to demand payment of entire loan amount at any time, 1^st defendant had agreed to repay same as and when it became due and payable together with interest at 10.20% per annum compounded with monthly rests or at

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such rates as may be decided by Reserve Bank of India from time to time. 5. It is submitted by the applicant bank that the defendants 1 to 4 had jointly offered their immovable property as collateral security to Open Cash Credit (Overdraft) Facility of Rs.5,00,000/- and deposited title deeds and more fully described in Schedule-A of this OA on 26.02.2014 with an intent to create equitable mortgage in favour of the applicant. The fact of deposit of title deeds and creation of equitable mortgage in favour of applicant has been confirmed by defendants 1 to 4 jointly in their Memorandum of Deposit of title deeds dated 27.02.2014 executed and registered as Document No. 643 of 2014 at the office of Sub-Registrar, Valighandapuram

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a) 05.06.1991 - Sale Deed - Natarajan - Document No. 998/1991

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b) 31.10.2009 - Death certificate of Natarajan

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c) 09.12.2009 - Legal heir ship certificate of Natarajan d) 10.09.2002 - Patta No.981 in name of 1^st defendant e) 10.09.2002 - Patta No.982 in name of 3^rd defendant f) 23.01.2014 - NathamNilavari in name of 1^st defendant g) 13.01.2014 - NathamNilavari in name of 3^rd defendant

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h) 19.06.2002 - Sale Deed - Natarajan - Document No.1383/2002

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i) 02.07.2012 - Patta No.712 in name of 2^nd defendant

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j) 23.01.2014 - NathamNilavari in name of 2^nd defendant

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It is submitted that the defendants 2 to 4 had personally guaranteed Open Cash Credit (Overdraft) Facility availed by 1^st defendant and executed separate Guarantee Covering Letter cum Guarantee

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Agreement on 13.03.2014.

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a) Guarantee Covering Letter cum Guarantee Agreement by 2^nd defendant

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b) Guarantee Covering Letter cum Guarantee Agreement by 3^rd defendant

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c) Guarantee Covering Letter cum Guarantee Agreement by 4^th defendant

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(B) MSME/Services Loan of Rs.21,55,000/- availed by 1^st Defendant

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It is the further case of the applicant bank that the 1^st defendant had again approached applicant for a MSME/ Services Loan of Rs.21,55,000/-for purchase of an Eichermake 35.31 KFSD WF Truck with BS III engine with an Application Form for loans to Micro & Small Enterprises (MSEs) dated 10.04.2015 to be availed by him under CGTMSE scheme. Along-with loan application, 1^st defendant had submitted quotation for EicherTruck dated 19.03.2015 obtained from KPN Auto Wings Pvt. Ltd., Trichy. The Applicant, after considering potentials of 1^st defendant and hypothecation of Truck, had granted him MSME/ Services Loan of Rs.21,55,000/- vide Sanction Memorandum dated 10.04.2015 with certain terms and conditions to be strictly adhered by him. Having availed MSME/Services Loan of Rs.21,55,000/- from Applicant under Loan Account Number 4519768000095, 1^st defendant had executed following documents as security on 10.04.2015 in favour of Applicant.

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a) Deed of hypothecation Re: Vehicles for Rs.21,55,000/-

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b) Agreement Cum Deed of Hypothecation

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c) Letter of Undertaking

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The Applicant submits that without prejudice to rights of Applicant to demand repayment of entire loan amount from 1^st defendant at any time, he had undertaken to repay availed loan in 60 monthly instalments of Rs.48,397/- together with interest at the rate of 11.20% per annum compounded with monthly rests.

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The Applicant further submits that the 1^st defendant had purchased truck from and out of loan availed from Applicant and hypothecated with them as narrated in Particulars of Hypothecation dated 11.04.2015. The details of Truck are more fully described in Schedule-B hereunder.

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(C) Enhancement of Open Cash Credit (Overdraft) facility to Rs.15,00,000/- by 1^st Defendant

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The applicant bank submits that the 1^st defendant had approached applicant on 28.10.2015 for enhancement of Open Cash Credit (Overdraft) facility from existing Rs.5,00,000/- to Rs.15,00,000/- with an Application Form for loans to Micro & Small Enterprises (MSES) dated 28.10.2015. The applicant considered potentials and experience of 1^st defendant and on hypothecation of stocks of raw materials, besides mortgage of immovable property by defendants 1 to 4 in favour of Applicant, had enhanced Open Cash Credit (Overdraft) facility to Rs.15,00,000/- vide Sanction dated 02.02.2016 to 1^st defendant with certain terms and conditions to be adhered strictly by him. The tenability

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of this facility was until 01.02.2017 and 1^st defendant, who had availed enhanced Open Cash Credit (Overdraft) Facility of Rs.15,00,000/- from Applicant under existing Loan Account No.4519256000004, executed following loan documents as security in favour of Applicant on 04.02.2016:-

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a) Pronote for Rs.10,00,000/-

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b) Cash Credit Agreement

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c) Link Letter in respect of Enhancement of Credit Facilities

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d) Common Hypothecation Agreement

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e) Link Letter when switching over to new agreement

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It is submitted by the applicant bank that without prejudice to right of applicant to demand repayment of entire Open Cash Credit (Overdraft) Facility from defendants 1 to 4 at any time, they had agreed to service interest as and when it fell due together with interest at rate of 11.30% per annum compounded with monthly rests.

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(D) Enhancement of Open Cash Credit (Overdraft) facility to Rs.29,50,000/- by 1^st Defendant

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The Applicant submits that the 1^st defendant had yet again approached applicant for enhancement of Open Cash Credit (Overdraft) facility from existing Rs.15,00,000/- to Rs.29,50,000/- which was considered by Applicant. The Open Cash Credit (Overdraft) facility was sanctioned and enhanced to Rs.29,50,000/- vide Office Note cum Sanction dated 02.05.2017 to 1^st defendant with certain terms and

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conditions to be adhered strictly by him, its tenability was until 30.04.2018. The 1^st defendant had availed enhanced Open Cash Credit (Overdraft) Facility of Rs.29,50,000/- from Applicant under existing Loan Account No.4519256000004 and executed following loan documents as security in favour of Applicant on 02.05.2017:-

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a) Pronote for Rs.14,50,000/-

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b) Supplemental Common Hypothecation Agreement

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c) Letter of Renewal

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d) Link Letter in respect of enhancement of Credit Facilities

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The Applicant submits that, without prejudice to right of applicant to demand repayment of entire Open Cash Credit (Overdraft) Facility from defendants 1 to 4 at any time, they had agreed to service interest as and when it fell due together with interest at rate of 11.30% per annum compounded with monthly rests.

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It is submitted by the applicant bank that the defendants 2 to 4 had also guaranteed above enhanced Open Cash Credit (Overdraft) Facility of Rs.29,50,000/- availed by 1^st defendant from Applicant and executed separate Letters whenever limits are renewed on 02.05.2017 in favour of Applicant 2^nd defendant, 3^rd defendant & 4^th defendant.

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The Applicant submits that the 1^st defendant had acknowledged liability of debt in his Open Cash Credit (Overdraft) Facility Account No.4519256000004 and executed Acknowledgment of Debt and Security in favour of applicant on 22.05.2017. The 1^st defendant had also acknowledged liability of debt in his MSME/ Services Loan Account

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Number 4519768000095 and executed Acknowledgment of Debt and Security in favour of applicant on 05.01.2018.

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(E) Term Loan of Rs. 31,38,000/- availed by 1^st Defendant

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The Applicant submits that the 1^st defendant who wanted to open wheel balancing and wheel alignment servicing centre for all types of four wheelers in the name and style of M/s. Om Sakthi Wheel alignment at S.F. No. 9/4-A, Ariyalur Main Road, Near E.B. Office, Perambalur - 621212 had, once again approached applicant for a Term Loan on Rs.31,38,000/- for constructing a shed and purchase garage equipment to be availed by him under CGTMSE scheme. The Applicant, after considering potentials of 1^st defendant and hypothecation of garage equipments and shed, had granted him Term Loan of Rs.31,38,000/- vide Sanction No. 58 of S.M.E. Sulabh, Trichy dated 14.02.2018 and Applicant's Sanction Memorandum dated 20.02.2018 with certain terms and conditions to be strictly adhered by him. Having availed Term Loan of Rs.31,38,000/from Applicant under Loan Account Number 4519768000302, 1^st defendant had executed following documents as security on 22.02.2018 in favour of Applicant.

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a) 22.02.2018 - Term Loan Agreement for Rs.31,38,000/- by 1^st defendant to Applicant

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b) 22.02.2018 - Deed of Hypothecation Red: Machinery by 1^st defendant to Applicant

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c) 22.02.2018 - Letter of Undertaking by 1^st defendant to Applicant

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d) 22.02.2018 - Supplemental Common Hypothecation Agreement

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by 1^st defendant to Applicant

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It is submitted by the applicant bank that without prejudice to rights of Applicant to demand repayment of entire loan amount from 1^st defendant at any time, he had undertaken to repay availed loan in 81 monthly installments together with interest at the rate of 11.05% per annum compounded with monthly rests.

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The applicant bank submits that the Open Cash Credit (Overdraft) facility availed by 1^st defendant being a sum of Rs.29,50,000/- was renewed vide Office Note dated 22.05.2018 tenability was for a year from date of sanction.

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The Applicant submits that among other repayments, 1^st defendant has remitted cam of Rs.50,000/- into his Term Loan A/c. No. 4519768000095 on 08.11.2019. They have sent a letter dated 24.12.2019 to 1^st defendant requesting him to pas all business transactions in Open Cash Credit (Overdraft) facility the Account No. 4519256000004, failing which may adversely affect his future availment/ enhancement of loan. Some of repayments by 1^st defendant into his loan accounts are:

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a) Rs.41,000/on 07.01.2020 into MSME Loan Alc. No. 4519768000095,

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b) Rs.46,500/- on 20.01.2020 into Term Loan Account No. 4519768000302, c) Rs.50,000/on 29.06.2020 into OCC Account No.

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4519256000004,

It is submitted that the 1^st defendant had written a letter on 30.06.2020 to Applicant requesting for advancing loan as business was dull due to spread of Corona virus. The 1^st defendant had also deposited Rs.28,500/- into his Open Cash Credit (Overdraft) facility Account No. 4519256000004 on 03.07.2020.

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The 1^st defendant had acknowledged liability of debt in his MSME/ Services Loan Account No.4519768000095 and executed Acknowledgment of Debt and Security in favour of applicant on 25.09.2020.

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The 1^st defendant after availing Term Loan, MSME/ Services Loan and renewed OCC (Overdraft) Facility was regular until the year 2020 and thereafter, repayments in Term Loan, MSME/ Services Loan and servicing of interest in Open Cash Credit (Overdraft) Facility was slowed down. The last of few remittances made by 1^st defendant into above accounts are:-

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a) 01.01.2021- Rs.1,30,848.85 into Term Loan Account No. 4519768000302

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b) 02.01.2021Rs.28,500/into OCC Facility Account No. 4519256000004

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c) 02.01.2021- Rs.8,539/- into MSME/ Services Loan A/c. No. 4519768000095

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d) 26.04.2021- Rs.7,00,000/- into his OCC Facility Account No. 4519256000004

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e) 26.04.2021- Rs.9,091/- into MSME/ Services Loan A/c. No. 4519768000095

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f) 26.04.2021Rs.1,50,000/into Term Loan Account No. 4519768000302.

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The 1^st defendant gave unbelievable and unsatisfactory reply for not repaying in Term Loan, MSME/ Services Loan and non-servicing of interest. The accounts of 1^st defendant became overdue and since same was not upgraded an repayments were insufficient to keep account healthy, Applicant classified all 3 loan accounts of 1^st defendant's, they being:- Open Cash Credit (Overdraft) Facility MSME/ Services Loan &Term Loan as a Non-Performing Asset on 22.07.2021. Since there was no response thereafter and transactions have also been stopped except for a few cash deposits as given above, Open Cash Credit (Overdraft) Facility, MSME/ Services Loan & Term Loan of 1^st defendant have been recalled.

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The defendants 2 to 4 have guaranteed due repayment in Open Cash Credit (Overdraft) Facility availed by 1^st defendant, which is subsisting till date. Hence, defendants 2 to 4 are jointly and severally liable to repay outstanding amounts in OCC (Overdraft) facility.

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The applicant states that 1^st defendant had remitted amounts as stated above among other deposits made into his accounts. The defendants 1 to 4 have also mortgaged their immovable properties as collateral securities in favour of Applicant. The 1^st defendant has executed Acknowledgement of Debt and Security in respect of above 3 loan accounts on various dates. By virtue of these remittances, creation of

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equitable mortgage and acknowledgment in favour of Applicant, a fresh period of limitation has started to commence from these dates and hence, above OA is filed within the period of limitation. Despite repeated requests and demands, as defendants did not come forward to repay the dues, 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 the Defendants 1 to 4 through Registered Post with Acknowledgment Due, which was duly served in respect of D-1 to D-4. No representation from Defendants. When OA was taken up on 05.05.2022 even after giving sufficient time, there was no appearance or representation from the defendants. Hence, Defendants 1 to 4 were placed ex-parte on 05.05.2022.

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Heard the submissions of Applicant Bank and perused the record s.

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To prove the case of the Applicant Bank, Ms. A. Devaki, Manager of the Applicant Bank, has filed her Affidavit by way of evidence and same was considered as evidence of AW-1 and list of documents came to be

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marked as Ex A-1 to A-54 .

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A careful examination of the pleadings in the Proof Affidavit and documents Exhibits A-1 to A-54 evidence that the borrowal of credit facilities and execution of loan and security documents are true, in terms

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of averments made in Original Application as well as Proof Affidavit filed by applicant bank establishing its claim. Applicant bank filed Statement of

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Accounts duly certified under Bankers’ Book Evidence Act, evidencing the amount claimed against Defendant.

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The Defendants were set ex-parte on 05.05.2022, but till this day they did not take any action to set aside the ex-parte order and did not choose to contest the claim. Further, a careful scrutiny of records makes it clear that present application is filed well within limitation and this Tribunal possesses necessary and proper jurisdiction to entertain and adjudicate the claim. No oral or documentary evidence on the side of Defendant are produced or filed to dispute the claim of applicant bank. Hence, it can be concluded that applicant bank has proved its claim against Defendant.

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At the time of filing proof affidavit, the applicant bank submitted at Para 33 that after the filing of OA, the 1^st defendant had permitted the applicant bank to sell away hypothecated vehicle in a public auction to discharge his liabilities under MSME Services Loan A/c No.4519768000095, which was at Rs.5,35,281.47p. Since the vehicle fetched only a sum of Rs.5,21,000/-, remaining sum of Rs.14,281.47p was paid by the 1^st defendant. Hence, MSME services loan A/c No.4519768000095 has been discharged in full and was closed on 25.05.2022.

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

The OA is allowed with costs,

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(a) The applicant bank is allowed to recover from the Defendants 1 to 3 jointly and severally, for recovery of a total sum of Rs.71,38,804.91p (Rupees Seventy One Lakhs Thirty Eight

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Thousand Eight Hundred Four and Ninety One Paisa Only) as follows:

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(i) A sum of Rs.31,89,795/- due in respect of OCC (Overdraft) facility (A/c No.4519256000004) repayable together with further interest @ 16.25% p.a. with monthly rests and penal interest @ 2% p.a. from the date of filing the OA till date of realization in full;

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(ii) A sum of Rs.34,54,083.44/- due in respect of Term Loan Facility (A/c No.4519768000302), repayable together with further interest @ 10.10% p.a. with monthly rests and penal interest @ 2% p.a. from the date of filing the OA till date of realization in full along with costs of this application.

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(b) The amount due in respect of MSME/Services Loan Facility

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(A/c No.4519768000095) was closed on 25.05.2022 by way of sale of hypothecated vehicle in public auction, morefully detailed in para 29 above.

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amount, the bank is at liberty to recover the amount by sale of the schedule A mentioned immovable properties more fully detailed in the OA schedule.

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(d) If the sale proceeds of the immovable properties and hypothecated assets are not sufficient to satisfy the dues as ordered above, the applicant bank is at liberty to sell the personal assets of the Defendants 2 to 4 (both movable and immovable) to recover

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the balance dues in respect of OCC (Overdraft) facility (A/c No.4519256000004) as required under law for which the Defendants 2 to 4 to disclose to the Tribunal particulars of other properties or assets owned by the Defendants 2 to 4.

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(e) 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 Defendants to the applicant bank.

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(f) The applicant bank shall file memo of costs within ten days

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from the date of receipt of this final order.

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(g) Recovery Certificate shall be drawn up and issued to the 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/(S.V. GOWRAMMA) PRESIDING OFFICER, DRT-III, CHENNAI

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(Dictated to PS, transcribed by her, corrected, signed and pronounced by me on this the 23^rd day of July, 2026)

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK :

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AW-1: Ms. A. Devaki, Manager of 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.	Request for Overdraft Facilities – 1^stdefendant to Applicant dated 13.03.2014.	A-1
2.	Pronote for Rs.5,00,000/- - 1^stdefendant to Applicant dated 13.03.2014.	A-2
3.	Cash Credit Agreement – 1^stdefendant to Applicant dated 13.03.2014.	A-3
4.	Memorandum of Deposit of Title Deeds – Defendants to Document No.643/2014 dated 27.02.2014.	A-4
5.	Sale Deed – Natarajan – Doc. No.998/1991 with gist of translation dated 05.06.1991.	A-5
6.	Death certificate of Natarajan dated 31.10.2009.	A-6
7.	Legal heir ship certificate of Natarajan dated 09.12.2009.	A-7
8.	Patta No.981 in name of 1^stdefendant dated 10.09.2002.	A-8
9.	Patta No.982 in name of 3^rddefendant dated 10.09.2002.	A-9
10.	Natham Nilavari in name of 1^stdefendant dated 23.01.2014.	A-10
11.	Natham Nilavari in name of 3^rddefendant dated 13.01.2014.	A-11
12.	Sale Deed – Natarajan Doc. No. 1383/2002 with gist of translation dated 19.06.2002.	A-12
13.	Patta No.712 in name of 2^nddefendant dated	A-13

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	02.07.2012.
14.	Natham Nilavari in name of 2^nddefendant dated 23.01.2014.	A-14
15.	Guarantee Covering Letter cum Guarantee Agreement – 2^nddefendant to Applicant dated 13.03.2014.	A-15
16.	Guarantee Covering Letter cum Guarantee Agreement – 3^rddefendant to Applicant dated 13.03.2014.	A-16
17.	Guarantee Covering Letter cum Guarantee Agreement – 4^thdefendant to Applicant dated 13.03.2014.	A-17
18.	Application Form for Loans to Micro & Small Enterprises – 1^stdefendant to Applicant dated 10.04.2015.	A-18
19.	Quotation No. VEHD173 by KPN to 1^stdefendant dated 19.03.2015.	A-19
20.	Sanction Memorandum – Applicant’s dated 10.04.2015.	A-20
21.	Agreement cum Deed of Hypothecation for Rs.21,55,000/- 1^stdefendant to Applicant dated 10.04.2015.	A-21
22.	Deed of Hypothecation Re: Vehicles – 1^st defendant to Applicant dated 10.04.2015.	A-22
23.	Letter of Undertaking – 1^stdefendant to Applicant dated 10.04.2015.	A-23
24.	Particulars of Hypothecation – Vehicles, etc. dated 11.04.2015.	A-24
25.	Application Form for Loans to Micro & Small Enterprises – 1^stdefendant to Applicant dated 28.10.2015.	A-25
26.	Sanction Memorandum dated 02.02.2016.	A-26
27.	Pronote for Rs.10,00,000/- 1^stdefendant to Applicant dated 04.02.2016.	A-27
28.	Cash Credit Agreement – 1^stdefendant to Applicant dated 04.02.2016.	A-28
29.	Link Letter – 1^stdefendant to Applicant dated 04.02.2016.	A-29
30.	Common Hypothecation Agreement – 1^st defendant to Applicant dated 04.02.2016.	A-30
31.	Link letter – 1^stdefendant to Applicant dated 04.02.2016.	A-31
32.	Office Note cum Sanction of Applicant’s dated 02.05.2017.	A-32
33.	Pronote for Rs.14,50,000/- - 1^stdefendant to Applicant dated 02.05.2017.	A-33
34.	Supplemental Common Hypothecation Agreement	A-34

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O.A. No. 41 of 2022

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	–1^stdefendant to Applicant dated 02.05.2017.
35.	Letter of Renewal – 1^stdefendant to Applicant dated 02.05.2017.	A-35
36.	Link Letter for enhancement – 1^stdefendant to Applicant dated 02.05.2017.	A-36
37.	Link Letter for enhancement – 2^nddefendant to Applicant dated 02.05.2017.	A-37
38.	Link Letter for enhancement – 3^rddefendant to Applicant dated 02.05.2017.	A-38
39.	Link Letter for enhancement – 4^thdefendant to Applicant dated 02.05.2017.	A-39
40.	Acknowledgment of Debt and Security by 1^st defendant to Applicant for A/c. No. 4519256000004 dated 22.05.2017.	A-40
41.	Acknowledgment of Debt and Security by 1^st defendant to Applicant for A/c. No.4519768000095 dated 05.01.2018.	A-41
42.	Sanction No.58 and S.M.E. Sulabh, Trichy dated 14.02.2018.	A-42
43.	Sanction Memorandum – Applicant dated 20.02.2018.	A-43
44.	Term Loan Agreement for Rs.31,38,000/- by 1^st defendant to Applicant dated 22.02.2018.	A-44
45.	Deed of Hypothecation Red: Machinery by 1^st defendant to Applicant dated 22.02.2018.	A-45
46.	Letter of Undertaking by 1^stdefendant to Applicant dated 22.02.2018.	A-46
47.	Supplemental Common Hypothecation Agreement by 1^stdefendant to Applicant dated 22.02.2018.	A-47
48.	Office Note dated 22.05.2018.	A-48
49.	Letter sent by Applicant to 1^stdefendant A/c. No.4519256000004 dated 24.12.2019.	A-49
50.	Letter sent by Applicant to 1^stdefendant dated 30.06.2020.	A-50
51.	Acknowledgment of Debt and Security by 1^st defendant to Applicant for A/c. No. 4519768000095 dated 25.09.2020.	A-51
52.	Statement of Accounts–A/c.No.4519256000004	A-52
53.	Statement of Accounts–A/c.No.4519768000095	A-53
54.	Statement of Accounts–A/c.No.4519768000302	A-54

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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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O.A. No. 41 of 2022

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SCHEDULE OF PROPERTIES

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SCHEDULE-A

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(i) All that piece and parcel of immovable properties being land and building with land measuring an extent of 1836 sq.ft comprised in Natham S.No. 409/1 of Ranjankudi H/о. Thevaiyur (South) Village, Thevaiyur Majura, Veppanthattai Taluk, Perambalur District together with building measuring 1140 sq.ft., constructed on ground floor, first floor with all doors, fittings, electric service connections, etc. with boundaries bounded on the

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South by : East-West Subramaniyar Kovil Street

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West by : Kannupillai Land

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North by : Krishnamoorthy Plot East by : Plot purchased by Subramnian

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With linear measurements, measuring

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East to West on both sides : 25 ½ Feet

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North to South on both sides : 72 Feet

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In all admeasuring 1836 sq.ft

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The above property is situated within the Registration District of Ariyalur and Sub-Registration District of Valikandapuram.

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(ii) All that piece and parcel of immovable properties being land and building with land measuring an extent of 598 sq.ft comprised in Natham S.No. 410, UDR S.F.No.39 of Ranjankudi H/o. Thevaiyur (South) Village, ThevaiyurMajura, Veppanthattai Taluk, Perambalur District together with building measuring 297 sq.ft. and asbestos shed with boundaries Bounded on the

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West by : North South Arcot Road

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South by : VeluPillai site East by : Rajamani Site North by : 4 feet wide East-West pathway

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With linear measurements, measuring

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O.A. No. 41 of 2022

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23.07.2026

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East to West on both sides : 26 Feet

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North to South on both sides : 23 Feet

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In all admeasuring 598 sq.ft

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The above property is situated within the Registration District of Ariyalur and Sub-Registration District of Valikandapuram

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SCHEDULE – B

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Hypothecated property already sold by applicant bank.

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

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Uploaded on 23.07.2026 at 13:30 hours

Canara Bank v. N Elayaraja

Case brief

What is this about?

What did the court decide?

Canara Bank v. N Elayaraja

Case brief

What is this about?

What did the court decide?

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