Allowed

Canara Bank v. M/s. Gsr Enterprises.

DRT29 Jul 2026OA/436/2026

Case brief

AI extract

What is this about?

In an original application for recovery of an MSME OD loan, the Debts Recovery Tribunal decided the matter in the absence of defendants. The Tribunal held the defendants jointly and severally liable to pay the outstanding sum along with future interest and granted costs to the bank.

What did the court decide?

Defendants ordered to pay Rs.79,14,883.51 with future interest; bank entitled to proceed against secured property and defendant assets for debt realization and allowed costs.

Canara Bank versus M/s. Gsr Enterprises. — Contract and Commercial Disputes | DRT (2026)

¶1

IN THE DEBTS RECOVERY TRIBUNAL.II AT HYDEMBAD

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DATED THIS THE 29TH DAY OF ]ULY, 2026

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PRESENT: SH. RAMESHWAR KOTHE, B.Com., L.LB. (Hons.), M.A. PRESIDING OFFICER

¶4

ORIGINAL APPLICATION No: 436 OF 2026

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Canara Bank., Anantapur New Town Branch Neelma Theatre Complex, New Town Anantapur, Andhra Pradesh - 515004. Rep. by its Authorized Signatory.

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.....Applicant.

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Versus

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M/s. GSR Enterprises., Represented by its Proprietor, Guggila Harinath Reddy, LIG 349, Ground Floor D.No.2B-6-49, APHP Colony, Near LiG Bus Stop, Anantapur, Andhra Pradesh-515001.

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Sri. Guggila Harinath Reddy S/o. G. Ramasubba Reddy, H.No.1/206 Rachana pa lli, Ana ntapur Rural Anantapur, Andhra Pradesh - 515004. ...Defendants : 14r. P. Sai Chandrasekhar Counsel for the Applicant Defendants : Ex-pa rte

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:: ORDER ::

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The Applicant Bank filed the present OA for the recovery a total sum of Rs.79,14,883.51ps towards MSME OD Loan 2994261000064 from the defendants jointly and severally with future interest @12.90o/o p.a. with monthly interest rates from 72-03.2026 till the date of realization along with costs and ln default for sale of OA schedule^property. '": .'$ )-r'<sup>'-

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oA.NO.436/2025

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¶14

Summons served on D1 and 2. They were set ex-parte on 2A.O7.2026 as called absent and no representation.

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The Applicant Bank examined P. Nithin, Legal Manager, as AW1 and marked 07 documents through him as Ex. A.1 to Ex. A.07.

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Heard the Ld. Counsel for the Applicant Bank.^perused the material placed on record.

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The point that arises for consideration is:-

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Whether the Applicant Bank is enti ed for the claim made in the OA against the Defendants and OA schedule propefty?

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As stated supra, the Defendants remained ex-parte. The Evidence Affidavit coupled with the recitals in the documents viz., Exs. A.1 to A.07 marked on behalf of the Applicant Bank clinches the claim of the Applicant Bank against the Defendants. Hence, I hold that the Defendants are jointly and severally liable to^pay the OA claim to the Applicant Bank with future interest and costs.

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In the result, the present Originat Apptication No.436/2026 is allowed as under: -

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i) The Defendants are jointly and severally liable to pay to the Applicant Bank a sum of Rs.79,14,883.51ps towards MSME OD Loan 2994267000064 with future interest @11.50o/o^p.a. simple from the date of application till the date of redizationyf$r,

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oA.NO.436/2025

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ii) the OA claim is secured by way of mortgage of property described in the schedule annexed to the OA and the applicant bank is entitled to proceed against the same to realise its debt;

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iii) the applicant bank is also entitled to proceed against the person and properties of defendants for realization of its dues;

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iv) the applicant bank is entitled for the costs.

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B. The Applicant Bank is directed to file Cost Memo within 2 weeks from the date of receipt of this Order.

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Issue Recovery Certificate accordingly.

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Communicate a copy of this order to the parties concerned. (Dictated to the steno, corrected, signed and pronounced by me in the open court on this the 29th Day of Juty, 2026).

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,r. 1\r* _" ^ _ r L /'^* -<;.$)')'^ (*rMrsHWAR KorHE) PRESIDING OFFICER

Canara Bank v. M/s. Gsr Enterprises.

Case brief

What is this about?

What did the court decide?

Canara Bank v. M/s. Gsr Enterprises.

Case brief

What is this about?

What did the court decide?

What the court decided

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