Allowed

State Bank of India v. Sri Durga Maruthi Automotives Pvt. Ltd.

DRT8 Jan 2026OA/447/2025

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the Applicant Bank's application for recovery of Rs. 13.32 crores outstanding as a non-performing asset from the corporate borrower and personal guarantors, directing sale of hypothecated properties and issue of a recovery certificate.

What did the court decide?

PETITION ALLOWED. Defendants made jointly and severally liable to pay total sum of Rs. 13,32,59,490.61 with future interest. Recovery certificate issued to allow proceeding against hypothecated movabl

State Bank of India versus Sri Durga Maruthi Automotives… — Execution and Attachment | DRT (2026)

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IN THE DEBTS RECOVERY^TRIBUNAL -^{IAT HYDERABAD}

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DATED THIS THE 8th^{DAY OF JANUARY,2O26}

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PRESENT: SR! GUMMADI^{GOPICHAND, PRESIDING OFFIGER}

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OA. No. 447 OF 2025

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Between:

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State Bank of lndia, Stressed Asset Recovery^Branch -^2, House No. 34-10131A, New Bus^Station, 1't Floor, TSRTC,

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Kachiguda, Hyderabad. Represented by its Asst. General^Manager

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Applicant

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VERSUS

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Sri Durga Maruthi Automotives Pvt.^Ltd, Regd. Add :17-1-266-2, Gooty Road, Anantapur. Andhra Pradesh - 515 001, Rep by its Directors

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Sudha Venkateshwara Rao,

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S/o. Late S. Ramaiah, Aged about 73^years, Occ : Business, R/o. Door No. 13-2-140, Shirdi Nagar Near APSRTC Bus Stand, Gooty R Anantapur- 515 001.

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(OA. No. tl4l2025)

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Sudha Rajya Lakshmi,

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Wo. Sudha Venkateshwara Rao, Aged about 66^years, Occ : Business,^Female, R/o. Door No. 13-2-140, ShirdiNagar, NeaTAPSRTC Bus Stand, Gooty^Road, Anantapur- 515 001.

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4. Sudha Maheshwara Rao

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@^{S. Uma MaheshwaraRao}

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@^{Sudha Maesh Rao,} S/o. Sudha Venkateshwara Rao, Aged about 49^years, Occ : Business, Male, R/o. Door No. 13-2-'140, Shirdi Nagar, Near APSRTC Bus Stand, Gooty Road, Anantapur - 515 001.

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Sudha Rajeswara Rao,

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S/o. Sudha Venkateshwara Rao, Aged about 47 years, Occ: Business, Male, R/o. Door No. 13-2-140, Shirdi Nagar, Near APSRTC Bus Stand, Goo$ Road, Anantapur- 515 001

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Defendants

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Counsel for the^parties:

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For The Applicant Tarangini Pisipati For the Defendants Exparte Reserved on 06.01.2026 Pronounced on 08.01.2026 Upload in website on 08.01.2026

(oA. No. 4471202s)

ORDER

The Applicant Bank filed the^{presentOA against Defendants for} recovery of a total sum of Rs.l3,32,59,490'6{^{Ps. (Rupees} Thirteen Crores Thirty Two Lakhs Fifty^{Nine Thousand} Four Hundred Ninety and Paise^{Sixty One Only) i.e a sum} of-

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(i) Rs.12,26,9'1,922.61 Ps.^(Rupees Twelve Grores^Twenty Six Lakhs Ninety One Thousand^{Nine HundredTwenty} Two and Paise Sixty One Only)^{with future interest} @ 10.85% p.a with monthly rests inclusive of^{penal interestwith} monthly rests from 30.09.2025 tillthe^{date of realization.}

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(ii) Rs.51,93,126.00 Ps. (Rupees Sixty One Lakhs Ninety Three Thousand One Hundred and Twenty Six^Only) with future interest @ 10.90%^p.a with monthly rests^inclusiveof penal interest with monthly rests from 30.09.2025 till the date of realization.

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(iii) Rs.41,92,833.00 Ps. (Rupees Forty One Lakhs Ninety Two Thousand Eight Hundred and Thirty Three Only) , i^{with future interest} @^{10.90% p.a with monthly restsinclusiveof} , ,,,^{penal interest with,monthly rests from 30.09.2025tillthe date} . of realization. " .,, ,

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.'.

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(oA. No. aa7l202s)

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(iv) Rs.1,81,609.00 Ps. (Rupees One Lakhs Eighty One Thousand Six Hundred and Nine Only)^{with future interest} @^{11.95% p.a with monthly rests inclusive of penal interestwith} monthly rests from 30.09.2025 tillthe date of^realization.

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and in default for sale of Hypothecated Movables and^Mortgaged Properties as mentioned in the Schedule of Properties A to^C to OA.

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As per the averments in the application, the Applicant Bank states that Defendant No. 1 is a company represented by its Director Defendants No. 2 to 5 availed working capital loan facility of Rs.2.00 Crores with interest @ 9.65%^p.a with monthly rests and executed Agreement of Loan cum Hypothecation dated 12.09.2016 in favor of the Applicant Bank. The Defendants No. 2 to 5 stood as a Personal Guarantor and executed Guarantee Agreements dated 12.09.2016 in favor of the Applicant Bank. The Defendants renewed the above Loan facility from time to time and executed necessary loan documents in favor of the Applicant Bank. The defendants availed WCDL facility of Rs.24.55 Lakhs and executed Supplemental Agreement of Loan cum Hypothecation dated 30.06.2018 in favor of the Applicant Bank. The Defendant No. 1 represented by its Director Defendants No: 2 to 5 availed vehicle loan of Rs.45.00 Lakhs and i executed Agreement ., ir of Loan cum Hypothecation dated ,^{19.07.2018 in.flvorof the Applicant Bank.The DefendantNo.1}

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(oA. No. 447l2o2sl

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represented by its Director Defendants No. 2 to 5 availed GECL facility of Rs.210.00 Lakhs and executed Supplemental Agreement of Loan cum Hypothecation dated 08.07.2020 in favor of the Applicant Bank. The Defendants create equitable mortgage morefully mentioned in Schedule of Property C to OA and executed Memorandum of Deposit of Title deeds dated 02.06.2023 in favor of the Applicant Bank and deposited Registered Sale deeds in favor of the Applicant Bank. The Defendant No. 1 represented by its Director Defendants No. 2 to 5 renewed the above mentioned loan facilities from time to time and executed necessary loan documents in favor of the Applicant Bank. After availing the loan facility, the defendants failed to comply the terms of sanction, hence the applicant bank classified the account as NPA on 27.02.2025 and issued Legal notice dated 31.08.2025 to the defendants. lnspite of several requests and demands, the defendants did not clear the outstanding. Hence this OA.

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Defendants called absent and set exparte on 06.01 .2026.

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Sri. S R P Srinivas, Chief Manager of the Applicant Bank examined himself as AW.1 and exhibited relevant documents,

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(oA. No. 4471202s)

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Heard the Ld. Counsel^{for the ApplicantBank.}

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The point that arise for consideration^{is whetherthe Applicant} bank is entitled for the claim^{made in the OA againstthe} Defendants as^prayed for?

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Defendants called absent^{and set exparte. To substantiatethe} case of the Applicant^{Bank, AW.1, official of the Applicant Bank} was examined and he exhibited^{relevant documentsas Ex.A.1to} A.56. ln view of the above, I^{hold that the Applicant Bankhas} established their claim made in the^{OA against the Defendants} and hence the Applicant Bank is^{entitledto recover the claim} made in the OA with future interest^{and costs.}

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ln the result, the^present OA is allowed^{with costs, as under:}

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The Defendants No. 1 to 5 are^jointly and severally^{liable to pay} to the Applieant Bank a total sum of Rs.l3,32,59,490.61^Ps. (Rupees Thirteen Crores Thirty Two Lakhs Fifty Nine Thousand Four Hundred Ninety and Paise Sixty One Only) i.e sum of-

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tg ,91,922.61^{Ps. with futureinterest} @10.85%^p.a '.2025 fll the date of realization. 6

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(oA. No. 4471202s)

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(ii) Rs.61 ,93,126.00 Ps.^{with future interest} @^{10.90% p.a} from 30.09.2025 till^{the date of realization.}

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(iii) Rs.41,92,833.00 Ps. with future^interest @^10.90%p.a from 30.09.2025 till^{the date of realization.}

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(iv) Rs.1,81,609.00 Ps with future^interest @^{11.95% p.a} from 30.09.2025 till^{the date of realization.}

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The Applicant Bank is entitled to^{proceed against the} Hypothecated Movables and^{MortgagedPropertiesas} mentioned in the Schedules of^{the PropertiesA to C to the OA} towards realization of the^debtdue.

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The Applicant Bank is also entitled to^{proceed againstthe} person and properties of defendants No. 2 to 5 and^propertiesof Defendant No. 1 company towards^{realization of the debtdue.}

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

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icant shall file a cost memo within two weeks from the ipt of order.

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(oA. No. aa7 /202s]'

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lssue 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 th day of Jan, 2026)

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PRESIDING OFFICER
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State Bank of India v. Sri Durga Maruthi Automotives Pvt. Ltd.

Case brief

What is this about?

What did the court decide?

State Bank of India v. Sri Durga Maruthi Automotives Pvt. Ltd.

Case brief

What is this about?

What did the court decide?

What the court decided

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Issues for consideration

Parties & counsel

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