Allowed

Canara Bank v. M/S. Jp.Power;Looms Industry

DRT9 Jan 2026OA/490/2025

Case brief

AI extract

What is this about?

In OA No. 490 of 2025, the Debt Recovery Tribunal allowed the application filed by Canara Bank against its defaulters M/s. JP Powerlooms Industry and Smt. Munikuntla Parmeshwar for the recovery of a loan along with interest.

What did the court decide?

Defendants directed to pay Rs. 1,68,63,479.05 with future interest; Recovery Certificate issued; Direction to proceed against hypothecated properties.

Canara Bank versus M/S. Jp.Power;Looms Industry — Banking and Recovery | DRT (2026)

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IN THE DEBTS RECOVERY TRTBUNAL - tAT HYDERABAD DATED THIS THE^gth DAY OF JANUARY, 2026

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PRESENT: sRl cuMMADt coptcHAND, pREStDtNG oFFtcER

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OA. No. 490 OF 2025

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Between :

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Canara Bank, Hanamkonda Branch,

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Warangal - 506 001.

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Represented by its Authorized Officer

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Applicant

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VERSUS

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M/s.JP Powerlooms lndustry, Rep. by its Proprietor,

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Munikuntla Parmeshwar,

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R/o. Plot No. 53, Sy No. 179111,

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Madikonda, Kazipet,

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Warangal, Telangana - 506 142.

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Smt. Munikuntla Parmeshwar

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Wo. M. Rajaiah, Gen - Male,

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Aged about 45 years, Occ. Business,

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Rlo. 3-2711, Garimillapalle,

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Chityal,

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WaransaJ,Jeh&efla - 506 356

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Defendants

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¶23

(OA. No. 490/202s1

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Counsel for the parties :

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For The Applicant G. Krishnachaitanya For the Defendant Exparte Reserved on 07.01.2026 Pronounced on 09.01 .2026 Upload in website on 09.01 .2026

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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.1, 68,63,479.05ps. (Rupees one Grores sixty Eight Lakhs sixty Three Thousand Four Hundred seventy Nine and paise Five only) i.e a sum of Rs.1 ,42,07 ,237 .54 Ps. + Rs.1 ,64,691 .24ps. + Rs.6,06,4 4l .2ps + Rs.18,85,103.05 Ps. together with future interest @ 12.00% p.a with monthly rests and Penal interest with monthty rests from the date of this application till the date of realization and in default .. for sale of Hypothecated Movables and Mortgaged

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(oA. No. 490/202s)

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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 Defendant No. 2 availed Term Loan facility of Rs.98,31,0001 with interest @1O.2Oyo p,a with monthty rests repayable in EMI's of Rs.1,15,120l- along with penal interest @2%^{p.a with monthly} rests and working capital facility of Rs.15.00 Lakhs together with interest @1O.2Oo/o p.a with monthly rests and executed necessary loan documents in favor of the Applicant Bank. The defendants availed GECL facility of Rs.2.00 Lakhs with interest @750% p.a with monthly rests repayable in 36 monthly installments and executed Common Hypothecation Agreement dated 08.07.2020 in favor of the Applicant Bank. The defendants availed GECL 1.0 extension loan facility of Rs.5.00 Lakhs with interest @9.25% p.a with monthly rests repayable in 60 monthly installments and executed Supplemental Composite Hypothecation Agreement dated15.12.2021 in favorof the Applicant Bank. The Defendant no. 1 created Equitable Mortgage morefully mentioned in Schedule B to the OA and executed Agreement to Mortgage dated 14.02.2020 in favor of the Applicant Bank and Defendant no. 1 deposited Original tifle deeds in favor of the Applicant Bank . After availing the loan facility, the defendants 17 !_;.,. failed to comply the terms of sanction, hence the applicant bank classified nt as NPA and issued Demand notice dated 04.11.2023 {rLegal Notice dated 06.08.2025 to the *[ 1 .ti I ,rAti '176 1 &J 1i Q.q/

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(oA. No. 490/202sl'

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defendants. lnspite of severat requests and demands, the defendants did not clear the outstanding. Hence this oA.

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Defendants called absent and set exparte on 0r.01.2026.

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sri. B. Madhava Reddy, chief Manager of the Applicant Bank examined himself as AW.1 and exhibited relevant documents, which are marked as Ex.A.1 to A.15.

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Heard the Ld. Counsel for the Applicant Bank.

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The point that arise for consideration is whether the Applicant bank is entitled for the craim 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.A.1 to 4.15. ln view of the above, ! hord 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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(oA. No. 490/202s)

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

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The Defendants No. 1 and 2 are joinfly and severally liable to pay to the Applicant Bank a total sum of Rs.l,6g,63,479.05ps. (Rupees One Crores Sixty Eight Lakhs Sixty Three Thousand Four Hundred Seventy Nine and paise Five Only) i.e a sum of Rs.1 ,42,07 ,237 .54 ps. + Rs.1 ,6 4,691 .24ps. + Rs.6,06,447.2Ps + Rs.18,85,103.05 ps. together with future interest @ 12.00% p.a from the date of this apptication tiil the date of realization

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The Applicant Bank is entifled to proceed against the Hypothecated Movables and Mortgaged properties AS mentioned in the Schedules of^property A and B to the OA towards realization of the debt due.

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The Applicant Bank is also entifled 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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That nk is entitled to the costs of the OA.
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(oA. No. 490/202s)

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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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lssue Recovery Certificate accordingly.

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Communicate a copy of the order to the parties concerned.

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(Dictated 10 the P.A., transcribed by her, corrected, signed and pronounced by me in the open court on this the th day ofJan,2026)

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0 $ .rlil?nfi

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sd/_
(c. coPtcHAND)
PRESIDING OFFICER

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Canara Bank v. M/S. Jp.Power;Looms Industry

Case brief

What is this about?

What did the court decide?

Canara Bank v. M/S. Jp.Power;Looms Industry

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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