Allowed

Canara Bank v. M/S. Vijaya Textiles

DRT8 Jul 2026OA/569/2025

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the Original Application filed by Canara Bank against the Defendants for recovery of outstanding dues totaling over Rs. 1.66 crore along with interest on various loan accounts.

What did the court decide?

Defendants jointly and severally liable to pay Rs. 1,66,44,868.30 plus interest; order to proceed against hypothecated and mortgaged properties; personal properties of Defendants attachable for realiz

Canara Bank versus M/S. Vijaya Textiles — Banking and Recovery | DRT (2026)

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IN THE DEBTS RECOVERY TRIBUNAL - I AT HYDERABAD

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DATED THIS THE OSth DAY OF JULY, 2026

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PRESENT: SRI cUMMADI GOPICHAND, PRESIDING OFFICER

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OA. No.569 OF 2025

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Between :

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Canara Bank, H.No.8-4-4, Krishna Colony, Station Road, Warangal-506002. Telangana Represented by its Chief Manager

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Applicant

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VERSUS

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M/s. Vijaya Textiles Rep. by its Proprietor Smt. Kairamkonda Vijaya w/o Venkatesh, Plot No.286, sy.No.1791/1, - Textiles Park Madikonda, Kazhipet, Warangal-506142

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2.
Smt. Kairamkonda Vijaya _ .. " u,,. l''
Wo Venkatesh, - ''t
l.;j ri. *' ' -,r.
Aged about 53 years, Occ: Buyrrgps iirr
R/o H.No. 143-8, Kailashnagall .
Bjumbai, Surat city, - ii.: 0 0 JLtt *rn
Gujarat-395010. Defendants

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: It N

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(OA. No. s69l202s)

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Counsel for the parties :

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For The Applicant Daram Srinivasulu For the Defendant Sri. R. Sravan Kumar Reserved on 07.07.2026 Pronounced on 08.07.2026 Upload in website on 08.07.2026

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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.1,66,44,858.30 ps., (Rupees One Crores Sixty Six Lakhs Forty Four Thousand Eight Hundred and Sixty Eight and Paise Thirty Only) i.e a sum of-

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Ps. under Term Loan account with future rests from 11.09.2025 till

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(ii) Rs.1 ffi^iJf{der Loan account with future interest p.a with from 11.09.2025 till the date of

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(oA. No. s69l202s)

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(iii) Rs.4,18,461.16 Ps. under the GECL - | account with future interest @9.25% p.a with monthly rests from 11.09.2025 till the date of realization;

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(iv) Rs.9,78,212.27 Ps. under the GECL - 2 account with future interest @9.25% p.a with monthly rests from 11.09.2025 till the date of realization;

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and in default for sale of Hypothecated Movables and Mortgaged Property as mentioned in the Schedule of Property to OA.

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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 Loan facilities of Rs.1,13,00,0001 with interest and executed necessary loan documents in favor of the Applicant Bank. The Defendant no. 2 being the Proprietor of Defendant No. 1 created^Equitable Mortgage morefully mentioned in Schedule of^property to^OA and executed Memorandum of Deposit of Title^Deedsdated 26.07.2022 in favor of theApplicant Bankand deposited^title deeds in favor of the Applicant Bank. After^availing the^loan facility, the dgfgada€!$-failed to comply the terms^{of sanction,} n"."" frr.i;pl'""ifoig$rssified the account as NPA^and ;" "- '".1i ".'\ issued D'eman{'irotice dei[eE06.11.2023 under Section^{13(2) of} tne SnCrfS-l {-gJ,frfp2 b-,ittre oetendants.^{lnspiteof several} ...". - I^.l l. ,.-..),:^i:,..y' , ;. ,, ;!',?'J 'r;r'J ,.' .'.'- ? o** -", --t-."'/, " ;"

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(OA. No. 569/202s)

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requests and demands, the defendants did not clear the outstanding. Hence this OA.

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Sri. R. Sravan Kumar filed Vakalat on behalf of Defendants No. 1 and 2 . Even after the lapse of 45 Days WS of Defendants No. 1 and 2 not filed and hence the right of filing of WS of Defendants No. 1 and 2 was forfeited on 10.03.2026.

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Smt. Vankudothu Anusha, Manager of the Applicant Bank examined herself as AW.1 and exhibited relevant documents, which are marked as Ex.A 1 to A.21 .

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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 claim made in the OA against the Defendants as prayed for?

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Defendants no. 1 and 2 did not file his WS even after availing sufficient time and hence the right of filing of WS of Defendant forfeited. To substantiate the case of the No. 1 and 2 y:. examiq.ed' ana,sne i$rqJi relevant documents as Ex.A. 1 to A.21: .ln view.otf the a I hold that the Applicant Bank has establishg{ thFih dliflfir in the OA against the Defendants and hence the Appli61t'Bank is entitled to recover the claim maoq'iniilu,oA y-iqfl$/; te rest a nd costs

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(oA. No. s69/202s)

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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 jointly and severally liable to pay to the Applicant Bank a total sum of Rs.1,66,44,868.30 ps., (Rupees One Crores Sixty Six Lakhs Forty Four Thousand Eight Hundred and Sixty Eight and Paise Thirty Only) i.e a sum of -

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(i) Rs.1,41 ,95,558.56 Ps. under Term Loan account with future interest @11.00% p.a from 11.09.2025 till the date of realization;

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(ii) Rs.10,52,636.31 Ps. under OD Loan account with future interest @10.35Yo p.a from 11.09.2025 till the date of rea lizatio n;

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(iii) Rs.4,18,461.16 Ps. under the GECL - | account with future interest @9.25o/, p.a from 11.09.2025 till the date of realization;

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(iv) Rs.9,78,2'12.27 Ps. under the GECL - 2 account with future interest @9.25o/o p.a from 11.09.2025 till the date of realization;

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rne Apptica;irg; to proceed against the Hypgth'ecated ffiaotes an4 aged Property as mentioned in trl' scn8o8r"Jii'r il&"rtr the OA towards realization of the debt . due. , r:ir,!;i

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(oA. No. s69/202s)

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The Applicant Bank is also entitled to proceed against the properties of Defendant No. 1 firm and person and properties of Defendant no. 2 towards realization of the debt due.

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

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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 to the P A , transcnbed by her, corrected, signed and pronounced by me in the open court on this the 08'h day of Jul, 2026)

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ro.^uor,"*oifli PRESIDING OFFICER

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0 I i::!-

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Canara Bank v. M/S. Vijaya Textiles

Case brief

What is this about?

What did the court decide?

Canara Bank v. M/S. Vijaya Textiles

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Parties & counsel

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