Allowed

Canara Bank v. Chefie Foods And Beeverages Pvt. Ltd.

DRT24 Jul 2026OA/967/2024

Case brief

AI extract

What is this about?

The Tribunal allowed the bank's application for a Recovery Certificate under Section 31A(1) of the RDB Act after the respondent defendants failed to appear or contest. The order mandates issuance for recovery of the decretal amount with interest.

What did the court decide?

Issued a Recovery Certificate in favour of the applicant bank for recovery of Rs. 33,51,577/- with interest awarded in the decree dated 17.03.2021.

Canara Bank versus Chefie Foods And Beeverages Pvt. Ltd. — Company and Corporate | DRT (2026)

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IN THE DEBTS RECOVERY TRIBUNAL II, KARNATAKA AT BENGALURU

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Dated this 24^th Day of July, 2026

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Present: Sri. T. RAJESH Presiding Officer

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OA. No.967/2024

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BETWEEN:

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Canara Bank Ashoka Pillar Branch No.67, 7^th Main, 2^nd Block, Ashoka Pillar, Jayanagar, Bangalore – 560011 Rep.by its Chief Manager

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… APPLICANT

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AND:

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M/s. Chefie Food & Beverages Pvt.Ltd., No.157, Shop No.7, 2^nd Cross, Yellukunte road, Sector-III, HSR Layout, Bangalore – 560068 Rep. by its Directors Sri. P.S. Raghavendra & Mr. P.R. Rakshith

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Sri. P.SS. Raghavendra S/o. Sri. Sadashivaiah Aged about 62 years

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Mr. P.S. Rakshith S/o. Sri. P.S. Raghavendra Aged about 30 years

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Defendant No.2 & 3 are residing at Flat No.201, “Nityashree Sankalp Apartments”, 2^nd Main Road, Padmanabhanagar, Bangalore-560061 ...DEFENDANTS

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2 OA/967/2024

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Counsel on record/appeared for:

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Applicant : Sri. Rohit R Achar Defendants : Exparte

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:FINAL ORDER:

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This application has been filed on 02.04.2024 under Section 31A of the RDDBFI Act (now amended as the Recovery of Debts Due to Banks and Bankruptcy, 1993) (hereinafter referred to as ‘RDB Act, 1993) by the applicant bank seeking to issue Recovery Certificate based on the decree declaring that the defendants are liable to pay the amounts with future interest and costs in terms of the decree in OS No.7482/2019 before the LXXXVI Addl. City Civil Judge at Bangalore.

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As per the applicant, the defendants availed various credit facilities from the applicant bank and since the defendants defaulted to repay the outstanding loan due to the applicant bank, the suit in OS No.7482/2019 was filed before LXXXVI Addl. City Civil Judge at Bangalore City for recovery of an amount of Rs.18,07,320/- with interest and costs. After enquiry, the above suit was decreed allowing the applicant to realize an amount of Rs.18,07,320/- with interest @13.05% per annum from the date of suit till realization from the defendants and their assets. The amount due as on date of filing the OA is Rs.33,51,577/-. Since the subject matter of the recovery of debt fell within the jurisdiction of this Tribunal, the applicant bank filed this Original Application for recovery of the outstanding loan due.

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OA/967/2024

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Summons/notices were duly served upon the defendants. Despite service of notice, the defendants failed to appear before this Tribunal and did not file their written statement or objections. Accordingly, by order dated 24.10.2025, the defendants were placed ex parte.

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The applicant has produced the certified copy of the judgment and decree passed by the competent Civil Court along with the statement showing the decretal amount due. The documents placed on record establish that the Civil Court has passed a decree in favour of the applicant and that the decree has neither been satisfied nor shown to have been set aside or stayed by any competent court.

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The proceedings under Section 31A(1) of the Recovery of Debts and Bankruptcy Act are intended to enable the decree-holder to obtain a Recovery Certificate in respect of a decree passed by a competent Civil Court. The jurisdiction of this Tribunal under the said provision is confined to examining whether there exists a valid and enforceable decree and whether the same remains unsatisfied. The Tribunal is not required to re-adjudicate the issues already decided by the Civil Court.

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On consideration of the pleadings, the documents produced by the applicant and in the absence of any contest by the defendants, this Tribunal is satisfied that the applicant has established its entitlement to a Recovery Certificate under Section 31A(1) of the Act.

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4 OA/967/2024

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There being no legal impediment for issuance of the Recovery

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Certificate, the application deserves to be allowed.

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:ORDER:

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(i) The Original Application(OA) No.967/2024 stands allowed.

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(ii) A Recovery Certificate shall be issued in favour of the applicant for recovery of Rs. 33,51,577/- (Rupees Thirty Three Lakh Fifty One Thousand Five Hundred and Seventy Seven only) together with interest as awarded in the judgment and decree dated 17.03.2021 passed in O.S. No.7482/2019 by the Court of the LXXXVI Addl. City Civil Judge at Bangalore [CCH.No.87], after giving credit to any amount, if received, subsequent to the decree.

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iii) The applicant bank is allowed cost of the proceeding

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which applicant to file cost memo within 7 days from the date of receipt of the order.

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iv) The Recovery Certificate to be drawn in terms of this

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order and transferred to Recovery for execution.

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v) Interim Application pending, if any, stands disposed of

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with this Final Order.

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OA/967/2024

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Communicate a copy of the order to the parties concerned in

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terms of Section 19(21)(i) of the RDB Act, read with Rule 16 of DRT

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(Procedure) Rules, 1993.

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[Dictated to the Stenographer (PR), transcribed by her, corrected and signed and pronounced by me in the Open Court, this the 24^th Day of July 2026].

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(T. RAJESH) PRESIDING OFFICER

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK:

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AW-1: Smt. Gayathri L N, Senior 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 Number
	Certified copy of Final Decree in	OS
1	No.7482/2019 by the LXXXVI Addl. City	Civil	A1
	Judge at Bangalore City dated 17.03.2021

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(T. RAJESH) PRESIDING OFFICER

Canara Bank v. Chefie Foods And Beeverages Pvt. Ltd.

Case brief

What is this about?

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Canara Bank v. Chefie Foods And Beeverages Pvt. Ltd.

Case brief

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