IN THE DEBTS RECOVERY TRIBUNAL, ORISSA : CUTTACK.

O. A. No. ______________ of 2020.

Andhra Bank, Nilakantha nagar Branch, Berhampur … Applicant.

Vrs.
M/s Shree Sidhivinayak Traders and others … Defendants.
CONCISE STSATEMENT
That the Defendants availed OCC limit of Rs.30 Lakhs with interest @ of 11.2%
(MCLR(8.7%)+spread) from the applicant bank vide sanction letter dt.02.05.17 for
their business against hypothecation of stocks and Book Debts and co-lateral
security of Schedule-A property for creation of equitable mortgage by executing
necessary documents in favour of the bank for repayment of loan, but the
defendants did not pay the dues of the bank and the said loan was classified as NPA
on 28.09.19. That on default and due irregularity by the defendants with regard to
the said loan, the applicant bank issued demand notice dt.02.11.19 u/s 13 (2)
SRFAESI Act to an outstanding amount of Rs.30,81,163/- as on 02.11.19 with
subsequent interest as per the agreement within 60 days from the date of the
notice failing which the bank will be constrained to take measures against the
properties mortgaged to the bank described in Schedule-A as provided under the
SRFAESI Act, but in-spite of the said notice the defendants did not pay the dues of
the Bank. That the applicant bank has filed this original application for recovery of
loan from the defendants. This application has been filed after due calculation of the
interest as admissible from the defendants as on 31.01.20 which comes to
Rs.30,98,116/- followed with P.I and F.I and cost which the defendants are liable to
pay jointly and severally.
By the Applicant through

Cuttack.
Date: .3.2020 Advocate.
 IN THE DEBTS RECOVERY TRIBUNAL, ORISSA : CUTTACK.

O. A. No. ______________ of 2016.

Andhra Bank, Nilakantha nagar Branch, Berhampur … Applicant.

Vrs.
M/s Shree Sidhivinayak Traders and others … Defendants.
GENERAL INDEX
Sl.No. Description of documents. Pages.
1. Concise statement.
2. Original Application 1 - 11
3. Index of documents.
ANNEXURES
1. Application of the defendant dt.10.08.18

2. Sanction letter dt.02.05.17.

3. Composite Agreement dt. 27.07.8.

4. RF 211 dt.27.07.18

5. Series. Sale Deed No.10611109922dt.26.09.11

RF 255B dt.14.09.16, RF 256 dt.14.09.16
RF 255B dt.02.05.17, RF 256 dt.02.05.17

6. Notice u/s 13 (2) of SRFAESI Act dt.02.11.19.

7. Statement of account.

(Certificate in term of Section 2A)

8. Vakalatnama.

Cuttack.
Date: .3.2020 Signature of the Applicant.

IN THE DEBTS RECOVERY TRIBUNAL, ORISSA : CUTTACK.

O. A. No. ______________ of 2020.

Andhra Bank, Nilakantha nagar Branch, Berhampur … Applicant.

Vrs.
M/s Shree Sidhivinayak Traders and others … Defendants.
LIST OF ORIGINAL DOCUMENTS FILED ON BEHALF OF THE APPLICANT
BANK

Annexures Description of documents. Sheets.

1. Application of the defendant dt.10.08.18

2. Sanction letter dt.02.05.17.

3. Composite Agreement dt. 27.07.8.

4. RF 211 dt.27.07.18

5. Series. Sale Deed No.10611109922dt.26.09.11

 RF 255B dt.14.09.16, RF 256 dt.14.09.16
RF 255B dt.02.05.17, RF 256 dt.02.05.17

6. Notice u/s 13 (2) of SRFAESI Act dt.02.11.19.

7. Statement of account.

__________________________________________________________
Total Sheets 85

Cuttack.
Date: .3.2020 Signature of the Applicant.

BEFORE THE DEBTS RECOVERY TRIBUNAL, ORISSA, CUTTACK.

Dairy No. of 2020
O. A. No. ______________ of 2020.
BETWEEN :
Andhra Bank, a Government of India undertaking incorporated under
the Banking Companies (Acquisition and Transfer of Undertakings) Act,
1980, carrying on business all over India having its head office at
Andhra Bank, Building, 5-9-11, Secretariat Road, Saifabad,
Hyderabad-4 and one of its branches amongst other places, At-
Nilakantha Nagar Branch, Nilakantheswar Temple Road, Near Lingaraja
Hall, Berhampur, Dist-Ganjam, Pin-760002 represented by its Branch
Manager and the Power of Attorney holder of the same address as that
of the Branch … Applicant.
Vrs.
1) M/s Shree Sidhivinayak Traders, through its Proprietor Nilakantha
Mohanty, At- Umapuri Nagar, 1st Lane, Po- Good Shed road, Ps.
Gosani Nuagaon, Berhampur, Dist-Ganjam, Pin-760002.
2) Nilakantha Mohant, aged about 33 years, At- Umapuri Nagar, 1 st
Lane, Po- Good Shed road, Ps. Gosani Nuagaon, Berhampur, Dist-
Ganjam, Pin-760002
3) Bhaskar Chandra Sahu, aged about 54 years, S/o Late Raghunath
Sahu, Ambicanagar, Berhampur, Dist-ganjam, Odisha. & Bhaskar
Chandra Sahu S/o Late Raghunath Sahu, Nimakhandi, Sahu Sahi,
Berhampur, Dist-Ganjam, Odisha.

Defendant No.1 is the borrower.

Defendant No.2 is the borrower.
Defendant No.3 is the Gurantor.

… Defendants.
 DETAILS OF THE APPLICATION
1) PARTICULARS OF THE APPLICANT :
i) Name of the Applicant: Andhra Bank, At- Nilakantha Nagar Branch,
Berhampur, Dist-Ganjam, Pin-700002
ii)Address of the
Head Office: Andhra Bank, At-Andhra Bank Building, 5-9-
11, Secretariat Road, Saifabad, Hyderabad-
500004

iii)Address for service

of notices: Andhra Bank, Nilakantha Nagar Branch,
Nilakantheswar Temple Road, Near Lingaraja
Hall, Berhampur, Dist-Ganjam, Pin-760002,
and its Advocate Sri Narasingha Patra, Shelter
Chowk, Cuttack-8, Tel. No.0671-2300987,
9437310634, 9438562305

2. PARTICULARS OF THE DEFENDANTS :

i) Name and address of the
Defendants : As per cause title.
ii) Address for service of
notice : As per cause title.

3. JURISDICTION OF THE TRIBUNAL :

The applicant declares that the subject matter of recovery of the debt
due falls within the jurisdiction of this Tribunal.

4. LIMITATION :
The applicant further declares that the application is within the jurisdiction of
this Tribunal prescribed in Section 24 of the Recovery of Debts Due to Bank
and Financial Institutions Act, 1993.

5. FACTS OF THE CASE :

i) That the applicant Andhra Bank is a body corporate carrying on
business having its head office at Dr. Pattabhai Bhawan, Secretariat Road,
Saifabad, Hyderabad-500004 and At- Nilakantha Nagar Branch,
Nilakantheswar Temple Road, Near Lingaraja Hall, Berhampur, Dist-Ganjam,
Pin-760002 within the jurisdiction of this Hon’ble Tribunal.
 That Sri. Subrat Kumar Sahu is the Branch Manager of the applicant
bank and is authorized to sign, verify the application before any court or
Tribunal and to do all necessary acts that may be found necessary on behalf
of the bank. That the applicant bank carries on business of banking such as
accepting deposits, lending and or advancing loans to various persons and
further carries such other activities as are permissible under the banking
Laws.

ii) That the defendant No.1 Proprietorship Firm is the borrower, the
defendant No.2 is the borrower and defendant No.3 is the guarantor to the
cash credit facility granted by the applicant bank.That the defendant No.3
has mortgaged the schedule-A property to the applicant bank. That all the
defendants are jointly and severally liable to pay the dues of the bank.

iii) That the defendants approached the applicant bank At- Nilakantha
Nagar Branch, Nilakantheswar Temple Road, Near Lingaraja Hall,
Berhampur, Dist-Ganjam, Pin-760002 and filed an application dt.10.08.18
for the sanction of Open Cash Credit facility of Rs.30 Lakhs for the for
working capital requirement of the business of Trading in Cashew nuts,
Maize,turmeric etc against the hypothecation of stock of the business and
co-lateral security of residential belonging of defendant no 3 , situated at
Mouza-Nilakanthapur ,Ambicanagar, ward No-22, Asst.No- 17834, , Khata
Sl No-174/1997, Plot No-733/3045, area Ac 0.019 dec, Tahasil-berhampur,
Dist-Ganjam . That the applicant bank considering the aforesaid application
of the defendants vide letter dt.02.05.17 sanctioned OCC limit of
Rs.30,00,000/- in their favour with interest 11.2% (MCLR(8.7)+2.5) against
hypothecation of stocks and Book debts and collateral security i.e equitable
mortgage of residential belonging , situated at Mouza-
Nilakanthapur ,Ambicanagar, ward No-22, Asst.No- 17834, , Khata Sl No-
174/1997, Plot No-733/3045, area Ac 0.019 dec, Tahasil-berhampur, Dist-
Ganjam, belong to the defendant No.3 with other terms and conditions
enumerated in the said sanction letter for their business. That the
defendants accepted the terms and conditions of the sanction letter dt.
02.05.17 and availed the Open Cash Credit facility and executed necessary
documents of the bank in its standard format as required by the bank. The
copy of the application dt.10.08.18 of the defendants and the sanction letter
dt. 02.05.17 are annexed as Annexures-1 and 2.
 That the defendants executed demand promissory note vide RF 211 dt.
27.07.18for OCC limit of Rs 30,00,000/- together with interest @11.2% per
annum. That the composite agreement dt.27.07.18 was executed between
the applicant bank and the defendant no 1 and 3 and the loan was
sanctioned accordingly. That in the said agreement the borrowers authorized
the applicant bank to charge and debit the OCC account with interest of
11.2% p.a. (MCLR+Spread). The said DPN and composite agreement is
annexed as Annexture-3&4.

iv) That the defendant No.3 as Guarantor guaranteed the repayment of

the cash credit facility of Rs.30 Lakhs availed by the defendants along with
interest and other charges by depositing the title deed as per the schedule-A
property on dt.14.09.16 for creation of equitable mortgage in favour of the
bank vide RF 255B dt.14.09.16, RF 256 dt.14.09.16, Registered Sale Deed
No.10611109922 dt.26.09.11, RF 255B dt.02.05.17, RF 256 dt.02.05.17 . That
on execution of necessary documents the defendants No.1 to 3 availed the
Cash Credit loan facility. The copy of the said documents RF 255B dt.14.09.16,
RF 256 dt.14.09.16, Registered Sale Deed No.10611109922 dt.26.09.11, RF
255B dt.02.05.17, RF 256 dt.02.05.17 are annexed as Annexure-5 Series.

v) That the defendants availed the cash credit facility sanctioned by the
applicant bank and utilized the same but did not repay the dues of the bank
in-spite of repeated approaches and violated the terms and conditions of the
sanction letter. That the defendants did not pay the dues of the bank and
the account was classified as NPA on 28.09.19. That the Authorized Officer
of the bank issued the demand notice dt.02.11.19 u/s 13(2) of SRFAESI Act,
2002 to the defendant No.1 to 3 calling upon them to pay an outstanding
amount of Rs.30,81,163 /- as on 02.11.19 with subsequent interest as per
the agreement within 60 days from the date of the notice failing which the
bank will be constrained to take measures against the properties mortgaged
to the bank described in Schedule-A as provided under the SRFAESI Act.
That the defendant No.1 to 3 did not pay the dues of the bank nor submitted
any reply to the same. The copy of the notice dt. 02.11.19 is annexed as
Annexure-6.

vi) That the borrower failed to repay the outstanding amount within the
60 days limit provided in the said demand notice dt. 02.11.19. That from the
aforesaid facts it is clear that the defendants have violated the terms and
conditions of the sanction letters of the Bank.

vii) That the defendants availed OCC limit of Rs.30,00,000/- for their
business and embarked upon the business, but in breach of the agreed
terms and conditions defaulted in repayment dues to the applicant bank
along with monthly interest. That the defendants failed to discharge the
liabilities and violated the terms and conditions of the documents executed
by them which has been reflected in the statement of Account. The copy of
the statement account in respect of OCC account along with normal and
overdue interest is annexed as Annexure-7.

Viii) That on consideration of the execution of documents by the

defendants, the defendants No.1 to 3 availed the loans and the applicant
bank disbursed the OCC limit in their favour. That the defendants no.1 to 3
utilized the loan in their business and violated the agreed terms and
conditions and failed to repay the loan dues with interest to the bank. Thus
as on 31.01.20 the liability of the defendants including normal and overdue
interest is Rs.30,98,116/- with regard to OCC Loan. Therefore the total
liability of the defendants is Rs.30,98,116/- which the defendants No.1 to 3
are liable to pay the same.

ix) That in the meantime the loan documents in respect of the

transaction with the borrower was about to get barred by limitation and the
applicant bank is forced to file this original application to save limitation by
invoking its right against secured assets, unsecured assets and personal
remedies by filing this original application under the RDDBFI Act. That since
the defendants No.1 to 3 have executed the documents as per the bank’s
standard format the original application is filed to avoid the bar of limitation
and thereby protecting the interest of the applicant bank under common law.

x) That on failure of the defendants to regularize the account in breach

of commitment as per the statement of account, the bank was left with no
other option than to approach and present this original application for issue
of recovery certificate for an amount of Rs.30,98,116/- as on 31.01.20
which the defendants No.1 to 3 are liable to pay with P.I and F.I along with
other costs and charges and cost of this application from the defendants who
are jointly and severally liable to pay the same. That details of total liability
of the defendants No.1 to 3 for Rs.30,98,116/- as on 31.01.20.

xii) That the cause of action for this original application arose when the
defendants No. 1 to 3 approached for loan, the loan was sanctioned,
operation of the loan accounts started, mortgaged the Schedule-A property
on 14.09.16 when the defendants No.1 to 3 failed to repay the loan
outstanding of the applicant bank as per the notice dt.02.11.19 u/s 13 (2) of
the SARFAESI Act.

xiii) That the interest charged on the said loan is as per the stipulation
made by the RBI from time to time subject to amendment.

6. RELIEF(s) SOUGHT :
That in view of the facts mentioned in Paragraph-5 the applicant Bank
prays for the following reliefs:

a) That a Recovery Certificate for an amount of Rs.30,98,116/- as on

31.01.20 be passed against the defendants jointly and severally in
favour of the applicant bank.

b) That an order for pendent lite and future interest at the agreed rate
applicable to the OCC availed by the defendants and as per the charge
from time to time may be passed with monthly rest till realization of
the claim amount against the defendants jointly and severally.

c) That an order be passed fixing a date and direction to all the

defendants to pay the certificate dues with interest, other costs and
charges and cost of this application.

d) That on failure to pay the certificate dues the property mortgaged as

described in the Schedule- A may be ordered to be attached and sold
and the sale proceeds be applied for partial or full satisfaction of the
certificate.

e) That in the event sale proceeds of the mortgage property belonging to

the defendants are not sufficient to cover the dues of the applicant
Bank the defendants may be held personally liable and the certificate
may be passed accordingly.
 f) Any other relief the Hon’ble Tribunal may deem fit and proper in the
interest of Justice.

7. INTERIM ORDER IF PRAYED FOR:

Pending decision of this application the applicant Bank seeks issue of
the following interim orders:

a) An order of attachment be passed with a liberty to the applicant

Bank to sale the securities such as hypothecated goods and immovable
properties of the defendants.

b) And or any other order as deem fit and proper in the circumstances
of the case.

8. MATTER NOT PENDING IN ANY OTHER COURT.

The applicant further declares that the matter regarding which this
application has been made is not pending before any court of law or
any other authority or any other Bench of the Tribunal.

9. PARTICULARS OF THE BANK DRAFTS :

i)Name of Bank on which drawn: Andhra Bank, Nilakantha Nagar
Branch, Berhampur.
ii) Demand Draft No.
iii)Date of Demand Draft : Dt.
iv) Amount : Rs.32,000/-

10. DETAILS OF INDIEX :

And index in duplicate containing the details of the documents to be
relied upon is enclosed.

11. LIST OF ENCLOSURES :

As per Index, the applicant bank further reserves the right to produce
such other documents as required and necessary during the course of
the proceedings.

SCHEDULE – A PROPERTY
Description of property mortgaged by the Defendant No.3 Bhaskar Chandra
Sahu, S/o Late Raghunath Sahu ( Owner of the property), Situated at
Mouza-Nilakanthapur ,Ambicanagar, ward No-22, Asst.No- 17834, Tahasil-
berhampur, Dist-Ganjam, Khata Sl No-174/1997, Plot No-733/3045, area
Ac 0.019 dec .
Boundary:
North- Land of Santosh Kumar Patra , South- Land of Jamuna Sethy and
others , East- Road, West- Land of Ramchandra Samal.

VERIFICATION
I, Sri. Subrat Kumar Sahu, aged about 32 years, S/o Dolamani Sahu,
Branch Manager, Andhra Bank, Nilakantha Nagar Branch, Nilakantheswar
Temple Road, Near Lingaraja Hall, Berhampur, Dist-Ganjam, Pin-760002
having the valid power of attorney of the bank do hereby verify that the
contents in Paragraphs-1 to 11 are true to the best of my knowledge and
based on official records maintained in the Branch and I have not
suppressed any material facts. I sign this verification on day of March,
2020..

Cuttack.
Date: .3.2016 Verificant.

To,
The Registrar, DRT, Cuttack