Smt M.satya Kumari

1

O.S.No.146 of 2023

PJCJ Court, Ponnur.

IN THE COURT OF PRINCIPAL JUNIOR CIVIL JUDGE:: PONNUR

Present:Smt.M.Satya Kumari Prl.Junior Civil Judge, Ponnur.

Wednesday, the 22nd day of November, 2023

O.S.No.146 of 2023

Between:

Corporation Bank, Ponnur, Now its Union Bank of India, Rep.by its Branch Manager, …Plaintif

and

1.Choppara Nageswara Rao, S/o Krishna, Hindu, aged about 45 years, R/o Door No.1-2-10, M.D.O. Office Road, Ponnur, Ponnur Mandal, Guntur District.

2. Kunala Bhadraiah, S/o Ramulu, Hindu, aged about 36 years, R/o Door No.1-1-28/7, Bangla Road, 2nd Ward, Ponnur Mandal, Guntur District. …Defendants

This suit is coming on 22/11/2023 before me for final hearing in the presence of Sri P.Jaya Raju, Sri P.Vijaya Kumar, Advocates for plaintif and defendants were set ex-parte on 04/09/2023 and 03/11/2023; and upon perusing the material on record and the matter having stood over for consideration till this day, this Court delivered the following:

J U D G M E N T

This is a suit filed for recovery of Rs.73,905/- being the principal and interest due on a loan availed by defendants 1 and 2 from plaintif-bank repayable with interest at 10.85% per annum and for costs.

2. The averments mentioned in the plaint, in brief, are:

The 1st defendant approached the plaintif-bank on 31/10/2017 with an application for Centering business for Term loan and the same was considered on the same day i.e., 31/10/2017 for a loan of Rs.1,00,000/-. The 1st defendant executed agreement for Term Loan and the 2nd defendant executed guarantee agreement on 31/10/2017 under loan account 2

O.S.No.146 of 2023

PJCJ Court, Ponnur. No.560656001816464. The repayment schedule for the said loan is with 84 months, each month of Rs.1,707/-. He made part payments as shown in the account copy. The agreed rate of interest of the loan, dated 31/10/2017 is 10.85% with monthly rests subject to Reserve Bank of India instructions. The 1st defendant executed composite debt balance confirmation letter on 06/10/2020 in favour of plaintif. The outstanding amount due as per account copy is Rs.73,905.24 ps. i.e., around Rs.73,905/- as on 23/06/2023. The defendants are jointly and severally liable for the amount and for the interest thereon.

The plaintif bank demanded the defendants for repayment of the above said loan several times but they failed to discharge the above said loans as per repayment schedule. The 1st defendant failed to repay the loan amount. 1st defendant did not choose to repay the installments as agreed to liquidate the debt even as per the schedule despite repeated requests made by the plaintif-bank. The plaintif is exempted from the operation of the Debt

Relief Laws. Further, the interest charged is in accordance with the contract between the plaintif and the defendants. The plaintif is entitled to recover the interest at the contract rate. Hence, the suit.

3.Though summonses were served to defendants, they failed to appear and file written statement. Hence, defendants were set ex-parte on 04/09/2023 and 03/11/2023 respectively.

4.In order to establish its claim, plaintif bank examined its Branch

Manager as P.W.1 and got marked Exs.A1 to A7.

5.Heard learned counsel for plaintif and perused the material available on record.

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O.S.No.146 of 2023

PJCJ Court, Ponnur.

6. Now the point that arises for determination is___ “Whether plaintif - bank is entitled to recover the suit amount from the defendants as prayed for?”

7.Point: - According to plaintif - bank, the 1st defendant approached the plaintif-bank on 31/10/2017 with an application for Centering business for

Term loan and the same was considered on the same day i.e., 31/10/2017 for a loan of Rs.1,00,000/-. The 1st defendant executed agreement for Term Loan and the 2nd defendant executed guarantee agreement on 31/10/2017 under loan account No.560656001816464. The repayment schedule for the said loan is with 84 months, each month of Rs.1,707/-. He made part payments as shown in the account copy. The agreed rate of interest of the loan, dated 31/10/2017 is 10.85% with monthly rests subject to Reserve Bank of India instructions. The 1stdefendant executed composite debt balance confirmation letter on 06/10/2020 in favour of plaintif. The outstanding amount due as per account copy is Rs.73,905.24 ps. i.e., around Rs.73,905/- as on 23/06/2023. The defendants are jointly and severally liable for the amount and for the interest thereon.

The plaintif bank demanded the defendants for repayment of the above said loan several times but they failed to discharge the above said loans as per repayment schedule. The 1st defendant failed to repay the loan amount. 1st defendant did not choose to repay the installments as agreed to liquidate the debt even as per the schedule despite repeated requests made by the plaintif-bank. The plaintif is exempted from the operation of the Debt

Relief Laws. Further, the interest charged is in accordance with the contract 4

O.S.No.146 of 2023

PJCJ Court, Ponnur. between the plaintif and the defendants. The plaintif is entitled to recover the interest at the contract rate.

8.In order to establish its claim, the Branch Manager of plaintif bank is examined as P.W.1. In his evidence affidavit in lieu of chief-examination, P.W.1 has reiterated the averments mentioned in the plaint and through him Exs.A1 to A7 were marked. Ex.A1 is loan application executed by the 1st defendant,

dated 31/10/2017. Ex.A2 is letter of sanction executed by the bank

authorities, dated 31/10/2017. Ex.A3 is agreement for Term loan executed by 1st defendant, dated 31/10/2017. Ex.A4 is letter of undertaking executed by the 1st defendant, dated 31/10/2017. Ex.A5 is guarantee agreement executed by the 2nd defendant, dated 31/10/2017. Ex.A6 is composite debit balance confirmation letter executed by 1st defendant, dated 06/10/2020. Ex.A7 is account copy, dated 23/06/2023. As already noted, defendants failed to appear before the Court, though summonses were served and remained ex- parte, and thereby the evidence of P.W.1 remains unchallenged.

9.On a perusal of the unchallenged evidence of P.W.1 coupled with Exs.A1 to A7, this Court is of the view that plaintif bank has established that defendants having availed loan failed to repay the loan amount to the bank in spite of repeated demands made by it. Since the plaintif bank has established that defendants failed to repay the loan amount, this Court is of the view that plaintif bank is entitled to recover the suit amount from defendants as prayed for. Accordingly, the point is answered in favour of plaintif.

10.In the result, the suit is decreed with costs directing the defendants

No.1 and 2 to pay an amount of Rs.73,905/- to the plaintif-bank with 5

O.S.No.146 of 2023

PJCJ Court, Ponnur.

subsequent interest at 10.85% per annum from the date of suit till the date of decree and thereafter at 6% per annum till the date of realization.

Directly typed to my dictation by Personal Assistant, corrected and

pronounced by me in open Court, on this the 22nd day of November, 2023.

Sd/- M.Satya Kumari

PRL.JUNIOR CIVIL JUDGE,

PONNUR. Appendix of Evidence Witnesses Examined For Plaintif: For Defendants:

P.W.1: Devarapalli Mani Bhushan Ex-parte.

Documents Marked

For Plaintif:

Ex.A1: is loan application executed by the 1st defendant,

dated 31/10/2017.

Ex.A2: is letter of sanction executed by the bank authorities,

dated 31/10/2017.

Ex.A3: is agreement for Term loan executed by 1st defendant,

dated 31/10/2017.

Ex.A4: is letter of undertaking executed by the 1st defendant,

dated 31/10/2017.

Ex.A5: is guarantee agreement executed by the 2nd defendant,

dated 31/10/2017.

Ex.A6: is composite debit balance confirmation letter executed by 1st defendant, dated 06/10/2020.

Ex.A7: is account copy, dated 23/06/2023.

For Defendants: Nil.

Sd/- M.Satya Kumari

PRL.JUNIOR CIVIL JUDGE,

PONNUR.

//TRUE COPY//

PRL.JUNIOR CIVIL JUDGE,

PONNUR.

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O.S.No.130 of 2023

PJCJ Court, Ponnur.

IN THE COURT OF PRINCIPAL JUNIOR CIVIL JUDGE:: PONNUR

Present: Smt.M.Satya Kumari Prl.Junior Civil Judge, Ponnur.

Wednesday, the 22nd day of November, 2023

O.S.No.130 of 2023

Between:

Corporation Bank, Ponnur, Now its Union Bank of India, Rep.by its Branch Manager, …Plaintif

and

1.Munnam Venkataramana Reddy, S/o Venkata Reddy, Hindu, aged about 45 years, R/o Door No.1-1-3/1A, Chillaragollapalem, Bapatla, Bapatla Mandal, Guntur District.

2. Mudraboina Durganagaraju, S/o Venkateswarlu, Hindu, aged about 40 years, R/o Door No.4-54, Upparapalem, Ponnur Mandal, Guntur District. …Defendants

This suit is coming on 22/11/2023 before me for final hearing in the presence of Sri P.Jaya Raju, Sri P.Vijaya Kumar, Advocates for plaintif and defendants were set ex-parte on 21/08/2023 and 30/10/2023; and upon perusing the material on record and the matter having stood over for consideration till this day, this Court delivered the following:

J U D G M E N T

This is a suit filed for recovery of Rs.1,08,132/- being the principal and interest due on a loan availed by defendants 1 and 2 from plaintif-bank repayable with interest at 11.35% per annum and for costs.

2. The averments mentioned in the plaint, in brief, are:

The defendants approached the plaintif-bank on 17/11/2017 with an application for Lab business for C C loan and the same was considered on the same day i.e., 17/11/2017 for a loan of Rs.99,000/-. The 1st defendant executed agreement for Term Loan and the 2nd defendant executed guaranteeagreementon17/11/2017underloanaccount 2

O.S.No.130 of 2023

PJCJ Court, Ponnur. No.560371000587864. He made part payments as shown in the account copy. The agreed rate of interest is 11.35% with monthly rests subject to

Reserve Bank of India instructions. The 1st defendant executed composite debt balance confirmation letter on 07/09/2020 in favour of plaintif. The outstanding amount due as per account copy is Rs.1,08,131.65 Ps. i.e., around Rs.1,08,132/- as on 23/06/2023. The defendants are jointly and severally liable for the amount and for the interest thereon.

The plaintif bank demanded the defendants for repayment of the above said loan several times but they failed to discharge the above said loan as per repayment schedule. The 1st defendant failed to repay the loan amount. 1st defendant did not choose to repay the installments as agreed to liquidate the debt even as per the schedule despite repeated requests made by the plaintif-bank. The plaintif is exempted from the operation of the Debt

Relief Laws. Further, the interest charged is in accordance with the contract between the plaintif and the defendants. The plaintif is entitled to recover the interest at the contract rate. Hence, the suit.

3.Though summonses were served to defendants, they failed to appear and file written statement. Hence, defendants were set ex-parte on 21/08/2023 and 30/10/2023 respectively.

4.In order to establish its claim, plaintif bank examined its Branch

Manager as P.W.1 and got marked Exs.A1 to A7.

5.Heard learned counsel for plaintif and perused the material available on record.

6. Now the point that arises for determination is___ “Whether plaintif - bank is entitled to recover the suit amount from the defendants as prayed for?” 3

O.S.No.130 of 2023

PJCJ Court, Ponnur.

7.Point: - According to plaintif - bank, the defendants approached the plaintif-bank on 17/11/2017 with an application for Lab business for C C loan and the same was considered on the same day i.e., 17/11/2017 for a loan of

Rs.99,000/-. The 1st defendant executed agreement for Term Loan and the 2nd defendant executed guarantee agreement on 17/11/2017 under loan account

No.560371000587864. He made part payments as shown in the account copy. The agreed rate of interest is 11.35% with monthly rests subject to

Reserve Bank of India instructions. The 1st defendant executed composite debt balance confirmation letter on 07/09/2020 in favour of plaintif. The outstanding amount due as per account copy is Rs.1,08,131.65 Ps. i.e., around Rs.1,08,132/- as on 23/06/2023. The defendants are jointly and severally liable for the amount and for the interest thereon.

The plaintif bank demanded the defendants for repayment of the above said loan several times but they failed to discharge the above said loan as per repayment schedule. The 1st defendant failed to repay the loan amount. 1st defendant did not choose to repay the installments as agreed to liquidate the debt even as per the schedule despite repeated requests made by the plaintif-bank. The plaintif is exempted from the operation of the Debt

Relief Laws. Further, the interest charged is in accordance with the contract between the plaintif and the defendants. The plaintif is entitled to recover the interest at the contract rate.

8.In order to establish its claim, the Branch Manager of plaintif bank is examined as P.W.1. In his evidence affidavit in lieu of chief-examination, P.W.1 has reiterated the averments mentioned in the plaint and through him Exs.A1 to A7 were marked. Ex.A1 is loan application executed by the defendants,

dated 17/11/2017. Ex.A2 is letter of sanction executed by the bank

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O.S.No.130 of 2023

PJCJ Court, Ponnur. authorities, dated 17/11/2017. Ex.A3 is common deed of hypothecation of movables, 1st defendant, dated 17/11/2017. Ex.A4 is letter of undertaking executed by the 1st defendant, dated 17/11/2017. Ex.A5 is guarantee agreement executed by the 1st defendant, dated 17/11/2017. Ex.A6 is composite debit balance confirmation letter executed by 1st defendant, dated 07/09/2020. Ex.A7 is account copy, dated 20/06/2023. As already noted, defendants failed to appear before the Court, though summonses were served and remained ex-parte, and thereby the evidence of P.W.1 remains unchallenged.

9.On a perusal of the unchallenged evidence of P.W.1 coupled with Exs.A1 to A7, this Court is of the view that plaintif bank has established that defendants having availed loan failed to repay the loan amount to the bank in spite of repeated demands made by it. Since the plaintif bank has established that defendants failed to repay the loan amount, this Court is of the view that plaintif bank is entitled to recover the suit amount from defendants as prayed for. Accordingly, the point is answered in favour of plaintif.

10.In the result, the suit is decreed with costs directing the defendants

No.1 and 2 to pay an amount of Rs.1,08,132/- to the plaintif-bank with subsequent interest at 11.35% per annum from the date of suit till the date of decree and thereafter at 6% per annum till the date of realization.

Directly typed to my dictation by Personal Assistant, corrected and

pronounced by me in open Court, on this the 22nd day of November, 2023.

Sd/- M.Satya Kumari

PRL.JUNIOR CIVIL JUDGE,

PONNUR.

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O.S.No.130 of 2023

PJCJ Court, Ponnur.

Appendix of Evidence Witnesses Examined For Plaintif: For Defendants:

P.W.1: Devarapalli Mani Bhushan Ex-parte.

Documents Marked

For Plaintif:

Ex.A1: is loan application executed by the defendants,

dated 17/11/2017.

Ex.A2: is letter of sanction executed by the bank authorities,

dated 17/11/2017.

Ex.A3: is common deed of hypothecation of movables, 1st defendant,

dated 17/11/2017.

Ex.A4: is letter of undertaking executed by the 1st defendant,

dated 17/11/2017.

Ex.A5: is guarantee agreement executed by the 1st defendant,

dated 17/11/2017.

Ex.A6: is composite debit balance confirmation letter executed by 1st defendant, dated 07/09/2020.

Ex.A7: is account copy, dated 20/06/2023.

For Defendants: Nil.

Sd/- M.Satya Kumari

PRL.JUNIOR CIVIL JUDGE,

PONNUR.

//TRUE COPY//

PRL.JUNIOR CIVIL JUDGE,

PONNUR.