VISAKHAPATNAM: A flat belonging to Ganta Srinivasa Rao, a minister in the previous N Chandrababu Naidu government and TDP MLA from Visakhapatnam North, is put on auction by a bank for default of loan amount Pratyusha Resources and Infra Private Ltd.
Ganta had stood guarantor of the company which defaulted on the loan of nearly Rs 200 crore by the firm.
The Dabagardens branch of Indian Bank in Visakhapatnam initiated the process of auction of the flat belonging to Ganta in Balayya Sastry Layout along with properties of nine others in connection with default of nearly Rs 200 crore loan by Pratyusha.
The bank issued a notification for auctioning the properties on December 20. The properties belong to Ganta and other directors of Pratyusha Resources Infra. The company defaulted to pay Rs 141.68 crore before the due date of September 30, 2016. A demand notice was served by the bank on the firm on October 4 in the same year as it failed to clear the dues. Since the company did not respond to the demand notice, the bank on February 21, 2017, attached nine properties under the Securities Interest Act 2002 towards Rs 208 crore debut including interest and loan due from it.
In the notification issued on Monday, the bank said it will sell the properties through e-auction.
Indian Bank initiated the process of auction of the flat belonging to Ganta along with properties of nine others in connection with the default of nearly Rs 200 crore loan by Pratyusha Resources Infra.