VISAKHAPATNAM: Former Minister and TDP MLA from Visakhapatnam North Ganta Srinivasa Rao's properties have been put on auction on Monday, by the Indian Bank at Visakhapatnam for default of loans to a tune of more than Rs 200 Crore.

As per sources the former minister who is considered a close aide of TDP Chief N Chandrababu Naidu government had defaulted a loan amount of Pratyusha Resources and Infra Private Ltd. As per bank officials Ganta had stood as guarantor of the company which defaulted on the loan of nearly Rs 200 crore.

The auction process was initiated by Indian Bank, Daba Gardens branch at Visakhapatnam. An apartment belonging to Ganta Srinivasa Rao ar Balayya Sastry Layout which was built on 444 yards in the Visakha North constituency, along with properties of nine others directors of Pratyusha Resources Infra were put up for auction. A notification was also issued in the newspapers by the bank authorities which said that the auction will be held on December 20.

As per the bank details, 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 to clear the dues. As 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.

But the value of properties which were put up for guarantee were Rs 35,35,61,000 only and the bank has said that it was also considering auctioning his personal assets to recover the dues.

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