Delhi High Court
State Bank Of Hyderabad vs M/S. Shri Rani Sati Trading Co. & ... on 16 March, 2000
Equivalent citations: 2000 IVAD Delhi 563
Author: V Sen
Bench: V Sen
ORDER
Vikramajit Sen, J.
1. This suit for recovery of Rs. 7.17,426,45 has been filed by the plaintiff, State Bank of Hyderabad, in March 1993. Several attempts were taken for serving the Defendants. Finally, appearance was entered on behalf of Defendants 1 to 3, 6 and 7 on 9.12.1996. The Defendants were granted six weeks time to file their Written Statement. On 1.9.1997 all the Defendants were proceeded ex-parte as none was present on behalf of any of the Defendants. As Defendants 1 to 3, 6, and 7 failed to file their Written Statement as per Orders date 9.2.1996 the Plaintiff was permitted to lead ex-parte evidence by way of affidavits.
2. A perusal of the plaint discloses that Defendant No. 1 through its partners and guarantors had approached the plaintiff Bank in the month of April, 1990 for the grant of Cash Credit (Hypothecation) Limit of Rs. 5,00,000/-. On 30.4.1990 on their executing the following documents the Plaintiff Bank granted the said facility on that date:
(i) Demand Promissory Notes for Rs. 5 laos.
(ii) Letter of Waiver.
(iii) Take Delivery letter dispensing with notice of dishonour in terms of Section 98 of the Negotiable Instruments Act.
(iv) Letter dated 30.4.1999.
(v) Agreement for Hypothecation of raw goods as well as finished goods.
(vi) Guarantee Agreement executed by defendants 5 to 7.
(vii) Guarantee Agreement executed by defendants 2 to 4.
In addition to above documents Defendant No. 2 had also given a declaration dated 3.6.1992 pledging Flat No. 15, Building No. 4 Malad Cooperative Housing Society Ltd. 1/9, Podar Park Malad (East), Bombay. The Defendants fully utilised and availed of the loan facility granted by the Plaintiff Bank but failed and neglected to repay the dues under the loan facility. On the date of filing of the suit a sum of Rs. 7,70,426.45 was claimed to be due and payable.
3. On the failure of the Defendants to file their Written Statements the suit could have been decreed as envisaged by Rule 10 of Order VIII of the Code of Civil Procedure. However, the Plaintiff was directed to file affidavit by way of evidence. This has been done.
4. Shri Shyam Sunder Suchdev has filed an affidavit dated 2.12.1998 by way of evidence. This witness has stated that he was the Assistant Manager of the Plaintiff Bank from April 1985 to January 1991 and is competent to depose and well conversant with the facts of the case. He has identified and proved the signature of Shri N. Balasubramaniam, the then Manager of the Plaintiff Bank and has stated that he was fully authorised to do so as per Gazatte Notification, Exhibit P-1, to the affidavit. He has further deposed that Defendant No. 1 through its partners and guarantors had approached the plaintiff Bank in the month of April 1990 for the grant of Cash Credit (Hypothecation) Limit of Rs. 5 lacs. He has also stated that on their executing the following documents, this facility was granted on 30.4.1990:
(a) Demand Promissory Notes dated 30.4.1990 for Rs. 5.00 lakhs (Ex.P-2)
(b) Letter of Waiver dated. 30//4/90 (Ex.P-3)
(c) Take Delivery letter dated 30/4/90 (Ex. P-4).
(d) Letter dated 30/4/90 (Ex. P-5.)
(e) Agreement of Hypothecation dated. 30/04/90 (Ex. P-6).
(f) Guarantee Agreement dated. 30/4/90 by defendants 5 to 7 (Ex. P-7).
(g) Guarantee Agreement dated. 30/4/90 by defendants 2 to 4 (Ex.P-8).
He has further deposed that Defendant No. 2 had given a declaration dated 3.6.1992 pledging Flat No. 15, Building No. 4, Malad Cooperative Housing Society Ltd. 1/9 Podar Park, Malad (East), Bombay Having availed of the loan facilities the Defendants failed to maintain the financial discipline and neglected to repay the dues under the Loan Facility. He has further deposed that the Defendant failed to liquidate their dues despite repeated reminders. The Plaintiff recalled the loan facility on 12.2.1993 in terms of Ex. P-10. He then deposed that a sum of Rs. 7,17,426,45 was due and payable from the Defendants upto 23.3.1993 in the following manner :
(a) Amount due as on 1.1.1993 Rs. 6,85,106.45.
(b) Interest from 1.1.1993 to 23.3.1993 Rs. 44,648,00.
This account is should depicted in Statement of Account, Ex. P- 11. He has further deposed that the Defendants are liable to pay future interest at the rate of Rs. 21.25 per cent per annum from 23.3.1993.
5. I have perused the documents filed alongwith the plaint and duly proved. The plaint as well as the evidence of the plaintiff has not been controverted. I am satisfied that the Plaintiff has succeeded in proving the averments contained in the plaint.
6. Accordingly, the suit is decreed for a sum of Rs. 7,17,426,45 together with further interest at the rate of 21.25 per cent per annum from 23.3.1993 together with costs. All interim orders are confirmed.
7. Decree sheet be drawn up accordingly.
