M/S Aggarwal Industrial Corpn. & ... vs State Bank Of India
2009 Latest Caselaw 302 Del

*          IN THE HIGH COURT OF DELHI AT NEW DELHI

+                       RFA No. 720/2002

%                            Date of Decision: 29th January, 2009


#    M/S. AGGARWAL INDUSTRIAL CORPN. & ORS......Appellants
!                   Through: Mr.D.P.Sharma and Mr. Anil
                    Kumar Poddar, Advocates

                       Versus


$    STATE BANK OF INDIA                       ......Respondent
^                    Through: Mr. Virendra Singh, Advocate


     CORAM:
*    HON'BLE MR. JUSTICE P.K.BHASIN


1. Whether Reporters of local papers may be allowed to see the
   judgment?
2. To be referred to the Reporter or not?
3. Whether the judgment should be reported in the digest?


                       JUDGMENT(ORAL)

P.K.BHASIN, J:

This appeal was filed by the appellants against the judgment

and decree dated 31st July, 2002 passed by the learned Additional

District Judge, Delhi whereby the suit filed by the respondent-bank

under Order XXXVII CPC for recovery of Rs. 4,29,628.70 was decreed along with the interest thereon @ 14 % p.a. from the date

of filing of the suit till the realisation after rejecting the applications

of the appellants-defendants seeking leave to defend the suit.

2. Appellant no. 1 was sued as the principal debtor while

appellant nos. 2 and 3 were sued as guarantors. Along with the

appeal the appellants had filed an application for stay of execution

of the decree dated 31st July, 2002. Vide order dated 18th

November, 2002 the execution was ordered to remain stayed

subject to deposit of Rs. 2,60,000/- by the appellants with the

Registrar General of this Court.

3. During the course of hearing of this appeal it was submitted

by learned counsel for the appellants-defendants that a sum of Rs.

2,60,000/- was paid to the respondent-plaintiff instead of

depositing the money in Court and appellants are further willing to

pay another sum of Rs. 50,000/- to the bank and treating these

payments to be without prejudice to the contentions of the

appellants-defendants the appeal can be allowed and appellants-

defendants be permitted to contest the suit of the bank on merits

and the payment of Rs. 3,10,000/-, as afore-said, can be made as

the condition for grant of leave to defend to the appellants-

defendants. Learned counsel for the respondent-plaintiff is

agreeable to the said submission made on behalf of the appellants

and says that this matter can be disposed of as suggested by

learned counsel for the appellants.

4. This appeal is accordingly allowed and the impugned

judgment and decree dated 31st July, 2002 passed by the learned

trial Court stand set aside and appellants-defendants are granted

leave to defend the suit conditional upon payment of Rs.

3,10,000/- out of which a sum of Rs. 2,60,000/- already stands

paid to the respondent bank and as has been agreed between the

parties, the balance amount of Rs. 50,000/- can be paid to the

bank within three weeks from today and in case of non-payment

within the said period of three weeks the impugned judgment and

decree of the trial Court would stand revived and this appeal would

stand dismissed.

5. The parties shall appear before the trial Court on 20th

February, 2009 and thereafter the Court would fix some date for

filing of the written statement by the appellants-defendants.

6. Dasti.

JANUARY 29, 2009                                P.K.BHASIN,J
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