Kerala High Court
K.C.Skariah vs Benny Antony on 5 August, 2025
Author: Sathish Ninan
Bench: Sathish Ninan
2025:KER:58158
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE SATHISH NINAN
&
THE HONOURABLE MR.JUSTICE P. KRISHNA KUMAR
TUESDAY, THE 5TH DAY OF AUGUST 2025 / 14TH SRAVANA, 1947
RFA (INDIGENT) NO. 373 OF 2022
AGAINST THE ORDER DATED 07.09.2023 IN CMCP NO.100 OF 2022 OF
HIGH COURT OF KERALA ARISING OUT OF THE JUDGMENT DATED 24.06.2022
IN OS NO.21 OF 2018 OF SUB COURT, MUVATTUPUZHA
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APPELLANT/DEFENDANT:
K.C.SKARIAH,
AGED 66 YEARS,
S/O.CHACKO, KUZHIYARAYIL HOUSE, KAKKAD KARA,
PIRAVOM VILLAGE, MUVATTUPUZHA TALUK.
BY ADVS.
SHRI.SABU FRANCIS
SHRI.ABRAHAM JOSEPH
RESPONDENT/PLAINTIFF:
BENNY ANTONY
AGED 56 YEARS
S/O.K.P.ANTONY, KARUVELY HOUSE, ERUMATHALA KARA,
ALUVA EAST VILLAGE, ALUVA TALUK, PIN 683112.
BY ADV SHRI.RENNY AUGUSTINE
THIS REGULAR FIRST APPEAL HAVING COME UP FOR HEARING ON
05.08.2025, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
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SATHISH NINAN &
P. KRISHNA KUMAR, JJ.
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R.F.A. (Indigent) No.373 of 2022
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Dated this the 5th day of August, 2025
J U D G M E N T
Sathish Ninan, J.
The decree in a suit for money is under challenge by
the defendant.
2. The defendant had availed a loan of ₹ 42,75,000/-
from the plaintiff. To secure the liability, the defendant
executed Exts.B3 and B4 Sale Deeds and an agreement dated
04.12.2010. Subsequently, the defendant filed OS 203/2013
seeking a declaration that the sale deeds are null and void.
The suit was decreed. In the suit the defendant
herein(plaintiff in that suit) had admitted the receipt of
loan of ₹ 42,75,000/-. The present suit is filed for
recovery of the said amount with interest.
3. The defendant contended that, he had repaid an
amount of ₹ 45,000/- on 23.03.2011, another ₹ 45,000/- on
23.04.2011, and ₹ 1 lakh on 28.08.2011. This ought to be
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reduced from the claim. It is also the contention that the
interest claimed at the rate of 24% is exorbitant.
4. The trial court passed a decree as under: -
1. Plaintiff is entitled to realise ₹ 42,75,000/- (Rupees forty two lakhs
seventy five thousand only) from the defendant with interest @ 24%
per annum from 24.02.2011 till 01.12.2012.
2. Plaintiff is also entitled to realise interest @ 6% per annum for
42,75,000/- (Rupees forty two lakhs seventy five thousand only) from
1.12.2012, date of Ext.B1 notice on which defendant showed readiness
to pay the admitted amount till date of the suit, ie.,18.07.2018.
3. Plaintiff is also entitled to realise future interest @ 6% per annum for
the decreed amount from the date of suit i.e 18.07.2018 till realisation.
4. Each party shall bear their respective costs.
5. Order of attachment in IA. 341/2018 shall continue till realisation of
decree.
5. We have heard learned counsel on either side.
6. The main grievance of the appellant-defendant is
that the amounts paid by him on 23.03.2011, 23.04.2011
28.08.2011 totalling to ₹ 1,90,000/- have not been deducted
from the claim. So also the rate of interest claimed is
high, exorbitant and unconscionable.
7. The fact that the defendant had paid ₹ 45,000/- each
on 23.3.2011, 23.04.2011 and a further amount of ₹ 1 Lakh on
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28.08.2011 was admitted by the plaintiff herein in the
written statement filed by him in OS 203/2013, wherein he
was the defendant. Therein at paragraph 9 he stated thus :-
"1,90,000 രരൂപ വവാദദി പലദിശ ഇനതദിൽ പപതദികക്ക് നൽകദി എന്നതക്ക്
ശരദിയവാണക്ക്. 23-03-2011 നക്ക് 45,000 രരൂപയയയ, 23-04-2011 നക്ക് 45,000 രരൂപയയയ,
28-08-2011 നക്ക് 1,00,000 രരൂപയയയ കരൂടദിയവാണക്ക് മമവാതയ 1,90,000 രരൂപ വവാദദി
പപതദികക്ക് നൽകദിയതക്ക്. "
The receipt of the said amount having been admitted, it
ought to be deducted from the total amount.
8. With regard to the rate of interest, considering the
prevalent rate of interest in commercial and banking
transactions, evidently the rate claimed is exorbitant and
unconscionable. The rate of interest granted by the trial
court at 24% is liable to be modified to 12%. Thereafter
interest could be granted at 9% till the date of decree and
at 6% till realisation.
Resultantly, the appeal is allowed in part. In
modification of the decree and judgment of the trial court
the suit is decreed as follows :-
(I) The plaintiff is entitled to realise:
(a) interest @ 12% per annum from 24.02.2011 till 23.03.2011 on
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₹ 42,75,000/- (Rupees forty two lakhs seventy five thousand only) from
the defendant, and
(b) interest @ 12% per annum from 23.03.2011 till 23.04.2011 on
₹ 42,30,000/- (Rupees forty two lakhs thirty thousand only), and
(c) interest @ 12% per annum from 23.04.2011 till 28.08.2011 on
₹ 41,85,000/- (Rupees forty one lakhs eighty five thousand only), and
(d) ₹ 40,85,000/- (Rupees forty lakhs eighty five thousand only) with
interest @ 12% per annum from 28.08.2011 till 1.12.2012, date of
Ext.B1 notice on which defendant showed readiness to pay the admitted
amount, and thereafter @ 6% per annum till realisation.
(II) Parties to bear their respective costs.
(III) Order of attachment in IA. 341/2018 shall continue till satisfaction of the
decree.
Sd/-
SATHISH NINAN
JUDGE
Sd/-
P. KRISHNA KUMAR
JUDGE
kns/-
//True Copy//
P.S. To Judge
