Final Order 1

Order Details: Ex-parte Judgement
Pdf Text: SUMMARY SUIT NO. 1471/2018 1
Received on : 30-06-2018
Registered on : 17-12-2018
Decided on : 14-02-2020
Duration : 01Y 07M 15D
IN THE CITY CIVIL COURT AT MUMBAI
SUMMARY SUIT NO. 1471 of 2018
(UNDER ORDER XXXVII THE CODE OF CIVIL PROCEDURE 1908)
( CNR NO.: MHCC01-007891-2018)
Corporation Bank
a body corporate constituted under the provisions
of the Banking Companies(Acquisition & Transfer
of Undertakings) Act, 1980 having their having its
Zonal office at 28, Mittal Chambers, 2nd floor,
Nariman Point, Mumbai 400 021 and a Branch
Office amongst others at Corporation Bank, 520,
Mangireesh Building, Ground floor, L.J.Road,
Cross, Mahim, Mumbai 400016, represented
through its Manager Mr.Noorul Haque Sheikh
Age 40 years. ...Plaintiff
Versus
1. Shakila Banu Allauddin,
Age: Adult
Residing at Room No.1,
E Sector, M-2 Line, Cheetacamp,
Trombay, Mumbai 400 088.
2. Sahul Hamid Shaikh,
Age: Adult
Proprietor of M/s.Hero Bags,
Residing at Room No.5,
Plot No.16, C Line, Shivaji
Nagar, Near Hari Masjid,
Govandi, Mumbai- 400 043. ….Defendants
Appearances:-
Advocate Mr.Thakur for the Plaintiff.
Defendants Ex-parte.
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SUMMARY SUIT NO. 1471/2018 2
CORAM : HIS HONOUR JUDGE
DEEPAK L. BHAGWAT
(C.R.NO.28)
DATE : 14TH FEBRUARY 2020
J U D G M E N T
1. This is Summary Suit for recovery of Rs.6,03,032/-(Rupees Six
Lakhs Three Thousand and Thirty Two Only) with simple interest @
Rs.11.15% p.a. from the date of the suit till realization of amount.
2. According to the plaintiff, it is a Banking Company. On the
request of defendant No.1 the plaintiff sanctioned loan of Rs.5,00,000/-
in October 2015. Defendant No.2 stood as guarantor of defendant No.1.
The plaintiff disbursed the loan amount of Rs.5,00,000/- on
29/10/2015, in favour of defendant No.1. The Defendants executed
relevant documents as term loan agreement, guarantee agreement,
Common deed for Hypothecation and letter of undertaking/declaration
dtd.29/10/2015. The defendants had agreed to repay the loan amount
in equated monthly installments with interest @ 11.15% p.a. In case of
failure to repay the amount, the defendants also agreed to pay the penal
interest of 2% p.a. over and above the normal rate of interest.
According to the plaintiff, the defendants failed and neglected to pay
the monthly installments regularly. Vide legal notice dated 23.05.2018,
the plaintiff called upon the defendants to pay then due amount. At the
institution of the suit, the defendants were liable to pay Rs.6,03,032/-.
Therefore, the plaintiff claimed decree for recovery of said amount with
interest.
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SUMMARY SUIT NO. 1471/2018 3
3. Despite service of summons, the defendants failed to appear.
Therefore, the suit proceeded ex-parte against the defendants.
4. Considering the material on record and submissions made on
behalf of the plaintiff points arise for determination along with my
findings thereon for the reasons recorded are as under:-
POINTS FINDINGS
1. Whether the plaintiff is entitled
to recovery of amount as prayed?
Yes
2. At what Pendente Lite and
future interest?
The plaintiff is entitled to the
interest @ 10% p.a. on principal
amount of Rs.5,00,000/- from the
date of suit till realization of the
amount.
3. What order and decree? As per final order
REASONS
AS TO POINTS NO.1 to 3
5. The plaintiff examined its chief manager P.W.1 Noorul at Exh.6.
His testimony speaks that on the request of defendant No.1 loan of
Rs.5,00,000/- was disbursed in his favour by the plaintiff. Defendant
No.2 stood as the Guarantor. However, the defendants failed to repay
the loan amount by regular monthly installments. According to him,
amount of Rs.6,03,032/- was due and payable by the defendants.
6. His testimony is corroborated by the documents on record as the
loan application, dated 24/10/2015 which reveals that defendant No.1
had applied for loan on 24/10/2015. Defendant No.2 also executed said
application showing his willingness to stand as guarantor. Sanction
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SUMMARY SUIT NO. 1471/2018 4
letter, term Loan agreement, Guarantee agreement Letter of
undertaking dated 29/10/2015, reveal that the defendants agreed to
repay the loan of Rs.5,00,000/- in equated monthly installments with
interest @11.15% p.a.. Defendant No.2 stood as guarantor for
defendant No.1. The statement of account reveals that the loan was
disbursed by the plaintiff to the account of defendant No.1. Thus, it is
clear that the plaintiff had paid loan amount of Rs.5,00,000/- to
defendant No.1 with interest @ 11.15% p.a., but the defendants failed
to repay the loan. The statement of account shows that, on the date of
filing of the suit, the amount outstanding, due and payable by the
defendants was Rs.6,03,032/-. In these circumstances, the plaintiff is
entitled to recover the amount of Rs.6,03,032/-. So far as the pendente
lite interest and future interest is concerned, it may be noted that the
loan granted to defendant No.1 was from 'Pradhanmantri Mudra Yojna'.
It appears that it was granted to the defendant No.1 for her business.
Considering these circumstances, it is just and proper to grant the
interest at simple rate of 10% p.a. from the date of suit till realization of
amount. Hence, point No.1 is answered in the affirmative and point
No.2 is answered as that the plaintiff is entitled to the interest @ 10%
p.a. from the date of suit till realization of the amount. In view of Para-
499 of Civil Manual court fees has to be refunded to the plaintiff, this
being summary suit where the defendant did not appear. In answer to
point No.3 order as follows is passed.
ORDER
1. The suit is ex-parte decreed with costs as under:-
2. Defendants No.1 & 2 shall jointly and severally pay to the plaintiff
amount of Rs.6,03,032/-(Rupees Six Lakhs Three Thousand and Thirty
Two Only) with simple interest @ 10% p.a. on principal amount of
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SUMMARY SUIT NO. 1471/2018 5
Rs.5,00,000/- from the date of suit till realization of the amount.
3. Court fees be refunded to the plaintiff as per rules.
4. Decree be drawn up accordingly.
(Deepak L. Bhagwat)
Ad-Hoc Judge,
Date: 14/02/2020 City Civil Court,Gr. Mumbai
Dictated on : 14/02/2020
Signed on : 17/02/2020
CERTIFIED TO BE TRUE AND CORRECT COPY OF THE ORIGINAL SIGNED
JUDGMENT/ORDER.”
20/02/2020 at 11.40a.m. Mrs.J.V.Pawar
UPLOAD DATE AND TIME NAME OF STENOGRAPHER
Name of the Judge (With Court Room No.) HHJ Shri.D.L.Bhagwat
(C.R.NO.28)
Date of pronouncement of Judgment/Order 14/02/2020
Judgment/Order signed by P.O. on 17/02/2020
Judgment/Order uploaded on 20/02/2020
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