Final Order 1

Order Details: Ex-parte Judgement
Pdf Text: SUMMARY SUIT NO.1366/2018 1
Received on : 02072018
Registered on : 26112018
Decided on : 23012020
Duration : 01Y 06M 12D
IN THE CITY CIVIL COURT AT MUMBAI
SUMMARY SUIT NO. 1366 OF 2018
(UNDER ORDER XXXVII THE CODE OF CIVIL PROCEDURE 1908)
( CNR NO.: MHCC010079302018)
Corporation Bank
a body corporate constituted under the provisions
of the Banking Companies (Acquisition and Transfer
of Undertakings) Act, 1980 having its
Zonal office at 28, Mittal Chambers, 2nd floor,
Nariman Point, Mumbai 400 021 and a Branch
Office amongst others at Corporation Bank
Plot No. 95/C, Ground Floor, Tolaram Shopping
Centre, N.G.Archarya Marg, Chembur,
Mumbai 400 071, through its Manager S.A.
Rajkumar, age 41 years. ..Plaintiff
Versus
A.V.Tours and Travels,
Through its Proprietor Ajay Radheshyam
Shukla, Having address as A/7, Flat No.42,
Sri Guru Hari Rai Society, Bindra Complex,
Mahakali Caves Road, MIDC, Chakala,
Andheri(W) 400 093. ….Defendant
Appearances:
Advocate R.K.Associates for the Plaintiff.
Defendant Exparte.
CORAM : HIS HONOUR JUDGE
DEEPAK L. BHAGWAT
(C.R.NO.28)
DATE : 23RD JANUARY 2020
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SUMMARY SUIT NO.1366/2018 2
J U D G M E N T
1. This is Summary Suit for recovery of Rs.3,28,800/(Rupees
Three Lakhs Twenty Eight Thousand Eight Hundred Only) with simple
interest @ Rs.11.90% 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 the defendant, the plaintiff sanctioned Vehicle loan of
Rs.7,70,000/ in August 2016 in favour of the defendant. The plaintiff
disbursed the loan amount of Rs.7,70,000/ on 04/08/2016, in favour
of the defendant. The Defendant executed relevant documents as term
loan agreement, Agreement for Hypothecation and letter of undertaking
/declaration dtd.04/08/2016. The defendant had agreed to repay the
loan amount in equated monthly installments with interest @ 11.90%
p.a. In case of failure to repay the amount, the defendant also agreed to
pay the penal interest of 2% p.a. over and above the normal rate of
interest. According to the plaintiff, the defendant failed and neglected
to pay the monthly installments regularly and his account became NPA
on 31/12/2017. Thereby the plaintiff recovered sum of Rs.3,85,000/
by selling the hypothecated vehicle in auction on 30/01/2018. Thus, as
on 03.04.2018 the amount outstanding due and payable by the
defendant was Rs.3,22,356/. Vide legal notice dated 24.04.2018, the
plaintiff called upon the defendant to pay then due amount. However,
the defendant did not comply with it. At the institution of the suit, the
defendant were liable to pay Rs.3,28,800/. Therefore, the plaintiff
claimed decree for recovery of said amount with interest.
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SUMMARY SUIT NO.1366/2018 3
3. In the noting dtd.22.10.2019 it was noted that, the defendant
was served on 19.12.2018 and he filed his appearance on 30.01.2019. It
was also noted that the same appearance was not within the time. Thus,
the appearance of the defendant was not accepted and recorded it being
beyond the stipulated time of ten days from the date of service of
summons. In these circumstances the suit proceeded without valid
appearance of the defendant. In other words it proceeded Exparte
against the defendant.
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 ?
At the rate of 10% p.a.
3. What order and decree? As per final order
REASONS
AS TO POINTS NO.1 to 3
5. The plaintiff examined its manager P.W.1 Lakshmeesha at Exh.6.
His testimony speaks that on the request of defendant loan of
Rs.7,70,000/ was disbursed in his favour by the plaintiff. However, the
defendant failed to repay the loan amount by regular monthly
installments. Therefore, by selling the defendant's vehicle in aunction,
the plaintiff recovered sum of Rs.3,85,000/. According to him, still at
the institution of the suit, amount of Rs.3,28,800/ was due and payable
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SUMMARY SUIT NO.1366/2018 4
by the defendant.
6. His testimony is corroborated by the documents on record as the
loan application, dated 15/07/2016 which reveals that defendant had
applied for loan. Sanction letter, term Loan agreement, Hypothication
deed, Letter of undertaking, reveal that the defendant agreed to repay
the loan of Rs.7,70,000/ in equated monthly installments with interest
@11.90% p.a.. The statement of account reveals that the loan was
disbursed by the plaintiff in favour of the defendant. Thus, it is clear
that the plaintiff had paid loan amount of Rs.7,70,000/ to defendant
with interest @ 11.90% p.a., but the defendant failed to repay the loan.
On the date of filing of the suit, the amount outstanding, due and
payable by the defendant was Rs.3,28,800/. In these circumstances,
the plaintiff is entitled to recover the amount of Rs.3,28,800/. It
appears that the defendant is a driver. The loan was granted to the
defendant for his livelihood from the income of driving the vehicle.
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 decreed with costs as under:
2. The Defendant shall pay to the plaintiff amount of Rs.3,28,800/
(Rupees Three Lakhs Twenty Eight Thousand Eight Hundred Only) with
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SUMMARY SUIT NO.1366/2018 5
simple interest @ 10% p.a. 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)
AdHoc Judge,
Date: 23/01/2020 City Civil Court,Gr. Mumbai
Dictated on : 23/01/2020
Transcribed on : 24/01/2020
Signed on : 24/01/2020
CERTIFIED TO BE TRUE AND CORRECT COPY OF THE ORIGINAL SIGNED
JUDGMENT/ORDER.”
30/01/2020 at 5.30p.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 23/01/2020
Judgment/Order signed by P.O. on 24/01/2020
Judgment/Order uploaded on 30/01/2020
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