Delhi District Court
The South Indian Bank Ltd vs Jvg Industries Ltd on 30 June, 2015
IN THE COURT OF SH. CHANDRA BOSE, CIVIL JUDGE -SENIOR DIVISION
CENTRAL DISTRICT, TIS HAZARI COURTS, DELHI.
Suit No. 457/14
ID No. 02401C0627932014
The South Indian Bank Ltd.
"SIB House", Mission Quarters,
T.B. Road, Thrissur, Kerala with
Branches amongst others At:
B-103, Ground Floor, Chitranjan Park,
New Delhi - 110019. .......... plaintiff
vs.
JVG Industries Ltd.
A-16, Kamla Nagar,
Delhi - 110007. ..... defendant
Date of Institution of Suit : 09-12-2014
Date of reserve for judgment : 29-06-2015
Date of announcement of Judgment : 30-06-2015
SUIT FOR RECOVERY OF RS. 2,89,532/- ALONGWITH PENDETLITE
AND FUTURE INTEREST.
EX-PARTE JUDGMENT:-
1.The brief facts, as per averments of the plaint, are that the defendant approached the plaintiff bank for availing the Temporary Overdraft facility of Rs. 3.70 lacs and the plaintiff bank sanctioned on 09-12-2011 the said facility for the sum of Rs. 3.70 lacs subject to the terms and conditions contained in the sanction letter. That the interest was agreed to be paid @ Base Rate i.e. 10.50% + spread i.e. 11.50% i.e. effective rate of interest was 22% per annum with monthly rest. However, the rate of interest was subject to change as per the Base Rate of the plaintiff bank. In case of failure in regularization of account within the stipulated period of time, the defendant was liable to pay penal interest @ 2% per annum over and above the prescribed/agreed rate of interest. That the defendant has executed and delivered on 09-12-2011 the Demand Promissory Note dated 09-12- Suit No. 457/14 1/3
The South Indian Bank Ltd. vs JVG Industries Ltd.
2011 for a sum of Rs. 3,70,000/- and Credit Facility Agreement dated 09-12-2011 in favour of the plaintiff bank and the defendant after execution of necessary loan and other documents, has availed the amount of Temporary Overdraft facility in the account from time to time. That the defendant has failed to liquidate the Temporary Overdraft facility in its account within the stipulated period of time despite assuring the same to the plaintiff bank. Although the defendant has paid some amount in the account but the same was not sufficient to liquidate the liability outstanding in the account. That as per Statement of Account maintained by the plaintiff bank, a sum of Rs. 2,89,532/- is due and outstanding in the account of the defendant as on 08- 12-2014, which the defendant is liable to pay together with interest from 09-12- 2014 at the rate of 21% per annum with monthly rests and penal interest @ 2% per annum with monthly rests till the date of payment.
2. Summons was served upon the defendant but none had appeared on behalf of the defendant. Therefore, case was proceeded Ex-parte against the defendant vide order dated 02-02-2015 and case was adjourned for Ex-parte evidence.
3. In order to substantiate the case of the plaintiff, Sh. Praveen Jose filed and tendered his affidavit in Ex-parte evidence as PW-1. No other witness was examined on behalf of the plaintiff.
4. I heard Ex-parte final arguments on behalf of the plaintiff and considered the submissions of ld. counsel for the plaintiff and evidence on record.
5. It has been proved on behalf of the plaintiff bank by the evidence of PW-1-Sh. Praveen Jose that the defendant had availed Temporary Overdraft facility of Rs. 3.70 lacs which was sanctioned on 09-12-2011 and interest on it was agreed to be paid @ Base Rate i.e. 10.50% + spread i.e. 11.50% i.e. effective rate of interest was 22% per annum with monthly rest. It has also been proved by PW- 1-Sh. Praveen Jose that the defendant had executed and delivered on 09-12-2011 loan and other documents in favour of the plaintiff bank i.e. Demand Promissory Note dated 09-12-2011 Ex.PW-1/3 for a sum of Rs. 3,70,000/-, Credit Facility Agreement dated 09-12-2011, Ex. PW-1/4. It has also been proved that the Suit No. 457/14 2/3 The South Indian Bank Ltd. vs JVG Industries Ltd.
defendant had availed the amount of Temporary Overdraft facility in the account from time to time and the amount was availed in its entirely as detailed in the Statement of Account Ex.PW-1/9. It has also been proved that the defendant had failed to liquidate the Temporary Overdraft in its account within the stipulated period of time despite assuring the same to the plaintiff bank and the request was made by the plaintiff bank vide letters dated 18-01-2012, Ex.PW-1/5, 28-02-2012 Ex.PW-1/6, 01-06-2012 Ex.PW-1/7 and 20-07-2012 Ex.PW-1/8 for liquidation of liability outstanding in the account. It has further been proved by PW-1-Sh. Praveen Jose that some amount in the account was paid by the defendant but it was not sufficient to liquidate the liability outstanding in the account and hence, the plaintiff bank filed the present suit.
6. It has further been proved on behalf of the plaintiff bank that as per Statement of Account, Ex. PW-1/9, a sum of Rs. 2,89,532/- (Rupees Two Lacs Eighty Nine Thousand Five Hundred and Thirty Two Only) is due and outstanding in the account of the defendant as on 08-12-2014 and the defendant is liable to pay the same with interest from 09-12-2014 @ 21% per annum with monthly rest and penal interest @ 2% per annum with monthly rests till the date of payment.
7. In view of above discussions and reasons therein, the suit of the plaintiff is decreed for a sum of Rs. 2,89,532/- against the defendant company alongwith interest @ 21% per annum on it from the date of filing of the suit till the same is recovered. Cost of the suit is also awarded. Decree sheet be prepared accordingly. File be consigned to record room after necessary compliance.
Announced in the open court (CHANDRA BOSE)
on the 30th day of June, 2015 Civil Judge-Senior Division
Central District, Delhi
Suit No. 457/14 3/3
The South Indian Bank Ltd. vs JVG Industries Ltd.