Delhi High Court
State Bank Of India vs P.K. Sethi And Ors. on 10 September, 1993
Equivalent citations: 1994IIAD(DELHI)129, 54(1994)DLT659, (1994)107PLR46
JUDGMENT P.N. Nag, J.
(1) This is a suit for recovery of Rs. 1,73,508.87 by the plaintiff from the defendants.
(2) Counsel for the plaintiff, under instructions from the plainriff-Bank, states that during the pendency of the suit the defendants have paid the aforesaid amount of Rs. 1,73,508.87 claimed in the suit to the plaintiff-Bank and only the question regarding pendente lite interest is to be considered now in this suit. According toher, the plaintiff-Bank may be awarded interest as prayed for in the suit, viz., 12.5%p.a. with quarterly rest from the date of institution of suit till the aforesaid amount of Rs. 1,73,508.87 was paid to the plaintiff-Bank.
(3) Learned Counsel for the defendants, however, submits that since the defendants have paid the suit amount claimed by the plaintiff voluntarily during the pendency of the suit itself, therefore, the Court may take a lenient view while awarding pendente lite interest. He submits that the Court may grant rate of pendente lite simple interest at the rate of 6% p.a. (4) I have considered the matter and I am of the opinion that since thedefendants have paid the amount claimed in the suit during the pendency of the suit and having regard to overall circumstances of the case, it will be just and appropriate if the defendants are asked to pay simple interest of the suit amount at the rate of 6% p.a. from the date of institution of the suit till they made the entire payment of the suit among to the plaintiff-Bank. I am fortified in taking this view of awarding interest at the rate of 6% p.a. by the judgment dated 31.1.1986 ofChadha, J. passed in Suits No. 85 to 87 of 1980 filed by the Indian Overseas Bank against and the judgment dated 27.3.1989 of Mahinder Narain, J. passed in Suit No.1512/84 filed by Punjab & Sind Bank.
(5) In view of above, I hereby pass a decree for the recovery of Rs. 1,73,508.87with simple interest at the rate of 6% p.a. from the date of institution of the suit till the plaintiff received the aforesaid decreed amount of Rs. 1,73,508.87 during the pendency of the suit, in favor of the plaintiff and against the defendants. The plaintiff shall also be entitled to costs.