Delhi District Court
Scj Plastics Ltd vs Aricent Polymers on 23 January, 2018
IN THE COURT OF SH. ANIL ANTIL:
ADDITIONAL DISTRICT JUDGE 05 SOUTH EAST DISTRICT,
SAKET COURTS, NEW DELHI.
CS No. 1379/2017
SCJ Plastics Ltd.
F3/1011 Okhala Industrial Area
PhaseI
New Delhi 110020
..........Plaintiff
Vs.
ARICENT Polymers
Plot No. 34/A
K.I.A.D.B. Industrial Area
Hoskote562 114 (Bangalore Rural)
...........Defendant
Date of Institution : 11.09.2017
Date of Arguments : 13.11.2017
Date of Judgment : 15.11.2017
Date of rectified Judgment : 23.01.2018
Suit Under Order XXXVII CPC for recovery of Rs.
26,52,515/ (Rupees Twenty Six Lakhs Fifty Two Thousand Five
Hundred and Fifteen only)
JUDGMENT:
1. The present suit for recovery of Rs. 26,52,515/ alongwith pendentelite and future interest under Order XXXVII Code of the Civil Procedure, 1908 (hereinafter called as CPC) has been filed by CS No. 1379/17 SCJ Plastics Ltd. Vs. Aricent Polymers pg. 1 of 5 the plaintiff against the defendant.
2. Briefly stated, plaintiff is a Limited Company registered with ROC Delhi and Haryana and deals in Master Batches and compounds. It is averred that defendant is a partnership firm of Mr. Ravi Shanker Reddy and Madhu Kar Reddy and operating and working from the abovesaid address.
3. It is averred that defendant firm had purchased master batches from plaintiff worth Rs. 24,03,695/ on credit of 15 days to its entire satisfaction and requirement. The following invoices have been raised by the plaintiff against the defendant for supply of goods: Invoices No. Date Amount in Rs.
2380 24.12.2015 3,81,466/ 2586 18.01.2016 5,51,517/ 2825 13.02.2016 3,67,678/ 3089 14.03.2016 3,67,678/ 3204 29.03.2016 3,67,678/ 160 23.04.2016 3,67,678/
4. That said master batches were dispatched by the plaintiff to the defendant firm through transporter e.g. Associated Road Carriers Ltd. and JDW Express Logistics India Pvt. Ltd. from Okhla, New Delhi. Defendant gave assurance and promised to the plaintiff that defendant firm will make payment within the credit period of 15 days. That a part payment of Rs. 3,81,466/ against said purchase of goods worth Rs. 24,03,695/ made by the defendant firm to the plaintiff till date.
CS No. 1379/17 SCJ Plastics Ltd. Vs. Aricent Polymers pg. 2 of 5
5. That the defendant firm had issued to plaintiff a filled and signed cheque bearing no. 000051 dated 14.06.2017 drawn from bank account of defendant firm with Kotak Mahindra Bank. The said cheque got dishonored with remarks "Funds Insufficient".
6. That despite repeated requests by the plaintiff, defendant failed to pay outstanding amount to the plaintiff. Thus, as on date, a principal balance amount of Rs. 20,22,229/ is still due from defendant firm. The defendant firm is also liable to pay the plaintiff a sum of Rs.6,30,286/ towards interest. Thus, as on date a total amount of Rs.26,52,515/ is outstanding. All the invoices have been raised subject to jurisdiction of Delhi courts. A legal notice dated 07.11.2016 was issued to the defendant to discharge his outstanding liabilities. Hence, the present suit was filed by plaintiff.
7. After institution of the suit, summons as per the provisions of Order XXXVII CPC were issued to the defendant for 07.10.2017 Defendant was served through registered courier and electric mode on 19.09.2017, but none has appeared for defendant.
8. The defendant did not put its appearance despite expiry of the statutory period as provided u/O XXXVII CPC. Further report filed by the Ahlmad perused, no appearance has been filed by the defendant in compliance of Order XXXVII CPC till date.
9. The present suit is based on invoices, and cheque (part payment) amounting to Rs.4,30,000/ given by the plaintiffs to the defendant company. Plaintiff has filed following documents in support of his contention: CS No. 1379/17 SCJ Plastics Ltd. Vs. Aricent Polymers pg. 3 of 5
(i) True copy of certificate of Regn. of the plaintiff.
(ii) Resolution dated 01.04.2017.
(iii) Office copy of six invoices i.e. 2380 , 2586, 2825, 3089, 3204, and 160.
(iv) Six transporter's receipts.
(v) True Computer Generated statement of account of the defendant company as maintained by the plaintiff.
(vi) Certificate u/s 65 B of the Evidence Act.
(vii) Copy of dishonored cheque with cheque return memo.
(viii) Email dated 14.06.2017 by the defendant.
(ix) True copy of legal notice dated 07.11.2016 and 29.05.2017.
(x) True copy of legal notice dated 24.08.2017
(xi) Two regd. Postal slips
(xii) One unserved envelope containing legal notice dated 07.11.2016
10. As noted above, defendant has failed to enter his appearance in terms of O 37 R 3(1) CPC. The suit falls under the provisions of summary procedure code. Therefore, in terms of subrule (3) of R (2) of Order XXXVII, plaintiff is entitled to a decree for the principle amount.
11.It is to be noted that the plaintiff is claiming interest @ 24% p.a. premised on the invoices. May, I state that the interest claimed CS No. 1379/17 SCJ Plastics Ltd. Vs. Aricent Polymers pg. 4 of 5 by the plaintiff, in my considered opinion appears to be unreasonable, arbitrary and on higher side, taking note of the commercial transaction and interest charged thereupon as well as prevalent rate of interest, an interest @ 12% per annum would be reasonable and justified.
Relief:
12. In these circumstances, in view of above noted facts, the suit of the plaintiff, under O 37 R 3 (2) CPC, is decreed in favor of the plaintiff against the defendant for a sum of Rs.20,22,229/ @ 12% per annum on the aforesaid amount from the date of cheque dated 14.06.2017, till its realization.
The suit is disposed off as decreed.
Cost of the suit is also allowed to the plaintiff.
Decree sheet be drawn accordingly.
File be consigned to the record room after due compliance.
Announced in the open (Anil Antil)
Court on 23.01.2018 Additional District Judge 05 (SE)
Saket Courts, New Delhi.
(This judgment contains five pages
and each page bears my signatures)
CS No. 1379/17 SCJ Plastics Ltd. Vs. Aricent Polymers pg. 5 of 5