Bangalore District Court
M/S Shree Shirdi Sai Fuels vs Bharath M on 28 February, 2024
IN THE COURT OF LXXXIX ADDL.CITY CIVIL & SESSIONS
JUDGE, BENGALURU. (CCH-90)
PRESENT: Sri.S.J.Krishna, B.Sc., LL.B.,
LXXXIX Addl.City Civil &
Sessions Judge, Bengaluru.
Dated: 28th FEBRUARY 2024
Com.O.S.No.1031/2023
PLAINTIFF : M/s.Shree Shirdi Sai Fuels,
A Proprietorship Concern,
Having its office at No.13/1,
Singasandra, Hosur Main Road,
Bengaluru-560 068,
Represented by its Proprietor,
Smt.A.Prathiba,
(By Sri.H.S.Somanth, Advocate)
-Vs-
DEFENDANT : Sri.Bharath.M,
S/o Sri.Mani.M,
R/at No.1008,
"Srivari Nilaya",
6th Cross, 2nd Block,
Garvebhavipalya,
Dr.H.Narasimhaiah Road,
MICO Layout,
Bengaluru-560 068.
(By Sri.Suresh.S, Advocate)
/2/
Com.OS.No.1031/2023
Date of Institution of : 15.09.2023
suit
Nature of suit : Money Suit
(suit on pronote, suit for
declaration and
possession suit for
injunction, etc.,)
Date of commencement : 07.02.2024
of recording of evidence
Date of judgment : 28.02.2024
Total duration : Year/s Month/s Day/s
00 05 13
(S.J.KRISHNA)
LXXXIX ADDL.CITY CIVIL &
SESSIONS JUDGE, BENGALURU.
(CCH-90)
JUDGMENT
The plaintiff has filed this suit against the defendant praying the Court to pass a judgment and decree directing the defendant to pay a sum of ₹.3,28,753/- with current and future interest at the rate of 24% p.a. till the date of recovery along with Court costs and such other relief's to the plaintiff as this Hon'ble Court may deem fit in the facts and circumstances of the Case in the interest of justice and quality.
/3/ Com.OS.No.1031/2023 The summary of the case of the plaintiff is as follows:
02. The plaintiff is a dealer of petroleum products under Indian Oil Corporation (IOC) who is running a fuel station at Singasandra at Bengaluru and that the defendant is a customer of the plaintiff.
03. The defendant who is into the business of road lines had been regularly getting his vehicles refueled at the plaintiff's fuel station vide various tax invoices and in due course became liable to pay a total sum of ₹.3,28,753/- to the plaintiff towards the cost of purchase of fuel for his vehicles.
04. The defendant has issued a cheque Bg.No.000004, dated 22.06.2022 drawn on Standard Chartered Bank, Koramangala 5th Block Branch, Bengaluru for a sum of ₹.3,28,753/- to the plaintiff towards the discharge of the aforesaid legally recoverable debt i.e., towards the payment for the purchase of fuel from the plaintiff's fuel station.
05. As per the instructions of the defendant, the plaintiff had presented the aforesaid cheque through its bankers i.e., State Bank of India, Singasandra Branch, Bengaluru and the said cheque has been returned unpaid with an endorsement "FUNDS INSUFFICIENT" on 12.08.2022.
/4/ Com.OS.No.1031/2023
06. When the plaintiff intimated the defendant regarding the dishonor of the said cheque, the defendant had sought for time from the plaintiff for the payment of the said amount stating that he is facing financial distress and assured that he would make the payment within few days as he is expecting some funds. The plaintiff had obliged to the request of the defendant and had refrained from initiating proceedings under Section 138 of NI Act by believing the assurances and promises of the defendant.
07. In spite of repeated requests and reminders, the defendant has failed to pay the due amount of ₹.3,28,753/- by procrastinating the payment of the said amount on one or the other pretext without any justifiable cause or reasons.
08. Under these circumstances, the plaintiff had issued legal notice dated 09.02.2023 through RPAD calling upon the defendant to pay the due amount of ₹.3,28,753/- within 15 days from the date of receipt of the said legal notice.
09. Though the said notice was duly served on the defendant, he has failed to comply with the notice demand.
10. The plaintiff had filed an application for PIM on 28.03.2023 before the Hon'ble DLSA, Bengaluru. The /5/ Com.OS.No.1031/2023 defendant has failed to appear for mediation as such the DLSA has issued Non-Starter Report dated 31.08.2023 in PIM 780/2023.
11. The cause of action to file the suit arose to the plaintiff within the jurisdiction of this Hon'ble Court and the suit is filed within the period of limitation.
12. After the service of summons, the defendant appeared through his advocate, the defendant has failed to file the written statement.
13. Smt.Prathiba.A. the proprietress of the plaintiff concern has adduced her evidence as PW1. The PW1 has exhibited Ex.P1 to Ex.P10 and closed her evidence. The defendant did not cross-examination PW.1 and has not adduced his evidence.
14. After the conclusion of the trial, I have heard the arguments addressed by the learned counsel for the plaintiff. The defendant did not addressed any arguments. I have gone through the materials available on record.
15. The following Points arise for my determination:
(1) Whether the Plaintiff proves that the defendant is liable to pay ₹.3,28,753/-
/6/ Com.OS.No.1031/2023 towards the goods supplied by the plaintiff? (2) Whether the Plaintiff proves that the defendant is liable to pay interest at 24% p.a. on ₹.3,28,753/- from the date of suit till the date of realization of entire dues?
(3) What Order/decree?
16. My findings on the above points are as follows:-
POINT No.1 :
IN THE AFFIRMATIVE
POINT No.2 :
Partly AFFIRMATIVE
POINT No.3 :
As per final Order
for the following
REASONS
17. Point No.1 and 2: The plaintiff has filed this suit against the defendant praying the Court to pass a judgment and decree directing the defendant to pay a sum of ₹.3,28,753/- with current and future interest at the rate of 24% p.a. till the date of recovery along with Court costs and such other relief's to the plaintiff as this Hon'ble Court may deem fit in the facts and circumstances of the Case in the interest of justice and quality.
18. Smt.Prathiba.A. the proprietress of the plaintiff concern has adduced her evidence as PW1. The PW1 has exhibited Ex.P1 to Ex.P10 and closed her evidence The PW1 has reiterated the plaint averments in her affidavit evidence.
/7/ Com.OS.No.1031/2023
19. It is the case of the Plaintiff that the defendant is regular customer of the plaintiff. The defendant used to refueled his vehicles at the plaintiff's service station on credit basis. As per the ledger extract Ex.P.9 the defendant was due in a sum of ₹.3,29,034/- as on 12.08.2022 which shows the defendant is a regular customer of the plaintiff. The plaintiff is contending that towards the partial discharge of outstanding amount the defendant has issued cheque Bg.No.000004 dated 22.06.2022 for ₹.3,28,753/- drawn on Standard Chartered Bank as per Ex.P.2.
20. As per the instructions of the defendant, the plaintiff presented the cheque for realisatin through her banker State Bank of India. The said cheque returned dishonored with an endorsement 'FUNDS INSUFFICIENT" as per Ex.P.3.
21. When the defendant informed about the dishonor of cheque, he had sought for time to clear the outsanding balance amount. However, the defendant has failed to clear the balance amount. Hence, the plaintiff got issued a legal notice dated 09.02.2022 through registered post as per Ex.P.4. The said notice was duly served on the defendant as per Ex.P.6.
/8/ Com.OS.No.1031/2023
22. In spite of service of notice, the defendant has failed to clear the dues. The plaintiff initiated PIM Proceedings in PIM 780/2023. The defendant failed to participate in PIM proceedings. Hence, the Hon'ble DLS A has issued Non-Starter Report dated 31.08.2023 in PIM 780/2023.
23. The evidence adduced by PW.1 remains unchallenged. The plaintiff has established the suit transaction between the plaintiff and defendant by exhibiting Ex.P.9. The issuance of cheque as per Ex.P.3 establishes that the defendant has issued the cheque towards discharge of outstanding legally recoverable debt.
24. The defendant by getting the said cheque dishonored has failed to discharge the outstanding liability.
25. The plaintiff is claiming interest at 24% p.a on the overdue amount. The plaintiff has not furnished any documents to evidence that the plaintiff and defendant had agreed that the defendant would pay interest at 24% p.a. on the over dues.
26. The suit transaction is a commercial transaction. The plaintiff has being deprived of her legitimate claim all theses years. In the absence of written contract in respect of payment /9/ Com.OS.No.1031/2023 of interest on over due amount the Court has to consider the rate of interest charged by the Schedule Bank in respect of Commercial Loans. However, the plaintiff has not placed any such materials before the Court. In these circumstances if the current and future interest is fixed at 9% p.a. no prejudice would be caused to either to the plaintiff or to the defendant. The suit is filed within the period of limitation. The plaintiff has complied with Section 12A of Commercial Courts Act, 2015. There are no legal impediments to grant the suit reliefs. In these circumstances the plaintiff is entitled and the defendant is liable to pay ₹.3,28,753/- along with interest at 9% p.a. on ₹.3,28,753/- from the date of suit till the date of realisation. Accordingly, Point No.1 is answered in the AFFIRMATIVE, Point No.2 is answered Partly AFFIRMATIVE.
27. Point No.3: In view of my findings on point No.1 and 2, I pass the following:
ORDER The suit filed by plaintiff is hereby decreed in part on the following terms:
The defendant is liable to pay ₹.3,28,753/- (Rupees Three Lakhs Twenty Eight Thousand Seven Hundred and Fifty Three Only) along with interest at 9% p.a. on ₹.3,28,753/- (Rupees Three Lakhs Twenty Eight Thousand Seven /10/ Com.OS.No.1031/2023 Hundred and Fifty Three Only) from the date of suit till the date of realisation of entire dues.
Draw decree accordingly. The office is hereby directed to send a copy of the judgment to the plaintiff and the defendant through e-mail as per Order XX Rule 1 CPC as amended by Section 16 of Commercial Courts Act, 2015.
(Dictated to the Stenographer, corrected, signed and then pronounced by me in the open court on 28th day of February 2024) (S.J.KRISHNA) LXXXIX ADDL.CITY CIVIL & SESSIONS JUDGE, BENGALURU.
(CCH-90) ANNEXURES List of witnesses examined for the plaintiff:
P.W.1: Smt.Prathiba.A. List of documents exhibited on behalf of the plaintiff:
Sl.No. Particulars of documents Ex.P.
1. Copy of GST registration certificate Ex.P.1
2. Cheque Bg. No. 000004 dated Ex.P.2 22.06.2022 for ₹.3,28,753/- drawn on Standard Chartered Bank issued by defendant /11/ Com.OS.No.1031/2023
3. Cheque dishonor memo dated Ex.P.3 12.08.2022 issued by SBI
4. Office copy of legal notice dated Ex.P.4 09.02.2022
5. Postal receipt and postal Ex.P.5 & acknowledgment 6
6. Non starter report dated 31.08.2023 Ex.P.7 issued in PIM 780/2023
7. 65B certificate Ex.P.8
8. Ledger extract Ex.P.9
9. Certificate issued U/Sec. 65B of Indian Ex.P.10 Evidence Act, 1872 List of witnesses examined for the defendant/s:
NIL List of documents marked for the defendant/s:
NIL (S.J.KRISHNA) LXXXIX ADDL.CITY CIVIL & SESSIONS JUDGE, BENGALURU.
(CCH-90)
****
Digitally signed
by S J KRISHNA
SJ Date:
KRISHNA 2024.02.29
05:39:06 -0500