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Bombay High Court

Rabo Bank vs State Bank Of India on 11 February, 2021

Author: N. J. Jamadar

Bench: N. J. Jamadar

                                                   5-IAL3852-2021INCOMSS1-2001+.DOC

                                                                              Santosh
                          IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                              ORDINARY ORIGINAL CIVIL JURISDICTION
                                    IN ITS COMMERCIAL DIVISION


                             INTERIM APPLICATION (L) NO. 3852 OF 2021
                                               IN
                                COMM SUMMARY SUIT NO. 1 OF 2001

                   RABO Bank                                           ...Applicant
                   In the matter between
                   RABO Bank                                             ...Plaintiff
                                         Versus
                   State of Bank of India                             ...Defendant

                                           WITH
                                COMM SUMMARY SUIT NO. 1 OF 2001

                   Mr. Rahul Narichania, Senior Advocate, a/w Ms. Pratiksha
                        Avhad, i/b Mulla & Mulla & CBC, for the Plaintiff.
                   Mr. Umesh Shetty, a/w Sharila D'souza, Gopalkrishna Nayak
                        and Harjotsing, i/b Flavia Legal, for the defendant.


                                             CORAM:      N. J. JAMADAR, J.
                                             DATED :     11th FEBRUARY, 2021
                   PC:-

                   1.     This application is preferred by the plaintiff to amend the

                   cause-title of the plaint so as to change the address of the

                   defendant - Bank from "Scope Complex 7, Institutional Area,

                   Lodhi Road, New Delhi", to local Head Offce at "Synergy, B.K.C.

                   Mumbai-400 051" and Corporate Centre at "State Bank Bhavan,
V. S.
Parekar            Madame Cama Road, Nariman Point, Mumbai-400 021".
Digitally signed
by V. S. Parekar
Date: 2021.02.15
17:19:32 +0530



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                                  5-IAL3852-2021INCOMSS1-2001+.DOC

2.      The plaintiff had initially instituted the suit against the

State Bank of Hyderabad. The cause-title stated that the

defendant carries on business at Mumbai through its various

branches including its zonal offce at Rachna Sansad, 1st Floor,

278 S.G Marg, Prabhadevi, Mumbai.


3.      The evidence in the suit was closed on 7th October, 2016

and the matter came to be listed for argument on 6 th December,

2016.


4.      It is the claim of the plaintiff that, after the evidence was

closed and the suit came to be posted for fnal hearing, a

communication was addressed on behalf of the defendant (State

Bank of Hyderabad) to the Counsel for the plaintiff to the effect

that the erstwhile State Bank of Hyderabad was acquired by

State Bank of India in accordance with the GSR(E) with effect

from 1st April, 2017, and the Counsel for the plaintiff was

advised to take out an appropriate application to bring on

record State Bank of India as party defendant.        Consequently,

draft amendment was tendered before the Court on 30 th

October, 2017, and State Bank of India came to be substituted in

place of State Bank of Hyderabad, with the aforesaid New Delhi

address.



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                                5-IAL3852-2021INCOMSS1-2001+.DOC

5.   The applicant avers that the Delhi address came to be

inadvertently mentioned as another proceedings between Rabo

Bank, Netherland and State Bank of Hyderabad (original

defendant) was pending before the District Court at Saket and,

thus, there was an inadvertent mistake. The plaintiff be thus

permitted to amend the cause-title of the plaint, as proposed in

the Schedule.


6.   The defendant has resisted the application by fling an

affdavit-in-reply. The application is stated to be misconceived.

The reason assigned for seeking amendment in the cause-title of

the plaint is not worthy of acceptance. In any event, either the

local Head Offce or the Corporate Offce, at Mumbai of the

defendant has no supervisory or administrative control over the

Burrabazar Branch of the erstwhile State Bank of Hyderabad,

with which the plaintiff had the suit transactions. The

defendant thus prayed for rejection of the application.


7.   Heard Mr. Narichania, the learned Senior Counsel, for the

plaintiff/applicant and Mr. Shetty, the learned Counsel for the

defendant/respondent.


8.   Indubitably, the State Bank of Hyderabad was initially

impleaded as a party defendant with an assertion that its head


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                                 5-IAL3852-2021INCOMSS1-2001+.DOC

offce was at Gun Foundry, Hyderabad and zonal offce at

Rachna Sansad, Prabhadevi, Mumbai. After the State Bank of

Hyderabad, the then Associate Bank of the State Bank of India,

came to be acquired by the latter, the amendment was

necessitated.   It is nobody's case that the offce of the State

Bank of India at Scope Complex, 7 Institutional Area, Lodhi

Road, New Delhi, has any concern with the transactions in

question. Since, the issue of territorial jurisdiction of this Court

to entertain, try and dispose of this suit is already framed, by

order dated 9th February, 2016, and the parties have led

evidence thereon, the Court is required to record a fnding on

the issue of territorial jurisdiction.     The submission on behalf

of the defendant that the Local Head Offce and Corporate Offce

of the State Bank of India do not exercise any control over the

branch   with    which   the   plaintiff    had   transactions   and,

consequently, their presence within the local limits of the

jurisdiction of this Court does not empower this Court to

entertain, try and decide the suit is a matter of substance and

can be adjudicated at the fnal disposal of the suit.


9.   The fnal hearing of the suit is also at a fag end. Thus, at

this stage, there does not seem to be any justifable reason to

reject the prayer for carrying out the amendment so as to


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                                   5-IAL3852-2021INCOMSS1-2001+.DOC

correct the address of the defendant in the cause-title,

especially, in view of the fact that initially State Bank of

Hyderabad (original defendant) was sought to be sued with the

assertion that it has its zonal offce within the local limits of the

jurisdiction of this Court.      Thus, the basic premise of the

plaintiff's claim qua the territorial jurisdiction of this Court

does not change.


10.   For this forgoing reasons, the application deserves to be

allowed. Hence, the following order:

                               : ORDER :

(i) The application stands allowed.

(ii) The plaintiff shall carry out the necessary amendment forthwith and copy of the amended plaint be served on the defendant.

(iii) Re-verifcation dispensed with.

[N. J. JAMADAR, J.] 5/5