Kannu Exports vs Banque Nationale De Paris (Suisse) Sa, ... on 28 February, 2025
55. The judgment of the Supreme Court in C.K. Sasankan makes it clear
that the Court's discretion with regard to fixation of the rate of interest, is
to be exercised "properly, reasonably and on sound legal principles and
not arbitrarily". The Court found the rate of 25% per annum, granted by
Debts Recovery Tribunal in that case, to be excessive and instead granted
interest at the rate of 9% per annum. In Dhani Ram, this Court referred
inter alia to the aforesaid judgment of the Supreme Court, and found the
plaintiff therein entitled to the interest at the rate of 12% per annum.