Lawyers Directory Listing
Unlock direct contact details for up to 10 lawyers so you can call or WhatsApp the right legal professional and move your matter forward with confidence.
Suit No. 321 of 1986, decided on 19th May, 1987.
---S.6--Civil Procedure Code (V of 1908), O.XXXVII, R.3--Suit for recovery--Application of defendant for leave to appeal and defend suit dismissed for non-prosecution--Plaintiff producing all original documents and establishing its claim for recovery--Plaintiff entitled to recovery of amount in suit with interest--Preliminary decree passed in term of O.XXXVII, R.3, C.P.C. accordingly.
Mohammad Asghar Ansari for Plaintiff.
Nemo for Respondents (absent).
Date of hearing: 19th May, 1987.
The plaintiff is a banking company which has filed suit for recovery of Rs. 1,542,499.70 under the Banking Companies (Recovery of Loans) Ordinance, 1979. The defendant No. 1 has a current deposit account No. 1 in the name of his proprietary concern namely Commercial Enterprise from the year 1966. The defendant No. 1 was granted overdraft limit in his account which was renewed from time to time. The last renewal and enhancement was made on 9-1-1983 when the limit of Rs. 7,50,000 was enhanced to Rs. 10,000,00 on the condition that the defendant No. 1 will furnish security by way of equitable mortgage and the interest will be charged at 4% above, the bank rate and further that in case of non-adjustment of overdraft penal interest @ 5% per annum shall be charged on over due amount. The repayment was to be paid within six months. The defendants accepted these terms and signed on the copy of letter dated 9-1-1983. As a security for re-payment of loan a promissory note for Rs. 10,000,00 was executed by him, a letter of continuity, letter of arrangement and a letter of hypothecation of goods was also executed. The defendant No. 2 further executed a memorandum confirming deposit of title deeds. The defendant No. 2 thus created an equitable mortgage in respect of her property bearing No. E-119, Block 'F' North Nazimabad, Karachi. The plaintiff has also filed acknowledgement receipt dated 1-1-1984 confirming the debit balance of Rs. 9,35,319.25. Another letter dated 10-9-85 by the defendant No. 1 addressed to the plaintiff has also been filed in which the liability of Rs. 13.35.886.70 as on 30-12-1985 has been admitted. As the defendants failed to pay the amount claimed in the suit the plaintiff has filed this suit. Besides the documents referred above statement of account has also been filed. The defendants had filed an application under Order XXXVII, Rule 3 C.P.C. for leave to appear and defend the suit. This application was dismissed for non-prosecution on 29-3-1987. Today the defendants and their Advocate are absent. As the application for leave to appear and defend the suit has been dismissed and the plaintiff has produced al the original documents, photo copy of which were produced alongwith the plaint, the plaintiff has established its claim for recovery of Rs. 1,542,499.70. The plaintiff is entitled to recover from the defendants jointly and severally Rs. 1,542,499.70 with interest @ 14% per annum from the date of the suit till recovery and costs A preliminary decree in terms of Order XXXI V, Rule 4 C. P. C. is passed for the amount already declared to have been due and recoverable from the defendants.
M.Y.H./U-19/K Suit decreed.
Dealing with a matter like this? Connect with a verified advocate in your city — free on SJP Lawyers Directory.
🔍 Find a Lawyer