In a summary suit for loan recovery where the defendant failed to appear, the High Court of Bombay admitted that default and decreed the plaintiff's suit for the principal sum together with interest at 14.50% p.a. and costs.
Decree for payment of Rs. 2,35,226/- with interest at 14.50% p.a. from the date of filing, along with costs.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
1
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
ORDINARY ORIGINAL CIVIL JURISDICTION
SUMMARY SUIT NO. 3111 OF 2008
State Bank of India... Plaintiff
Vs.
Balu Sukhdev Salve....Defendant
Mr.Prasad Das i/b. Goenka Law Associates
None for Defendant
CORAM: V.M. KANADE J.
DATED: 1ST OCTOBER, 2009
P.C.
1.Heard.
2.The Plaintiff has filed affidavit of service in
respect of service of the writ of summons.
3.No appearance has been filed by the Defendant
within 10 days from the date of service of the writ of
summons.
4.The Plaintiff has filed his Summary Suit for
recovery of an amount of Rs.2,35,000/- with interest
at the rate of 14.50% p.a. on the said sum from the
date of filing of the suit till payment/ realisation.
5.The Defendant had taken a personal loan in a
sum of Rs.1,60,000/- and had executed the personal
2
loan agreement dated 11.11.2004. The Defendant had
sent a revival letter dated 18th January, 2007 and had
acknowledged that the said amount is due and payable
by the Defendant to the Plaintiff.
6.The Plaintiff has filed compilation of the
original documents viz. original personal loan
application, original arrangement letter dated
10.11.2004, copy of the personal loan agreement and
the original revival letter.
7.In view of the averments made in the plaint and
the compilation of the documents tendered by the
Plaintiff, the Plaintiff is entitled for a judgment
and decree particularly because no appearance has been
filed by the Defendant within 10 days from the date of
service of the writ of summons. Suit is,accordingly,
decreed. The Defendant is directed to pay a sum of Rs.
2,35,226/- with interest at the rate of 14.50% p.a.
with quarterly rest on the said sum from the date of
filing of the suit till the payment/realisation along
with costs to the suit. Suit is,accordingly, decreed
and disposed of. Certified copy is expedited.
8.Refund of Court fees be paid in accordance with
rules.
(V.M. KANADE J.)
1 issue framed by the court
Whether the defendant's failure to appear despite service of summons entitles the plaintiff to a summary decree for recovery of a loan with interest.
V.M. Kanade
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court