Bank appeal against a single judge's direction to refund pre-termination charges deducted from a bank guarantee. The respondent was never served despite notice in 2019 and no steps were taken by the appellant, so the Division Bench dismissed the appeal for non-prosecution.
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.
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Through: Mr. Sumit Swami, Ms. Srishti Bansal & Ms. Aanchal Pundir, Advs.
versus M/S ATHENA ENERGY VENTURES PVT LTD .....Respondent Through: None.
CORAM:
JUSTICE PRATHIBA M. SINGH JUSTICE RAJNEESH KUMAR GUPTA
O R D E R
% 24.03.2025
LPA 526/2019
Page 1 of 4
This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 26/03/2025 at 14:02:12
Athena Energy Ventures Pvt. Ltd. v. Andhra Bank was filed in which the question was about the said bank guarantee commission. The ld. Single Judge vide the impugned judgment dated 30th May, 2019, observed as under:
“xxx xxx xxx 25. Be that as it may, since it is not disputed that the petitioner was informed that the commission for the facility of Bank Guarantee would be 2% per annum and the petitioner was not informed about any prepayment charges, the levy of any commission for the unexpired term of the Bank Guarantee is unsustainable .
26. The petition is, accordingly, allowed. 27. The Bank is directed to refund the amount of Rs.68,93,783/- along with interest at the rate of 6% per annum.”
“1. The issue in the appeal centres around the appellant/bank seeking to recover pre-payment charges amounting to Rs. 68,93,783/-.
2. Mr PBA Srinivasan, who appears on behalf of the appellant/bank, says that, at the behest of the
LPA 526/2019
Page 2 of 4
This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 26/03/2025 at 14:02:12
respondent, the periodicity of the commission charged for issuance of a bank guarantee was altered. It is stated, accordingly, the appellant bank charged commission quarterly, as against annually. It is submitted that the commission was charged annually before the aforementioned alteration, as agreed at the point in time when the facility was first sanctioned.
3. The record shows that the appellant/bank inter alia, seeks to rely upon the letters dated 04.06.2011, 18.06.2011 and 29.04.2013.
3.1. The learned Single Judge, in the impugned judgment, has noted the contention advanced on behalf of the respondent that the communication dated 04.06.2011 had not been received by it.
3.2. To be noted, the communication dated 29.04.2013 is an internal communication. Mr. Srinivasan says that this communication was in the knowledge of the respondent.
4. Since the respondent is not served, this aspect of the matter will be examined once the respondent is represented.
5. On steps being taken, fresh notice shall issue to the respondent via all modes including e-mail.
6. List the matter before the concerned Registrar on 09.11.2022 for completion of pleadings.
7. List the matter before this court on 21.04.2023”
LPA 526/2019
Page 3 of 4
This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 26/03/2025 at 14:02:12
PRATHIBA M. SINGH, J
RAJNEESH KUMAR GUPTA, J
MARCH 24, 2025/ Rahul/Ar.
LPA 526/2019
Page 4 of 4
This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 26/03/2025 at 14:02:12
Andhra Bank
M/s Athena Energy Ventures Pvt Ltd
Prathiba M. Singh
Rajneesh Kumar Gupta
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
