SARMON PTE LIMITED Vs. UMESH KUMAR KAJARIA

JUDGEMENT

(1.) Leave granted.

(2.) The appellant filed a suit on the original side of the High Court at calcutta under the provisions of Order 37 of the Code of Civil Procedure. The two respondents entered appearance upon the summons for judgment taken out by the appellant. On 2-7-1991 leave to defend the suit was given to the respondents on condition that they deposited "a sum of Rs. 30 lakhs with the registrar, Original Side within a month from date either by cash or by a bank guarantee or any real properties within the jurisdiction of this Court to the satisfaction of the Registrar, Original Side failing which there will be a decree for a sum of Rs. 37,73,250. 60 against the defendants which will carry interest at the rate of 12 per cent per annum". The respondents having failed to make a deposit as ordered, a decree was passed. The respondents were ordered and decreed to pay to the appellant the sum of Rs. 37,73,250. 60 with interest thereon at the rate of 12 per cent per annum from the date of decree till realisation.

(3.) On 26-11-1991 an order was passed by a Division Bench of the High court upon an appeal filed by the second respondent against the order of conditional leave to defend. Time to make the deposit was extended by three weeks after the vacation, in default whereof the appellant was at liberty to execute the decree. The respondents failed to make the deposit even within the said extended period and, consequently, the appellant became entitled to execute the decree.