ARAMBHAN HOSPITALITY SERVICES LIMITED Vs. METRO CASH

JUDGEMENT

(1.) Petitioner who is defendant in Com.O.S. No.3211/2017 is before this Court under Article 227 of the Constitution of India, assailing the order dated 02.01.2020 passed on I.A.Nos. 2 to 6, by which, leave was granted to defend the suit with a condition to deposit Rs.3,00,00,000/- before the Court within one month and suit is ordered to be tried as a regular suit.

(2.) Petitioner is defendant and respondent is plaintiff in the above stated suit. They would be referred to as they stand before the trial Court.

(3.) The plaintiff, a Company incorporated under the Companies Act , 1956, by name Metro AG Wholesale and Food Specialist Company preferred summary suit under Order 37 of CPC against the defendant for recovery of a sum of Rs.6,40,97,104/-, being the aggregate of Rs.4,83,26,543/- and interest of Rs.1,57,70,561/- as on 24th April 2017 together with pendentelite future interest at the rate of 18% on the principal amount. The plaint averments would disclose that the defendant purchased goods sold by the plaintiff vide various bills of exchange (for short 'BOE')/sales bill discounting facility, wherein the defendant by signing the BOE acknowledge the fact that it has received goods in good condition from the plaintiff and agreed to pay the amount due to PNB Paribas Bank, within a period of 90 days from the date of BOE along with interest. Further, the plaint would disclose that the defendant purchased the goods from the plaintiff's stores in Mumbai. It is also stated that original bills of sale are in the custody of Bank and the plaintiff has sought leave to produce the said bills of sale at a subsequent stage, producing Xerox copies of the BOEs. As the defendant failed to make payment to the Bank as per the BOEs, the Bank debited a sum of Rs.4,75,93,907/- from the plaintiff's current account along with interest. On account of defendant's failure to make payment of the above said amount, the plaintiff was constrained to file the above stated suit for recovery of the amounts due by the defendant along with interest.