BANK OF INDIA Vs. RAM BHAGAT ANIL KUMAR

JUDGEMENT

(1.) THIS is a suit filed by the plaintiff bank which is a body corporate constituted under the Banking Companies (Acquisition and Transfer of undertakings) Act 1970 having its Head Office at Express Towers, Nariman point, bombay and, inter alia, branch office at Chandni Chowk, Delhi and Ahmedabad, for the recovery of Rs. 3,62,950. 75 being the amount of five hundis and interest thereon which were accepted by the defendant, but were not paid on presentation.

(2.) THE plaintiff in the plaint has stated that M/s Navjiwan Mills Ltd. , Kalol in the State of Gujarat drew five hundis on the defendant for valuable consideration payable to and in favour of the plaintiff bank. These hundis were presented for acceptance through the Chandni Chowk Branch of the plaintiff bank and were duly accepted by the defendant on presentation. These hundis were due and payable 60 days after the date of acceptance, thereof. Details of the Hundis being " <FRM>JUDGEMENT_123_DCR1_1997Html1.htm</FRM>

(3.) IN terms of the aforesaid hundis the defendant was to pay interest on the amount of each of the hundis at the rate of 21. 55% from the date of each hundi became due for payment and till the payment was made. These hundis, however, were dishonoured by non-payment. Notice of dishonour was served. The defendant took no step towards payment of these hundis and these continued to remain unpaid.