AFCONS INFRASTRUCTURE LTD Vs. MAJOR BALWAN SINGH

JUDGEMENT

(1.) This judgement shall decide the present appeal, which arises from the judgement and decree passed by Additional District Judge, Delhi on 27/1/2011, and amended on 18/7/2011 [hereinafter, "impugned judgement"]. The decree mandates the Appellants to pay to the Respondent an amount of Rs.4,08,715.00, along with an interest rate of 12% per annum, covering both the pendente lite period and future accruals. The Appellants contest the findings and conclusions of the lower court, asserting that they are based on erroneous facts, and disregard the apparent lack of evidence in support of the Respondent's claims.

(2.) Major Balwan Singh, Respondent (Plaintiff in the original suit), was the sole proprietor of M/s Balwan Service Station, an entity conducting business in PSP Institutional Area, Sector- 16, Rohini.[1] Appellant No. 1, Afcons Infrastructure Ltd. (originally, Defendant No. 1), a construction company, entered into an arrangement with the Respondent in 2002, for supply of diesel as fuel for machineries which were being used in building of a flyover at Punjabi Bagh, New Delhi. Under the agreed terms, the Respondent would issue invoices periodically for the goods supplied, and these invoices were to be settled by the Appellants in due course.

(3.) On 1/9/2004, alleging that Appellants were evading payments of accumulated dues, Respondent issued a legal notice to the Appellants, which went unanswered. The Respondent then filed a lawsuit for recovery of Rs.6,62,118.00, the outstanding dues allegedly reflected in Respondent's running account for the transactions between Appellants and Respondent. Additionally, interest at the rate of 24% per annum and costs were also claimed. The suit was accompanied with twelve allegedly unpaid invoices, which formed the basis for the suit claim.