IDBI BANK Vs. SHREE GANPATI TRADERS

JUDGEMENT

(1.) The present Regular First Appeal has been filed under Sec. 96 read with Sec. 151 of the Code of Civil Procedure, 1908 (CPC) against the judgment and decree dtd. 23/5/2014 passed in Suit bearing CS No. 267/2014 (Old Suit No. 179/05) passed by the Court of Additional District Judge (ADJ) - 17 (Central), Tis Harazi Courts. By way of the impugned judgment and decree, the ld. Trial Court has decreed the suit for recovery filed on behalf of respondent No.1. The appellant along with respondent No.2 herein has been held to be jointly and severally liable to pay an amount of Rs.6,03,083.00 as principal amount, along with interest @12% per annum from the date of filing of the suit by respondent No.1 till the date of realisation of the decretal amount.

(2.) The facts in brief that emerge from the pleadings are that the respondent No.1 filed a suit for recovery against the appellant bank and respondent No.2. The suit was filed by respondent No.1 on the premise that the respondent No.1 suffered huge monetary losses on account of gross negligence on the part of the appellant bank in opening the bank account of respondent No.2 in the fictitious name of respondent No.1, by not verifying the background of respondent No.2; and further failing to scrutinise the supporting documents submitted by respondent No.2 at the time of submission of account opening form to the appellant bank.

(3.) As per the plaint, respondent No.1 is a proprietorship firm and has been doing trading business since long, dealing in food grains and pulses etc. through Sh. Ramanand Jain as the proprietor of the said proprietorship firm.