G E CAPITAL SERVICES INDIA Vs. PRABHU R

JUDGEMENT

(1.) THIS is a suit under Order XXXVII of the Code of Civil Procedure, 1908 (for short 'CPC') for recovery of Rs.26,41,056.31/ -. The plaintiff is stated to have financed Rs.18,77,818 (for short 'loan amount') to the defendant for purchase of certain medical equipment(s). For this purpose, the parties entered into an Equipment Master Security & Loan Agreement (for short 'Agreement') on 25th September, 2007. The defendant had also executed a promissory note. The defendant is stated to be a doctor/surgeon based out of Madurai, Tamil Nadu.

(2.) IT is the plaintiff's case that the loan amount was to be repaid in 60 equated monthly installments of Rs. 42,726/ -; that the defendant defaulted in repayment of the loan amount. As on the date of institution of the suit, the amount due is stated to be Rs.26,41,056.31/ -. In accordance with the terms of the agreement, the plaintiff claims pendente lite and future interest @ 20% per annum.

(3.) EARLIER on 30th April 2013, this suit had been decreed ex parte. However, upon an application made by the defendant, the same was set aside on 11th February, 2014 and the defendant was directed to file the appearance with a week thereof. Summons for judgment was sent to the defendant by speed post and was also served upon the learned counsel for the defendant in Court on 10.12.2014. The defendant was also directed to file an application for leave to defend within the prescribed period. On 23.02.2015, it was noticed that the defendant had not filed the leave to defend application within the prescribed period of 10 days and the learned counsel for the plaintiff had submitted that under these circumstances, the plaintiff was entitled to a decree straightaway. Accordingly, this matter has been placed before this Court today.