UNION BANK OF INDIA Vs. GOPAL DAL MILLS

JUDGEMENT

(1.) The plaintiff has filed this suit for recovery of Rs. 2,66,677.60 with costs and interest thereon. The plaintiff is a body corporate constituted under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 having its Head Office at 66 / 80, at Samachar Marg, Fort, Bombay and Branch Office at various places in India including one at 3581, Chawri Bazar, Delhi 6. Shri Kamal Kumar Gupta who has instituted the suit and signed and verified the plaint was the Branch Manager of the plaintiff-Bank and has been authorised to institute proceedings on behalf of the plaintiff by virtue of Power of Attorney executed in his favour. He is duly conversant with the facts of the case and able to be deposed the same.

(2.) Defendant No. 1 is a partnership concern carrying on business of manufacture and supply of all kinds of pulses and defendant 2 and Hari Prashad, since deceased, were the partners of defendant No. 1. Defendants 4 and 5 guaranteed the due repayment of the facilities forming the subject matter of die suit and, as such, are liable to pay the amount as claimed in the suit jointly and severally.

(3.) The brief facts are that on May 4, 1973 the first defendant opened an account with the plaintiff-bank to be operated upon by the second defendant alone. The account was introduced to the plaintiff by defendant No. 4 allegedly wrongly showing himself to be partner of M/s. Rashtriya Steel and Metal Products an allied concern of defendant No. 1. The plaintiff-bank granted certain facilities in the nature of documentary bills purchase limits to the said defendant after defendants 2 and 3 and Shri Hari Prashad had on May 4,1973, executed various documents. The said facilities were utilised by the defendants from time to time.