RING ROAD CAR CLINIC Vs. H.L. ADVANI

JUDGEMENT

(1.) APPELLANT has filed this appeal challenging the judgment dated 5th August, 1996 passed by Addl. District Judge, Delhi, vide which suit filed by respondent No.1 herein, was decreed for a sum of Rs.31,784.37 together with interest @ 18% per annum, from the date of filing of the suit till realization. Proportionate costs was also awarded in favour of the respondent no.1.

(2.) THE brief facts of this case are that respondent No.1 filed suit for recovery against appellant and respondents 2 to 4. Respondent No.1 is sole proprietor of his firm. Appellant, on credit basis had been purchasing motor parts from respondent no.1 from 8th December, 1974 to 20th May, 1977. Last payment was received by respondent no.1, on 27th April, 1997 for Rs. 3,000.00 by cheque and this payment was made by respondent no.3. Goods were also purchased after this date. Appellant and respondent No.3, are sister concern of respondent No.2. Respondent No.3 had been placing orders on behalf of appellant. Respondent No.4 was the workshop manager of appellant and respondents 2 & 3.

(3.) ON 29th May, 1997, the accounts were checked by Sh.Satnam Singh, respondent No.4 and Sh.Rajinder Singh, partner of appellant and respondent No.2. It was found that sum of Rs.21,684.17p. was due and payable by appellant and respondents 2 & 3. A credit note of Rs.694.00 was also issued by respondent No.1 in favour of appellant and respondents 2 and 3 and after giving credit of this amount, balance due to the respondent No.1 stood as Rs.21,684.17p. Interest on the aforesaid amount had been calculated @ 18% per annum till 21st April, 1980 and only a sum of Rs.10,000.00 is claimed on this account. Appellant and respondent Nos.2 & 3, in spite of repeated letters, dated 14th September, 1977, 14th February, 1978 and 13th March, 1978 failed to liquidate their dues. Legal notice dated 5th January, 1978 was also served, but of no consequence.