MANDVI MUNICIPALITY Vs. PASCHIM GUJARAT VIJ COMPANY LTD

JUDGEMENT

(1.) The present appeal arises against the judgement and decree dated 28.7.2009 passed by the Civil Court in Special Civil Suit No.106/2002, whereby the appellant defendant is directed to pay the amount of Rs.1,69,66,752.33 with interest at the rate of 6% per annum from the date of suit until the amount is realised.

(2.) The short facts of the case appear to be that the electricity was supplied by the original plaintiff Electricity Company respondent herein to the appellant Municipality. There were irregular payments of bills of electricity and the amount of Rs.2,28,76,270.33 was outstanding. As per the plaintiff Electricity Company the amount was payable with interest at the rate of 24% per annum. Since the outstanding amount was not fully paid the suit was filed for recovery of the amount of Rs.2,28,76,270.33 with interest at the rate of 24% per annum.

(3.) The pertinent aspect in the present case is that in response to the suit the original defendant appellant Municipality did appear through its lawyer, but in spite of sufficient opportunity granted by the trial Court, no written statement was submitted and ultimately right to submit written submission was closed. The aforesaid shows that there was absolutely no defence on the part of the respondent Municipality. The trial Court thereafter on the basis of the evidence produced on behalf of the plaintiff found that the amount recoverable is of Rs.1,69,66,752.33 and, therefore, the decree has been passed to that extent and the interest is awarded at 6% p.a., from the date of the suit until the amount is recovered and the interest is not awarded as prayed for by the plaintiff at the rate of 24%. It is under these circumstances, the present appeal before this Court.