KILARA POWER PVT LTD Vs. JYOTI LTD

JUDGEMENT

(1.) RULE. Respective Advocates waive service of rule on behalf of the respondents. With the consent of the parties, the matters are taken up for final hearing today. The petitioner of both these Special Civil Applications is defendant No.1, against whom the respondent, Messrs.Jyoti Limited, filed a suit, being Regular Civil Suit No.1526 of 2001. The said suit is filed for a declaration and injunction. The case of the respondent-plaintiff in the said suit is that the plaintiff is a Public Limited Company, registered under the Companies Act, 1956 and is engaged in the manufacture and marketing of Pumps, Motors, Generators, etc. According to the plaintiff, defendant No.1 (the present petitioner herein) placed an order with the plaintiff, vide Purchase Order / Contract Agreement dated 9.1.1998, for supply, erection and commissioning for Electro-mechanical equipments, the description of which is given in paragraph 1 of the plaint. The plaintiff had furnished bank guarantee to the tune of Rs.33,80,000/- on 23rd April, 1998, which was valid upto 20th December, 1999 and which was extended from time to time, and, lastly, it was valid upto 20.12.2001. As per the averments in the plaint, defendant No.1 was not releasing the outstanding amount as per the terms of the Purchase Order and the amount of Rs.68.74 lacs is due and payable by defendant No.1. It is also the case of the plaintiff that defendant No.1 is intentionally trying to encash the performance bank guarantee issued by defendant No.2-bank on behalf of the plaintiff. On the above and such other averments, the plaintiff filed the aforesaid suit. In the plaint, the following prayers have been made by the plaintiff :-