UNION BANK OF INDIA Vs. RILVAN LEATHERSM

JUDGEMENT

(1.) THE above appeals are directed against the common judgment dated 11th April 1989 made in C.S. No. 527 of 1979 and C.S. No. 604 of 1980 by the learned single Judge of this Court.

(2.) THE appellant Union Bank of India is the defendant in C.S. No. 527 of 1979 and plaintiff in C.S. No. 604 of 1980. THE respondent Rilvan Leathers is the plaintiff in C.S. No. 527 of 1979 and defendant in C.S. No. 604 of 1980. C.S. No. 527 of 1979 was filed seeking for the relief of direction directing the defendant therein for taking account of the amount due by the plaintiff to the defendant after giving credit to the amounts to which the Rilvan Leathers are entitled and which were not credited in their accounts on the date of the plaint and said to be kept in Sundry Deposit Account with the defendant Bank as well as for direction to give credit to a sum of Rs. 2,84,000/- in the month of November 1978 and thereafter to ascertain the exact amount due and payable by the plaintiff to the defendant bank. C.S. No. 604 of 1989 was filed for recovery of a sum of Rs. 5,51,280.29 against the Rilvan Leathers and its partners as well jointly and severally.

(3.) SUBSEQUENTLY, the foreign purchaser seems to have filed an action in the Italian Court and obtained an order called "conservative arrest", which resulted in detention of 13,552 US $. By virtue of the order of conservative arrest, the Italian Bank did not transmit the aforesaid amount to the defendant bank notwithstanding the fact that the irrevocable letter of credit has been opened concerning the aforesaid amount.