TATA INTERNATIONAL LIMITED Vs. ICICI BANK LIMITED

JUDGEMENT

(1.) THIS suit was originally filed by plaintiff-Company; named; as Tata Exports Limited against defendant-Sangli Bank Limited. Subsequently, original plaintiff-Company was reconstituted and renamed as "Tata International Limited" whereas, the defendant "Sangli Bank Limited", by virtue of the scheme of amalgamation, merged with ICICI Bank Limited, (the defendant-bank for short). All these subsequent events have resulted in substituting the names of the parties to the suit. The same are reflected in the amended cause title of the suit. FACTUAL MATRIX:

(2.) THE factual matrix lie in very narrow compass. It is not disputed that the defendant bank failed to honour performance of guarantee dated 13.3.1978 issued by it on behalf of its constituent M/s Vishal International, Bazar Street, Bombay-1. It is not in dispute that the bank guarantee issued by the defendant-bank on 13.3.1978 was to remain valid for 90 days from the date of issue. It was invoked by the erstwhile M/s. Tata Exports Limited on 12th June, 1978, in view of the alleged breach of contract comitted by the constituent of the defendant bank M/s Vishal International Limited. Thus plaintiff requested for remittance of the amount guaranteed by then defendant-bank, which bank failed to remit. Hence the plaintiff is seeking recovery of the amount guaranteed by the defendant-Bank.

(3.) THE defendant-bank admitted three documents filed by plaintiff; namely, bank guarantee dated 13.3.1978 issued by it and letter dated 12.6.1978; whereby the bank guarantee was invoked by the plaintiff and yearly calender for the year 1978 to demonstrate that 90th day i.e. 11th June, 1978 was bank holiday being Sunday. Consequently, these three documents were marked as Exhs.P-1 and P-3 on admission.