MAHARASHTRA SYNTHETIC PVT LTD Vs. SYNDICATE BANK

JUDGEMENT

(1.) THIS revision application is directed against the Order dated 30th March 1993 passed in an application for production of documents for inspection dated 30th March 1993. By the said application the Petitioners had called on the Respondent herein to produce some correspondence as also instructions issued by the Reserve Bank of India under powers vested in it under section 20 of the Banking Regulations Act in the matter of interest, compound interest and penal interest. The said application was rejected on the ground that the matter is already posted for arguments.

(2.) LEARNED Counsel for the Petitioners points out that on 11th February 1993 the Petitioners had moved an application that the Petitioners do not want to examine themselves as witnesses but would examine witnesses. Thereafter on 30th March 1993, the Petitioners moved an application and set out therein that though the witnesses on behalf of the Bank in their deposition had stated that they can produce the original documents, the same had not been produced. The witnesses in their deposition had stated that the interest has been calculated based on the direction of the Reserve Bank of India. No order was passed on the said application and the matter was posted for argument on 13th April 1993.

(3.) THIS is a suit for recovery of money. Interest etc. on loans advanced by the Bank are subject to the directions issued by the Reserve Bank of India under statutory powers vested in it. Under Section 20 of the Banking Regulations Act the Reserve Bank of India fixes rates of interest depending on the nature of the loan and no nationalized bank is permitted to charge interest dehors the interest etc. fixed by the Reserve Bank of India.