BALKRISHNA AGRAWAL Vs. CENTRAL BANK OF INDIA

JUDGEMENT

(1.) The order in this appeal shall also govern the disposal of Miscellaneous Appeals Nos. 165 and 166 both of 1982.

(2.) The decision of these three appeals shall turn upon the determination of true scope of Rule 10 of Order 39 of the Civil P. C.

(3.) The appellants in these three appeals are defendants in three suits filed by the respondent Bank for recovery of huge amounts. In all the three cases, the appellants are said to have executed hypothecation bonds in respect of certain properties, including articles of trade. After the institution of the suit, the respondent Bank in its anxiety to enforce speedy recovery of the amount claimed, applied before the lower Court under Rule 10 of Order 39 of the Code for a direction to hand over the articles hypothecated to it. Detailed replies in answer to these applications were filed, The alleged agreement of hypothecation of goods in favour of respondent/plaintiff has been specifically denied. In the suit giving rise to Miscellaneous Appeal number 164 of 1982, the hypothecation is said to be only imaginary and it is asserted that 'the relevant time, the appellants were not even possessed of the articles said to be hypothecated. It is asserted that at the time of granting the loan, the employees of the Bank obtained signatures of the appellants on various forms which were never read out to them and, therefore, their contents were never explained to the signatories. The terms of those documents are said to be not binding. In the other two cases also, the alleged hypothecations have been likewise denied. In spite of this and in spite of the fact that in Civil Suits Nos. 8B and 9-B (giving rise to Miscellaneous Appeals 165 & 164 respectively) specific issues are framed if the properties were hypothecated as alleged by the plaintiff the lower Court on the strength of the documents filed by the respondent/plaintiff, has directed that the properties shown in the alleged hypothecation bond be handed over to Shri N. K. Tiwari, Station House Officer, Police Station Gunj, who shall be at liberty to take possession of all those properties, shall prepare an inventory of the properties so taken in possession and shall report to the Court for taking steps for effecting sale of the properties under the terms to be determined by the Court at his request later on.