JUDHISTIRA SAHU Vs. STATE BANK OF INDIA

JUDGEMENT

(1.) This 2nd Appeal has been preferred against the confirming Judgment.

(2.) The appellant of this 2nd Appeal was the defendant before the Trial Court in the money suit vide M.S No.4 of 1999 and he was the appellant before the First Appellate Court in the 1st appeal vide M.A. No.6 of 2001.

(3.) As per the pleadings of the plaintiff-Bank in the suit vide M.S. No.4 of 1999, the plaintiff is a SCHEDULED Commercial Bank and is exempted from the operation of Orissa Money Lenders Act. On dtd. 14/3/1990, while the defendant was serving as a Junior Clerk in Chatrapur Tahsil Office, he (defendant) applied before the plaintiff-bank for a term loan of Rs.14,000.00 in order to purchase one LML Vespa NV Scooter. The Tahasildar, Chatrapur, who was the drawing and disbursing Authority of the defendant intimated the plaintiff-Bank that, the defendant has authorized him through an irrevocable letter of authority for deducting a sum of Rs.525.00 per month from his salary since the month of April, 1990 towards the payment of monthly instalment of his loan. On dtd. 14/3/1990, the plaintiff bank Sanctioned loan of Rs.14,000.00 in favour of the defendant through execution of proper documents by the defendant before the plaintiff-Bank for the sanction of loan accepting the mode and manner of payment including rate of interest for payment. As per the terms of the agreement with the plaintiff-Bank, the defendant was agreed for repayment of his loan in 36 monthly instalments having Rs.525.00 for each month through deduction from his monthly salary commencing from April 1990 and he (defendant) received the said loan on dtd. 15/3/1990 from the plaintiff-Bank and purchased a scooter. But, some months thereafter, the defendant failed to pay the monthly instalment dues of his aforesaid loan. For which, on 12/3/1993 the defendant approached the plaintiff bank and expressed his difficulties in repayment of the monthly instalment and prayed for extension of time for repayment of the same and executed a revival letter on that day i.e. on 12/3/1993 acknowledging the outstanding dues of the loan against him and under the similar circumstances, subsequent thereto, he (defendant) also executed an another revival letter on dtd. 10/3/1996 before the plaintiff-Bank acknowledging the outstanding loan dues against him. In spite of repeated execution of the revival letters dtd. 12/3/1993 and 10/3/1996 respectively by the defendant (loanee) acknowledging outstanding loan dues, he (defendant) failed to repay the same. For which, without getting any way, the plaintiff bank issued a legal notice to the defendant on dtd. 8/12/1998 through his Advocate requesting him (defendant) for the repayment of the outstanding loan dues with interest i.e. Rs.30,559.00 within the stipulated time indicated in the said notice, but in spite of receiving the said legal notice of the plaintiff-Bank, the defendant did not pay the same. For which, without getting any way the plaintiff-Bank approached the Civil Court by filing the suit vide M.S. No.4 of 1999 against the defendant praying for passing a money decree for Rs.71,698.00 against the defendant directing the defendant for the repayment of the same with contractual rate of interest along with pendente lite and future interest thereon.