SAT PAL Vs. PUNJAB NATIONAL BANK

JUDGEMENT

(1.) THIS is a Civil revision filed by the petitioners Judgment- debtors (for brevity, the 'judgment-debtors') against the order of the executing Court dated 23.11.1994. The Executing Court while rejecting the objections of the Judgment-debtors concluded that the Decree-holders- respondents (for brevity, the 'Decree-holder') was entitled to interest on the total amount of Rs. 13,387.10 although the same includes the interest.

(2.) THE brief facts of the case are that the Judgment-debtors had availed a cash credit hypothecation limit upto Rs. 15,000/- on 13.11.1979 for purchase of cloth etc. for their shop. The Decree-holder had sanctioned the said facility to the Judgment-debtors on interest at the rate of 13% per annum with quarterly rests under the terms and conditions of hypothecation agreement and a demand pronote dated 13.11.1979. As a collateral security, the Judgment- debtors furnished the guarantee of equitable mortgage by mortgaging the house belonging to one Smt. Vidya Wati and the registered title deed was deposited with the Decree-holder on 13.11.1979. The Decree-holder filed a suit against the Judgment-debtors for recovery of outstanding amount of Rs. 6,789.50 as principal amount and Rs. 6,597.60 as interest from the defendants. The averments made by the Decree-holder are mentioned in paragraph 8 of the plaint and the same read as under :-

(3.) AS the amount involved was trivial in nature and substantial amount stood already paid. I have passed an order on 22.7.2001 directing Shri Rajesh Garg. learned counsel for the Decree-holder to seek instructions as to whether the Decree-holder i.e. Punjab National Bank was prepared to accept a lump sum amount to settle the accounts finally. However, at the commencement of the hearing the learned counsel showed the inability of the Decree-holder to agree to any such settlement.