LAWS(P&H)-2003-5-39

TODAY STATIONERS AND GIFT CENTRES Vs. ALLAHABAD BANK

Decided On May 14, 2003
TODAY STATIONERS AND GIFT CENTRES Appellant
V/S
ALLAHABAD BANK Respondents

JUDGEMENT

(1.) This petition filed u/S. 115 of the Code of Civil Procedure, 1908 (for brevity, the Code), is directed against the order dated June 7, 1991 passed by the Sub-Judge Ist Class, Chandigarh, holding that the suit filed by the plaintiff-respondent against the defendant-petitioners is within the period of limitation after treating the issue with regard to limitation as a preliminary issue.

(2.) The facts of the case in brief are that the plaintiff-respondent filed a Civil Suit No. 409 on August 10, 1990, seeking recovery of Rs. 32,399.30 as principal sum including interest calculated up to February 28, 1989. The plaintiff-respondent alleged that the defendant-petitioners obtained facility of overdraft by pledging FDR worth Rs. 20,000/- and on January 4, 1984 a loan of Rs. 15,000/- was given to the defendant-petitioners by the plaintiff-respondent. Defendant-petitioners became irregular in making repayment of overdraft amount. The plaintiff-respondent issued several notices duly acknowledged by the defendant- petitioners. They continued making payment of overdraft amount from time to time, but thereafter, the defendant-petitioners failed to liquidate their overdraft loan amount. A legal notice was issued on April 26, 1988 but the defendant-petitioners did not make payment of the balance amount of overdraft.

(3.) The suit was contested by the defendant-petitioners by raising, inter alia, an objection that the suit was barred by limitation and it was alleged that the plaintiff- respondent was unnecessarily blocking the FDR payment to the defendant-petitioners. The Civil Judge, treated the issue of limitation as preliminary issue and held the same in favour of the plaintiff-respondent. Operative part of the order passed by the learned Sub-Judge, Chandigarh, reads as under :