UNION BANK OF INDIA Vs. RATAN PRAKASH

JUDGEMENT

(1.) THE only point involved and argued by learned Counsel for the appellant is about pendente lite interest, which has not been awarded by the Trial Court nor any reason has been assigned for not awarding the same.

(2.) BRIEFLY stated the facts of the case are that plaintiff -appellant filed a suit for recovery of a sum of Rs. 17,563.78 under the provisions of Order 37 of the Code of Civil Procedure, wherein it was pleaded that the defendant -respondents, in order to purchase a Matador Diesel Pick -up Van obtained a term loan upto the limit of Rs. 39,000/ - and executed a demand promissory note on 6.9.1976 in favour of the plaintiff -Bank. The amount was payable with quarterly rests interest. The defendants failed to make full payment of the loan amount with interest, therefore, the present suit was filed.

(3.) SO far as rate of interest is concerned, he contended that agreed rate of interest in the present case was 16 1/2% per annum with quarterly rest, but the plaintiff has claimed only 15% rate of interest in the plaint, therefore, the same may be awarded. However, he does not dispute that agreed rate of interest can be reduced by the Court for the period the suit remained pending in Court and for future period looking to all the facts and circumstances of the case.