NEHA INTERNATIONAL LTD Vs. DBS BANK LTD

JUDGEMENT

(1.) Heard Sri B. Ram Mohan Reddy, learned Senior Counsel for the petitioner and Ms. Poornima Singh Kambli, learned counsel for the respondent.

(2.) Respondent Bank filed summary suit i.e., O.S.No.34 of 2020 under Order XXXVII of the Code of Civil Procedure, 1908, in the Court of the Hon'ble Chief Judge, City Civil Court, Hyderabad praying to grant judgment and decree against defendant for a sum of USD 1,206,174.46 (US Dollars One Million Two Hundred and Six Thousand One Hundred and Seventy Four Dollars Forty Six Cents Only). After service of summons, the petitioner herein filed I.A.No.363 of 2022 in COS.No.34 of 2020 under Order XXXVII Rule 5 R/w. Sec. 151 of CPC, praying to grant unconditional leave to defend the suit. The trial Court elaborately considered respective submissions and by order dtd. 20/3/2023 granted leave to the petitioner to defend the suit subject to furnishing the security equivalent to the suit amount i.e., Rs.8,56,50,448.60 paise within 60 days from the date of the order. Aggrieved thereby, this Civil Revision Petition is filed.

(3.) Learned Senior Counsel for the petitioner contended that the trial Court having observed that the petitioner has made out triable issues, ought to have granted unconditional leave to defend and grossly erred in imposing condition of furnishing security equivalent to the suit amount to defend as a condition precedent admission to defend the summary suit. In support of his contention that the trial Court grossly erred in directing the petitioner to furnish the security equivalent to the suit amount, learned counsel placed reliance on the decisions of the Hon'ble Supreme Court in Sudin Dilip Talaulikar Vs. Polycap wires Pvt. Ltd,(2019) 7 SCC 577. and IDBI Trusteeship Services Ltd. Vs. Hubtown Ltd,(2017) 1 SCC 568.