GUNGAPERSHAD SAHU Vs. MAHARANI BIBI

JUDGEMENT

(1.) THE question in this case turns upon the amount recoverable on a mortgage bond which bears date the 25th of March, 1869. The bond was given by Parbutty Koer, who is the grandmother and guardian of the Respondent Maharani Bibi. The effect of the bond is that security is given on a certain mouzah belonging to the Maharani Bibi for the sum of Rs. 8000, to be repayable in about a year's time with interest at the rate of 18 per cent. per annum. The Plaintiff has received payment of an amount equal to the principal due upon the bond with simple interest at 12 per cent. per annum, and he had received that amount of payment before he commenced the suit in which this appeal is presented. If therefore 12 per cent. is all that he is entitled to, the suit must altogether fail. If 18 per cent. is what he is entitled to, then there is still a sum due, and he ought to get a decree for that sum.

(2.) THE Judge of Tirhoot, who heard the case originally, was of opinion that, according to the contract, the Plaintiff was entitled to 18 per cent. until the actual time of payment, but, in exercise of the power vested in the Court, he cut down the rate of interest to 3 per cent. from the date of the suit to the date of the decree, and after decree he gave no interest at all. He therefore evidently thought that the transaction was an exorbitant one, and that, where the Court had discretion, it should lower the rate of interest. Up to the date of suit he had no discretion, and he construed the bond as has been stated.

(3.) THE sole question now is as to the additional 6 per cent. claimed by the Plaintiff.