ORDER
Mukul Mudgal, J.
1. This is a suit on behalf of the plaintiff praying for passing a decree of Rs. 5,31,433/- along with pendente lite and future interest.
2. The Plaintiff-Bank is a joint Stock Banking Company, incorporated and registered under the Companies Act, 1956. The plaint is duly signed and verified by Shri C. Surendran, Chief Manager of the Connaught Circus Branch of the plaintiff bank, who is authorised to sign and verify the plaint on behalf of the plaintiff Bank.
3. The defendant No. 2-Shri Naresh Kumar is the sole Proprietor of defendant No. 1-M/s. Vijay International. The defendant No. 3-Mr. Jai Prakash & defendant No. 4-Mr. Mam Chand stood as Guarantor of defendant No.1.
4. The defendants 3 and 4 were served as per this Court’s order dated 31.7.95 and defendants 1 & 2 were served by way of publication in the daily edition of Statesman dated 11.8.1997. The defendants were proceeded exparte as per this Court’s order dated 24.11.1997. Thereafter the plaintiff-Bank has filed evidence by way of affidavit of Shri M. Sridharan, Manager to prove its case.
5. It is avarred in the plaint on behalf of the plaintiff that the plaintiff had granted to defendant No. 1 Packing Credit facility of Rs. 10.00
lacs and a Temporary Overdraft facility. The defendant No. 1 availed of Packing Credit facility but failed to repay the amount due and a sum of Rs. 4,70,865/- was due at the time of filing of the suit.
6. It is further averred in the plaint on behalf of the plaintiff that statement of account of Packing Credit A/c. of the defendant No. 1 duly
certified under Banker’s Book Evidence Act is Ex. P-8 shows that Rs. 4,70,865/- was due in Packing Credit A/c. at the time of filing of the
suit.
7. It is also averred in the plaint that defendant No. 1 has also availed of Temporary Overdraft facility but failed to adjust the same and a sum of Rs. 60,568/- was due from defendants in Temporary Overdraft account at the time of the filing of suit. Thus a total sum of Rs. 5,31,433/- was due from the defendants on this amount at the time of filing of suit.
8. It is the plaintiff’s case that the defendants 3 & 4 executed agreement of guarantee (Ex. P-10) and became co-obligants and guarantors and are, therefore, liable to pay the amount due to the plaintiff-Bank.
9. It is further the plaintiff’s case that as a security, defendants 3 & 4 with an intention to create Equitable Mortgage deposited with the plaintiff-Bank Sale Deed dt. 29.2.68 (Ex. P-11) and mortgaged their property bearing No. 3463, Chowk Gali, Lallu Missor, Qutab Road, Ilaqua No. 14, Delhi, with the plaintiff Bank. The defendants 3 & 4 also executed Memorandum of Deposit of Title Deed (Ex. P-12) dated 17.3.1992.
10. Thereafter a Legal Notice dated 29.10.93 (Ex. P-13) was sent by the plaintiff through its Advocate. Postal receipts are Ex. P-14 to P-16 and three returned envelops are Ex. P-17 to P-19.
11. The plaintiff has filed evidence by way of affidavit of Shri M. Sridharan, Manager of the plaintiff-Bank. The averments made in the plaint have been supported by the said affidavit. There is no rebuttal of these pleas.
12. Accordingly, the plaintiff is entitled to a decree. The suit is decreed. A decree is passed for a sum of Rs. 5,31,433/- in favour of the
plaintiff and against the defendants with costs. The defendants jointly & severally are also directed to pay pendente lite interest from the date of filing of the suit till the date of the decree to the plaintiff – Bank @ 23.25% per annum with quarterly rests in respect of Rs. 4,70,865/- due in Packing Credit Account and 24.75% per annum with quarterly rests in respect of Rs. 60,568/- due in temporary over-draft account. The plaintiff is also entitled to interest at 12 per cent from the date of the decree till realisation as the transaction is of a commercial nature. This amount be paid within six months from today.
13. It is further directed that if the amount due as per this judgment is not paid by the defendants in terms of the preliminary decree within six months from today, the plaintiff-Bank shall be entitled to apply for a final decree against defendants 3 & 4 for the sale of the mortgaged property situated at House No. 3463. Chowk Gali, Lallu Misser, Qutab Road, Ilaqua No. 14, Delhi and the proceeds of sale after the adjustment of the sale expenses be paid into this Court and applied in payment of the dues to the plaintiff with interest, costs as well as subsequent costs, charges, interest etc. It is further ordered in case the sale proceeds do not satisfy the full decretal amount, the defendants shall nevertheless be jointly and severally liable for the balance decretal amount.
14. Decree sheet be drawn up accordingly.
15. In view of the above, the suit stands disposed of.