Law: Banking Companies (Recovery of Loans, Advances, Credits and Finances) Act, 1997

Section: 9, 10

(a) Banking Companies (Recovery of Loans, Advances, Credits and Finances) Act (XV of 1997) S. 9---Recovery of Bank loan---Liquidated damages and mark-up for cushion period---Borrower accepted the statement of account except a specific sum of amount which amount plaintiff-Bank agreed to reduce accordingly---High Court refused to allow liquidated damages and mark-up .for cushion period---Suit was decreed accordingly. (b) Banking Companies (Recovery of Loans, Advances, Credits and Finances) Act (XV of 1997) S. .10---Leave to defend suit---Forged signatures on the guarantees-- Defendant denied his signatures on the guarantees as the same were alleged to be fabricated---Effect---Where on comparison with the admitted signatures of the defendant, the signatures on the guarantees prima facie appeared to be different, leave to defend the suit was granted.                                                                                                                                                                        ORDER This is an application filed by defendants Nos. l, 2, 5, 6, 7 and 8 for leave to defend the suit filed by the plaintiff for recovery of Rs.77,138,911, liquidated damages of Rs.15,427,782 and for sale of mortgaged properties and pledged shares. On 21-1-2000, when the matter came up for hearing Mr. Manji learned counsel for the aforesaid defendants sought time to verify the statement of Accounts and submitted that if no discrepancy was found in the same, he would not file any rejoinder. Today, he conceded that the Accounts were in order except a debit of Rs.47,006 alleged to have been paid to E.F.U. on 27-3-1990. He did not advance any other argument for leave to defend. Mr. A.H. Mirza, learned counsel for the plaintiff states that he has…