Law:

Section:

Banking Companies (Recovery of Loans, Advances, Credits and Finances) Act (XV of 1997)-------Ss.18 & 21---Execution of compromise decree---Bank had alleged commission of default by -debtor as per terms of compromise---Judgment-debtor denied such allegation and objected to maintainability of execution application---Dismissal of objection petition---Validity---No finding of Banking Court was found in the impugned order in respect of default/breach committed by ¬ debtor---High Court allowed appeal, remanded case to Banking Court to decide, whether -debtor' had committed default in payment of instalments as per agreed schedule. JUDGMENT MUHAMMAD SAYEED AKHTAR, J.---The, appellants assail the order of the learned Banking Court dated 4-6-2001 by which the objection petition of the appellants was dismissed. The respondent-Bank filed a suit for recovery of Rs.1,42,92,515.80 alongwith liquidated damages to the tune of Rs.28,585,03.16. The suit was decreed on 19-6-1996 to the extent of Rs.1,42,92,515.80 alongwith costs. However, the liquidated damages were disallowed. Another Suit No.34 of 1995 filed by the respondent-Bank was decreed for an amount of Rs.9,981,377 with costs. The parties reached a compromise on 2-4-1998. The relevant terms of the compromise/ agreement are as under:-- 1. In consideration of the aforementioned compromise arrived at between the parties, the defendants admit financial liabilities and have agreed to pay Rs.20,000,000 (Rupees two crore only) in the manner, as detailed below:-- (a) Rs.500,000 to be paid by the defendants on or before 6-4-1998 as down payment (b) The factory land, building, machinery etc, of defendant No. 1, mortgaged with the plaintiff-Bank as one of the securities, will be sold by the defendants on a price which is not less than Rs.12.500 (m) approved by the plaintiff-Bank within maximum period of 18 months. (c) The sale proceeds to the extent of Rs.12.500 (m) from the factory land, building, machinery etc. of defendant No. 1 shall be deposited with the plaintiff Bank for adjustment of agreed outstanding financial liabilities and plaintiff-Bank shall issue necessary NOC regarding property of defendant No. 1 i.e. Property…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492