Law:

Section:

(a) Banking Companies (Recovery of Loans, Advances, Credits and Finances) Act (XV of 1997)-------Ss.9 & 10---Qanun-e-Shahadat (10 of 1984), Art.133---Suit for damages---Dismissal of leave application---Refusal of Court to allow defendant to cross-examine plaintiff's witnesses and to object to admissibility of documents produced in evidence---Suit decreed partially on basis of such ex parte evidence---Validity---Defendant could not be treated as dead person for the remaining proceedings in the suit---After dismissal of leave application, defendant could not file written statement and was precluded from producing his own witnesses, but he was entitled to cross-examine plaintiffs witnesses---Banking Court, on its own, ought to have allowed defendant to cross-examine plaintiff's witnesses and to object to admissibility and enforceability of documents proposed to be produced by plaintiff---Defendant had been condemned unheard---Impugned suffered from serious legal defects---High Court accepted appeal and set aside impugned /decree with directions to Banking Court to decide suit afresh after calling upon plaintiff to produce evidence in support of his claim and providing adequate opportunity to defendant to cross-examine plaintiff's witnesses and raise objection regarding admissibility and authenticity of documents, if produced by plaintiff; however, defendant for failing to seek leave to defend suit would not be allowed to lead evidence or produce any document. Messrs Qureshi Salt and Spices Industries, Khushab and another v. Muslim Commercial Bank Limited, Karachi through President and 3 others 1999 SCMR 2353; Haji Usman v. Haji Shafi-ur-Rehman 1988 CLC 1443 and Muhammad Ishaq and others v. Muhammad Ismail and others PLD 1989 Lah. 193 rel. (b) Civil Procedure Code (V of 1908)--- ----O. VIII, R.10---Qanun-e-Shahadat (10 of 1984), Art.133---Striking off defence of defendant for failure to file written statement---Effect---Defendant would still have right to participate in the remaining proceedings in the suit. and would be entitled to cross-examine plaintiffs witnesses. Haji Usman v. Haji Shaft-ur-Rehman 1988 CLC 1443 and Muhammad Ishaq and others v. Muhammad…

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