Law:

Section:

Financial Institutions (Recovery of Finances) Ordinance (LXVI of 2001) Ss. 9 & 10 Civil Procedure Code (V of 1908); O. Vii, R.11 Rejection of plaint Cause of action Determination ¬Application for leave to appear and defend the suit, non¬-deciding of Effect Suit for rendition of accounts was filed by appellants against respondent Bank wherein application for leave to appear and defend the suit was filed by the bank Banking Court without deciding the application for leave to defend the suit, rejected the plaint filed by the appellant on the ground that the plaint did not disclose any cause of action Validity While rejecting plaint for non-disclosure of cause of action, ordinarily the facts stated in the plaint were to be considered as correct and no data and material provided by defence should be looked into As the Banking Court had not allowed the leave application, the plaint could not have been rejected Order passed by Banking Court was set aside and the case was remanded to Banking Court for decision on leave application Appeal was allowed in circumstances. ORDER Briefly stated, the facts of the case are, that the appellant brought a suit for rendition of accounts with consequential relief against the respondent Bank, in which, leave application was filed by the respondent Bank, and the learned Court below instead of granting the leave and deciding the case after the trial, has rejected the plaint under Order VII, rule 11, C.P.C. The operative part of the impugned order is reproduced as under: "The suit has been contested by the defendants through PLA with the contention that Manzoor Ahmad son of plaintiff availed finance facility to the tune of Rs.3,00,000 on mark up basis and present plaintiff stood as guarantor. It is also replied that deed of guarantee was executed by the plaintiff and the same was not only signed but thumb marked also. I have seen the copy of deed of guarantee attached with the PLA as well as the copy of agreement executed between the plaintiff and the defendants which is also signed as well as thumb marked by the plaintiff. Thumb impression is very clear. The plaintiff in his plaint has not challenged the thumb impression marked on…

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