IN THE COURT OF MS. [ENTITY], ADDITIONAL DISTRICT JUDGE (EAST) KKD COURTS, DELHI. Suit No. : 2507/2016 In the matter of :- M/s [ENTITY] having their registered office at C-55, Preet Vihar, Vikas Marg, New Delhi through their Chief Financial Officer, being one of the Principal Officers of the plaintiff Company duly authorized by the plaintiff Plaintiff Versus M/s [ENTITY] having their registered office at Plot No. 29, Ranhoulla, Najafgarh Road, Nangloi, New Delhi-110041, to be served through one of their Directors/Principal Officers Second Address M/s [ENTITY], C-68, Sector-4, Noida (U.P.) to be served through one of their Directors/Principal Officers Defendant Date of institution of the suit : 01.04.2016 Date of Judgment : 14.08.2018 Suit for Recovery of Rs. 18,13,784/-. EX PARTE JUDGMENT : 1.
This is a suit for recovery of Rs. 18,13,784/- filed by plaintiff company against the defendant company through its authorized representative Sh. [ENTITY].
2. Brief narration of the facts as disclosed, in the plaint, is as under : -
2.1 That the defendant has been dealing with the plaintiff since long and has been purchasing material from the plaintiff time to time. The defendant opened an open, mutual and current account with the plaintiff.
2.2 That the plaintiff is maintaining regular books of account in which entries are made from time to time in the ordinary and usual course of business in computerised system. Whatever transactions have taken place between the parties, the same are duly reflected in the said account and whatever payments have been made by the defendant are also reflected in the said accounts. 2.3 That on 01.04.2013, an outstanding debit balance of Rs.2,48,963.00 was due from and payable by the defendant to the plaintiff. After taking into consideration all the transactions which took place between the parties, there was an outstanding debit balance of Rs.11,68,305.00 as balance principal amount on 31.03.2014. 2.4 That the defendant, through communication dated 21.05.2014, gave confirmation of outstanding balance of Rs.11,68,305/- as due from and payable by them to the plaintiff as on 31.03.2014.
2.5 That whatever transactions took place between the parties, the same have been duly accounted for in the books of the plaintiff. By taking into consideration all such transactions, there remained an outstanding debit balance of Rs.12,42,326/- as on 31.03.2015 as due from and payable by the defendant to the plaintiff. 2.6 That the defendant issued cheque no.002152 dated 15.01.2014 for Rs.2,08,326/- drawn on Standard Chartered Bank towards part payment of outstanding dues, which remained unpaid and uncleared.
2.7 That the defendant made part payment of Rs.4,38,707/-
on 21.05.2014 for the last time which was collected by the plaintiff through its bankers leaving debit balance of Rs.12,42,326/-. Thereafter, the defendant stopped making payment. 2.8 That the defendant is liable to pay interest @ 24 % per annum on account of non payment or delayed payment of outstanding dues according to agreed terms of sale and also according to custom and usage of trade.
2.9 That the defendant is liable to pay to the plaintiff a sum of Rs.18,13,734/- (i.e. Rs. 12,42,326/- on account of outstanding debit balance of principal amount and Rs.5,71,458/- on account of interest calculated @ 24% per annum from 01.05.2014 till the filing of the suit) and is also liable for payment of pendete lite and future interest @ 24 % per annum.
Hence, the present suit.
3. Summons of the suit were duly served upon defendant company on 27.12.2017, however, defendant failed to put its appearance and file WS within stipulated period, accordingly, the defendant company was proceeded ex parte vide order dated 28.04.2018.
4. Thereafter, the matter was listed for plaintiff's evidence. In support of its case, AR of plaintiff company Sh. [ENTITY] stepped into the witness box as PW-1. He tendered his evidence by way of affidavit which is Ex.PW1/A and relied upon the following documents:
Certificate of Incorporation of Plaintiff Company No. 5679 of 1971-72 is Ex.PW1/1 (colly);
Certificate of Incorporation of Plaintiff Company Corporate Identity Number is U74899DL 19771PLC005679 is Ex.PW1/2 (colly);
Copy of Resolution dated 01.12.2015 is Ex.PW1/3;
Copies of Invoices No. IE / 661, IE / 915, IE / 932, IE / 1299, IE / 1467, IE / 1921, IE / 2226, IE / 4675, IE / 2009 are Ex.PW1/4 to Ex.PW1/12 respectively.
Copy of Statement of Accounts for the financial year 2013-14, 2014-15, 2015-16 is Ex.PW1/13 (colly);
Letter of Confirmation dated 21.05.2014 is Ex.PW1/14; Demand Letter (Legal Notice) dated 26.12.2014 is Ex.PW1/15; Certificate under [SECTION] of [ACT] is Ex.PW1/16.
Thereafter, the plaintiff company closed its evidence.
5. None appeared on behalf of plaintiff company to address final arguments. Record has been perused.
6. The plaintiff company has examined its AR as PW-1 and he has categorically deposed that there was an outstanding due of Rs. 12,42,326/- on the defendant, however, the defendant defaulted in making payment. He has testified that the defendant company has a liability to pay the outstanding amount of Rs. 12,42,326/- .The testimony of PW-1 as well as the documentary evidence led by the plaintiff has remained uncontroverted and unchallenged in as much as defendant company is exparte in the present suit.
7. The court finds no ground to disbelieve the testimony of plaintiff witness. Documentary evidence led by plaintiff deserves to be accepted on its face value. In view of un-rebutted and unchallenged oral and documentary evidence led by plaintiff, the court is of the opinion that the plaintiff has been able to prove the case for recovery of outstanding amount of Rs. 12,42,326/-.
8. The plaintiff has claimed pre suit interest, pendente lite and future interest @ 24% per annum. However, there is no document in writing to evidence that the interest was agreed to be at such an exorbitant rate. Nevertheless, the transaction in question is a commercial one. However, Hon'ble Apex Court in a line of judgments has held that in view of changed economic scenario where there has been consistent fall in rates of interest, Courts must in accordance with the changed circumstances grant lesser rates of interest. These judgments are [PRECEDENT], [PRECEDENT], [PRECEDENT], [PRECEDENT] and [PRECEDENT]. To similar effect is Hon'ble Delhi High Court decision in [PRECEDENT], (dt. of decision March 22, 2013 in [CASE NUMBER]).
9. Considering the facts and circumstances, this court is of the opinion that interest of 8% per annum on the principal amount of Rs.12,42,346/- would suffice. The defendant would pay interest of 8% per annum on the principal amount of Rs 12,42,346/- from 01.05.2014 till its full and final realization. Relief.
In view of foregoing reasons and discussion, this suit is decreed exparte in favour of plaintiff and against the defendant in a sum of Rs. 12,42,326/- along with interest @ 8 % per annum w.e.f 01.05.2014 till full and final realization of decreetal amount. The cost of the suit is also awarded in favour of plaintiff.
Decree sheet be prepared accordingly.
File be consigned to Record Room.
[ENTITY] Date: 2018.08.14 16:07:18 +0530 Announced in the open court ([ENTITY]) on this 14th August, 2018 ADJ-04, (East District) KKD Courts, Delhi.