1 IN THE HIGH COURT OF JUDICATURE AT BOMBAY O. O. C. J. SUIT NO.2579 OF 1998 The Federal Bank Ltd. ..Plaintiff. Vs. Pawan Chaturvedi ..Defendant. .... Ms S. Kharade i/b Anil Menon for the Plaintiff. None for the Defendant. .... CORAM : DR. D.Y. CHANDRACHUD, J. 10th August, 2009. P.C. : 1. The suit has been instituted for the recovery of moneys lent and advanced. In pursuance of an application made by the Defendant for a demand loan facility in the amount of Rs.5 lacs, the Plaintiff sanctioned the facility for a period upto 2nd May, 1996 together with interest at 18.75% p.a. with quarterly rests. The Defendant executed a demand promissory note, letter of pledged shares and a security letter dated 28th April, 1995 in favour of the Plaintiff. The loan was disbursed to and availed of by the Defendant. In the event of default, the loan was to carry 2 additional interest at the rate of 2% over and above the contractual rate of 18.75 % p.a. Upon the default of the Defendant in repaying the loan, several notices of demand were issued on 29th November, 1995, 20th January, 1996 and 1st April, 1997. 2. The Defendant has been served with the writ of summons, but has not filed a written statement. The claim has therefore not been controverted. The Plaintiff has relied upon an affidavit of its Chief Manager who has verified the correctness of what has been stated therein. A compilation of the original documents has also been tendered. The claim has been duly proved on the basis of the evidence on the record. The suit shall accordingly stand decreed in terms of prayer clauses (a) and (b) with the modification that the Plaintiff will be entitled to interest at the rate of 9% per annum from the date of the suit until payment or realization. *****