- 1 - IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION SUIT NO.2523 OF 1997 Union Bank of India .... Plaintiffs Vs. M/s. Monica Arts & Ors. .... Defendants Mr. Jamshed Ansari i/b S. Mahomedbhai & Co. for the Plaintiffs. None for the Defendants. CORAM: DR. D.Y. CHANDRACHUD, J. DATED: 30TH JUNE, 2009 P.C: 1. This is a suit by the Union Bank of India for the recovery of an amount of Rs.2,36,652/- together with interest. The plaintiffs had extended a cash credit (hypothecation facility) to the first and the second defendants of an amount of Rs.1,50,000/-. In consideration thereof, the first defendant executed a demand promissory note, an agreement of hypothecation of goods and a letter of continuity dated 26 th July, 1994. The third defendant executed a letter of guarantee dated 26 th July, 1994. There is a default on the part of the - 2 - defendants in paying the amount due and payable despite letters of demand. 2. The defendants have been served with the writ of summons. They have failed to enter appearance. The averments contained in the plaint, therefore, not been uncontroverted. The plaintiffs have relied upon a compilation of the original documents which is tendered and taken on the record. An affidavit of service has been filed. In the circumstances, the suit shall stand decreed in terms of prayer Clauses (a), (b), (c) and (g) with the modification that the plaintiffs would be entitled to interest at the rate of 12% per annum on the principal sum from the date of the suit until payment or realisation. ------