1 s-1209-06 IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION jmi SUIT NO. 1209 OF 2006. Maharashtra Film. Stage & Cultural Development Corporation Limited, Dadasaheb Phalke Chitra Nagari, Film City, Goregaon (E), Mumbai-400 065. ..Plaintiff. vs. 1. Eternal Dreams Pvt. Ltd. Through its Chief Executive Officer, Bonnie Anand Jain, R/at : Minjal Apartment, Flat No. 12, D’Monte Lane, Orlem, Malad (W), Mumbai-400 064. 2. Bonnie Anand Jain, R/at : Minjal Apartment, Flat No. 12, D’Monte Lane, Orlem, Malad (W), Mumbai-400 064. 3. Govind Swarup, R/at 32, Yashodhan, Dinshaw Wachha Road, Opp. C.C.I. Churchgate, Mumbai. ..Defendants. .... Mr. N.R. Bubna, for Plaintiff. None for Defendants. .... CORAM : S.J. KATHAWALLA, J. DATE : 17TH NOVEMBER 2011. JUDGMENT : The Suit is shown under the caption “For Exparte Decree”. 2 s-1209-06 2. The Plaintiff is a Government of Maharashtra Undertaking and a Company registered under the Companies Act, 1956. The entire shareholding of the Plaintiff is owned and controlled by the Government of Maharashtra. Defendant No.1 is a Private Limited Company and Defendant No.2 is the Chief Executive Officer and Business Head of Defendant No.1. Defendant No.3 is a Senior IAS Officer who at the relevant point of time was functioning as the Managing Director of the Plaintiff Corporation. 3. According to the Plaintiff, the Defendant No.1 through Defendant No.2 entered into a contract dated 22nd February 2002 with the Plaintiff. By the said agreement the Defendant No.1 inter alia agreed to act as an advertising agency for the programme “Superstar Dhamaka” to be telecast on Doordarshan National Network on 31st December 2002. The Defendant Nos. 1 and 2 were to pay a net amount of Rs.31,20,000/- to the Plaintiff in pursuance of the said agreement. Out of the said amount of Rs.31,20,000/- Defendant Nos. 1 and 2 were to give a bank guarantee in favour of Doordarshan (Prasar Bharti Broadcasting Corporation) for Rs. 25,00,000/- before 29th March 2002 which was necessary for telecast of the said show. Doordarshan was to fix the telecast of the show after receipt of the said bank gaurantee and was to receive the amount of Rs.25,00,000/- by encashing the said bank guarantee after the said show was telecast. Defendant Nos. 1 and 2, were to pay the balance amount of Rs.6,20,000/- to the Plaintiff by cheque dated 15th May 2002. Defendant Nos. 1 and 2 did not make the payment as per agreement and failed to furnish a bank guarantee to Doordarshan as agreed by them. The Plaintiff therefore had to furnish the said bank guarantee to Doordarshan on 30th March 2002. The Plaintiff Corporation called upon the Defendants to pay the said amount to it, 3 s-1209-06 in pursuance of which the Defendant Nos. 1 and 2 paid an amount of Rs.6,25,000/- to the Plaintiff and a further amount of Rs.6,25,000/- on 31st March 2002. 4. The matter came up for consideration before the Plaintiff’s Board of Directors in the meeting dated 18th March, 2003 when the Board of Directors of the Plaintiff inter alia resolved that the Agreement dated 22nd February 2002 was not entered into in the interest of the Corporation and were pleased to permit the Managing Director of the Plaintiff to take further necessary action. Pursuant to the said Resolution, a complaint was made by the Plaintiff to the Anti Corruption Bureau in pursuance whereof the Defendant No.2 was arrested. The Defendant No.2 at that time admitted his liability to pay the amounts due to the Plaintiff and promised to make the payment within short time. The Plaintiff called upon the Defendant Nos.1 and 2 to act in accordance with the agreement dated 22nd February 2002 and pay the amounts lawfully due to the Plaintiff. However, the Defendant Nos. 1 and 2 failed and neglected to do so. The Plaintiff therefore filed the present Suit for recovery of the said amount from the Defendants along with interest. 5. A prayer is made in the Suit for a decree and direction against the Defendant Nos. 1 and 2 to pay to the Plaintiff an amount of Rs. 31,54,687/- along with interest thereon @18% per annum from the date of the filing of the suit till realisation thereof as per Particulars of Claim annexed as Exhibit ‘C’ to the Plaint. There is also a prayer for directing the Defendant Nos. 1 and 2 to pay the costs of the suit. One Mr. Mangesh V. Mohite, the Joint Managing Director of the Plaintiff has filed an Affidavit in lieu of Examination-in-Chief for proving the Claim. He has relied on a True Copy of the Agreement 4 s-1209-06 dated 22nd February 2002 executed by and between the Plaintiff and the Defendant Nos. 1 and 2. He has submitted that the original agreement dated 22nd February 2002 is not in possession of the Plaintiff and by an Order dated 28th August 2011 in Notice of Motion No.2630/2011 he is allowed to lead Secondary Evidence by way of photocopy of the evidence dated 22nd February 2002. He has also filed a True Copy of the Resolution dated 18th June 2003 passed by the Board of Directors of the Plaintiff resolving that the agreement was not in the interest of the Corporation and permitted the Managing Director of the Corporation to take further necessary action. By the Affidavit of Shri Mangesh Mohite the documents placed on record have been duly proved. As far as monetary relief is concerned particulars thereof are set out in Exhibit ‘C’. The claim is for the amounts due and payable under the agreement dated 22nd February 2002 together with interest @18% per annum. The said claim has been established by the Plaintiff. The Defendant Nos. 1 and 2 despite service have not filed their Written Statement nor have they come forward to defend the said Suit. In view thereof the claim of the Plaintiff has remained uncontroverted. Hence I pass the following order :- (i) The suit stands decreed in terms of prayer clause (a); (ii) The Plaintiff are entitled to recover costs of the Suit from the Defendant Nos. 1 and 2. (iii) The Plaintiff are entitled to refund of court fees as per the rules. [ S.J. KATHAWALLA, J. ]