1 IN THE HIGH COURT OF JUDICATURE AT BOMBAY O. O. C. J. SUIT NO.2531 OF 1998 The Federal Bank Ltd. ...Plaintiff. Vs. Nishad Kadam. ...Defendant. .... Mr. O.A. Das for the Plaintiff. None for the Defendant. ..... CORAM : DR.D.Y.CHANDRACHUD, J. July 22, 2009. P.C. The suit has been instituted for the recovery of a sum due and outstanding to the Plaintiff under a Demand Loan Facility extended to the Defendant. The Defendant by an application applied for a loan in the amount of Rs.5 lakhs against a pledge of 20,000 equity shares of Rushi Oil and Fats Ltd. On 31st January 1996, the facility was sanctioned to the Defendant for a period upto 12th June 1996. The shares in question, were de-listed in the share market and it is averred that they are of no value. In consideration of the grant of the load facility, the Defendant executed several documents including 2 a Demand Promissory Note, a letter of pledge of share and security delivery letter. The Defendant defaulted in the payment of the amount due and despite a letter of demand, and an Advocate’s notice dated 13th April 1998, payment is not made. Accordingly a suit has been instituted. The Defendant has been served with the writ of summons. The Defendant not having entered appearance, the averments in the plaint have not been controverted. The Plaintiff has relied upon an affidavit of evidence of its Branch Manager and on a compilation of the original documents. The claim has been duly proved on the basis of evidence on record. The suit accordingly stands decreed in terms of prayer clauses (b) and (c) with the modification that the Plaintiff will be entitled to interest at the rate of 12% p.a. on the principal sum from the date of the suit until payment or realization. There shall be a refund, of Court fee if any, as per the rules. ......