Sat Pal - (1.) This is a suit for recovery of Rs. 1,09,185.45with pendent lite and future interest @ 20% per annum with quarterlyrests.
(2.) The facts of the case briefly stated are that the plaintiff is a bodycorporate constituted under the Banking (Companies Acquisition andTransfer of Undertakings) Act 40 of 1980 with its Head Office-at NewDelhi and its branches spread all over India. S/Shri Makhan Singh andShyam Sunder, Regional Manager and Manager respectively are the principalofficers of the plaintiff Ban and they are duly authorised to sign and verifythe present plaint and to institute the present suit. In this regard both holdthe power of attorney from the Plaintiff Bank.
(3.) As per averments made in the plaint, the defendant No. 2 who isthe Proprietor of the defendant No. 1, approached the Branch Office of thePlaintiff Bank situated at A-199, Okhia Indl. Area, Phase-1, New Delhi andat his request, the plaintiff Bank granted the defendants the credit facilitydrawable to a limit of Rs. 25.000.00. In consideration of this grant of loan,the defendant No. 2 for himself and as proprietor of defendant No. 1executed and delivered on 20/03/1984 various documents, namely,demand promissory note for Rs. 25.000.00, confirmation on bank's FormNo. 106, undertaking on bank's Form No. 122 Agreement on bank's FormNo. 126, letter of continuity and deed of hypothecation all dated 20thMarch, 1984. On the same date the defendant No. 3 executed and delivereda letter of guarantee in his personal and individual capacity guaranteeingthe repayment of the sum(s) advanced to the defendants Nos. 1 and 2together with interest and costs and all other charges.;