RAMACHANDRAN STEEL, REP BY ITS MANAGING PARTNER P K C RAMESH, Vs. CHAIRMAN CUM MANAGING DIRECTOR, YES BANK LIMITED

JUDGEMENT

(1.) The suit for recovery of a um of Rs.33,24,000/- and for a sum of Rs.20,00,000/- as a damages for mental agony and financial difficulties suffered by the plaintiff.

(2.) Brief facts of the plaintiff case is as follows :

(3.) The contractual period for the credit facility was about to expire on 03.02.2013 and the review date was fixed as 05.01.2013 and the same was not modified or altered by the defendant. When the contractual period of the credit facility was about to expire, the plaintiff had sent a letter dated 03.01.2013 for renewal of the credit facilities on condition that the limits has to be enhanced to Rs.2,100 lakhs and rate of interest to be reduced to 12% p.a. and also prayed for substitution of the property. The defendant failed to respond. Therefore, the plaintiff has sent a reminder on 20.01.2013 and also sought to delete the penalty clause for preclosure of the credit facility. By a letter dated 23.01.2013, the defendant while calling upon the plaintiff to come for a discussion on the enhancement of limits, asserted that details of substitute security was not furnished and that the Head Office alone can decide with regard to waiver of penalty clauses. As per the suggestion of the defendant bank, the plaintiff had gone for a discussion on 11.02.2013 but it failed to yield any result compelling the plaintiff to search for better avenues to meet their business requirements. In the process, the plaintiff was able to secure better financial facility with Karur Vysya Bank. The plaintiff also informed the defendant about their intention to shift his account with another Bank.