A. B. BANK LIMITED Vs. KHAN ENTERPRISE

JUDGEMENT

(1.) This appeal has been presented, at the instance of the Plaintiff/Appellant against the judgment and decree dated 31.03.2011 passed by the Judge of the Artho Rin Adalat, Chittagong in Artho Rin Suit No. 33 of 2010.

(2.) The facts relevant for disposal of the appeal are that the plaintiff is a Bank and it has Banking business. On the other hand defendant-respondent No. 1 is a business Enterprise and the defendant No. 2 is the owner of the said business and defendant No. 3 is the guarantor who deposited the mortgage property as collateral security against the loan.

(3.) The plaintiff sanctioned Tk. 14,10,00,000/- in favour of the defendants respondents against L/C and TR facilities as per the application dated 20-02-06. The plaintiff after considering the application allowed the same on 06-03-06. Defendant No. 2 and 3 understood the condition laid down in the sanction letter issued by the Bank and which along with interest charges at agreed rate stood the claim of the suit. Against the aforesaid loan the defendant No. 2 executed various charge documents and deposited the same to the Bank. The land described in the schedule-1 and title deed described in schedule-2 deposited as collateral security by the defendant No. 3. In support of the mortgage the defendant No.3 on 21-03-06 executed a registered mortgage deed being No.966 and a Power of Attorney. Thereafter, on 12-03-08 the defendant applied to adjust the liability against the loan and the plaintiff Bank also agreed the same and on 02-04-08 issued a consent letter. However, the defendant failed to adjust the liability as a result the plaintiff Bank cancelled installment facility vide letter dated 02-07-09. The plaintiff issued several remainder letters to pay the loan amount against which on 24-12-09 defendant No. 2 issued a cheque being No. 0245076 amount of Tk. 15,75,36,960/ in favour of the plaintiff that is AB Bank Limited, Export Processing Zone Branch, Chittagong. The said defendant also assured that if the cheque be placed for encashment the money would be paid. Subsequently the cheque was deposited but, it was dishonored as a result the plaintiff through his lawyer issued legal notice and finally filed a Case under section 138 of the Negotiable Instrument Act. As per the regular assessment against the account under L/C and TR facilities defendant failed to adjust the liability and the plaintiff is entitled to recover loan through legal process and hence this suit.