CANARA BANK Vs. ASSOCIATED FOUNDERS
LAWS(DR)-2003-1-8
DEBTS RECOVERY APPELLATE TRIBUNAL
Decided on January 17,2003

Appellant
VERSUS
Respondents

JUDGEMENT

A.Subbulakshmy, - (1.)AGGRIEVED against the order passed by the Presiding Officer, DRT, Bangalore, in allowing the IA permitting the 2nd defendant with regard to enhancement of counter claim, this appeal has been preferred by the appellant Bank.
(2.)The Counsel for the appellant Bank submits that original counter claim was filed for Rs. 5,000/- and now it has been enhanced to Rs. 5,83,711.81 p. and after filing the counter claim originally, all of a sudden it cannot be raised and the order passed by the Presiding Officer, DRT, permitting the 2nd defendant for enhancing the counter claim is not sustainable.
The Counsel for the respondents submits that even in the original counter claim, the counter claim was nominally arrived at for the value of Rs. 5,000/- and Court fee was paid and even in para (7) of the counter claim it has been specifically stated that the values of the finished goods, raw materials and semi-finished goods are taken into account and the finished goods and 20% of the value of the semi-finished goods was enough to clear the debt of the plaintiff Bank and the defendant is yet to account for the semi-finished goods, finished goods taken by it and the plaintiff Bank was holding the entire stocks which were ready for sale and the loss suffered by the defendant due to the failure of the Bank to hand over the semi-finished goods and the plaintiff has already stated in para (7) that the counter claim has been nominally arrived at and the value of 20% of the semi-finished goods was enough to clear the debt and the defendant is yet to account for the semi-finished goods and finished goods.

(3.)THE Presiding Officer, DRT, Bangalore has found that the counter claim made earlier was so wide in terms that it encompassed not only Rs. 5,000/- ostensibly appeared in numerals but also the entire suit claim and accordingly allowed the counter claim.


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