K.C. Agrawal, J. - (1.) Suit No. 164 of 1984 was filed by the Bank of Baroda in the Court of Civil Judge, Gorakhpur, for the recovery of Rs. 2,97,368.98 paise as against the defendant who, according to the plaint, were jointly and severally liable to pay the same. The plaintiff Bank of Baroda alleged that defendants 2 to 4 recommended to the plaintiff to grant a loan of Rs. 55,000/- to defendant No. 1 and Cash credit facility of Rs. 1,20,000/- to it against, the security and execution of the documents by defendants 2 to 4 jointly and severally. The defendant No 1 availed the loan of Rs. 55,000/- and also the Cash credit facility of Rs. 1,20,000/-. Defendants 2 to 4 delivered to the plaintiff D.P. note signed by them on 12-10-1979 for Rs. 55,000/-. The defendants 2 to 4 promised to pay the interest at the rate of 3% over Reserve Bank of India rate. The defendants did not pay the instalments, as was promised, hence the suit for the recovery of the aforesaid amount was filed-
(2.) The defendants did not appear to contest the suit in pursuance of the service of summons. Consequently, the notices were published in the newspaper. The defendants did not appear even on the date of hearing fixed in the suit by the newspaper. Thereupon, on 12-9-1985 an exparte decree was passed against defendants 1 to 4 for the recovery of Rs. 2,97,368.98 paise.
(3.) An application for setting aside the exparte decree was made under Order IX, Rule 13 of the Code of Civil Procedure on 20-9-198 5. The application allowed by the Civil Judge III, Gorakhpur, on the condition of making payment of Rs. 1,25,000/- in Cash within the time stipulated in the order. Out of this Rs. 1,25,000/- Rs. 1,00,000/-was towards the principal payable by the defendants and Rs. 25000/- was the amount which had been paid as Court fees. Instead of preferring any appeal against this order setting aside the exparte decree on the conditions aforesaid, the defendant Subhash Malhotra moved an application under Order XLVII, Rule 1 of the Code of Civil Procedure for reviewing the order dated 14-1-1986, by which the exparte decree was set aside. The application for review was contested. On 5-2-1986, the review application was allowed and the order dated 14-1-1986 was set aside. The condition of setting aside the exparte decree was confirmed to the payment of Rs. 50/- by way of costs.;