- (1.) THIS suit has been filed by the Reliance Jute and Industries Ltd. and five others against the Oriental Bank of Commerce for enforcement of a guarantee issued by the defendant bank being guarantee No. 2 of 1979 in favour of one Paban kumar Kanoria guaranting the due payment and discharge of certain liabilities undertaken by one Kamal Krishna Singh to the said Paban Kumar Kanoria to the extent of rs. 5,00,000/ -.
(2.) AFTER filing the suit the plaintiffs have made an application for iiridl judgment and decree for Rs. 5,00,000/- with interim interest on judgment and costs under chapter Xllia of the Rules of the Original side of this Court. At this stage the said kamr. l Krishna Singh seeks to intervene in the proceedings and with leave of Court has made the presant application praying inter alia that leave be given to him to intervene in these proceeding including the application for in a judgment made by the plaintiffs and to file affidavit and make submissions before any order is passed in the said proceedings ; that he be added as a party to the suit stay of further hearing or passing of any order on the application for final judgment made by the plaintiffs.
(3.) IT is a matter of record that prior to the filing of the suit Kamal Krishna instituted arbitration proceedings in Indore. The Bank as also the plaintiffs are parties to the said arbitration which is pending. Kamal Krishna contends that he is vitally interested in this suit inasmuch as in the event a decree is passed against the Bank. It is ultimately he as a confirming party to the said guarantee he will have to meet the claim of the Bank as the principal debtor. He contends further that there are substantial defences to the claims of the plaintiffs in this suit.;