UNION OF INDIA Vs. CANARA BANK

JUDGEMENT

(1.) AGGRIEVED against the order passed by the Presiding Officer, Debt Recovery Tribunal (DRT), Chennai, in TA-101/1997 against the appellant (defendant No. 3 in the OA) for recovery of a sum of Rs. 90,055.74p with 12% simple interest from the date of plaint till the date of realisaction, the appellant has preferred this appeal.

(2.) The appellant in this appeal contends that the Tribunal erred in holding that the appellant is not entitled to hold back the amount due under the bills and the Tribunal erred in holding that a sum of Rs. 90,055.74 p, was due and payable by the appellant to the 1st respondent Canara Bank with simple interest at the rate of 12% and the Tribunal also erred in observing that the 1st respondent Bank restricted its claim upto four payments i.e. dated 21.7.1987 for Rs. 1,037.74p, bill dated 17.9.1987 for Rs.1,838/-, bill dated 17.10.1987 for Rs. 11,902/- and bill dated 19.10.1987 for Rs. 75,278/-, and the appellant has also sustained loss because the 2nd respondent did not supply the goods under the bill purchase orders and the Tribunal failed to consider the conditions of the contract and also the Indian Railway Standard Conditions for contract under which the 2nd respondent agreed to supply the goods.

(3.) THE DRT passed the decree declaring that the applicant Bank is entitled to a Recovery Certificate for a sum of Rs. 11,10,497.42p. against the defendants 1 and 2 and a Recovery Certificate for a sum of Rs. 90,055.74 p. against the 3rd defendant with 12% simple interest from the date of plaint till the date of realisation, and other reliefs.