| Case ID |
0fcdeab7-31e9-49ff-a303-b1e3cf5b5463 |
| Body |
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| Case Number |
R.F.A. No.437 of 2002 |
| Decision Date |
Jun 03, 2003 |
| Hearing Date |
Jun 03, 2003 |
| Decision |
The Lahore High Court allowed the appeal and set aside the judgment and decree passed by the Banking Court regarding the disputed amount of excessive and unauthorized markup charged by the bank. The court found that the borrowers had made a case for grant of leave to defend the suit based on unclear calculations of the disputed amounts. Additionally, the judgment against the guarantor was also set aside due to non-service of summons, allowing for a fair opportunity to defend. The case was remanded for further proceedings in line with the High Court's findings and directions. |
| Summary |
This case revolves around a dispute concerning excessive and unauthorized markup charges imposed by Allied Bank of Pakistan Limited on borrowers represented by Messrs Naeem Associates. The Lahore High Court, presided by judges Mian Saqib Nisar and Jawwad S. Khawaja, tackled issues of legal representation, service of summons, and the validity of the charges. The appeal highlighted procedural flaws and the need for clarity in financial transactions, particularly in the context of the Financial Institutions (Recovery of Finances) Ordinance. The High Court's ruling emphasizes the importance of fair legal representation and the right to contest charges that may seem inflated or unauthorized. The decision serves as a precedent in banking disputes, ensuring that borrowers have the opportunity to defend themselves against potentially erroneous financial claims. |
| Court |
Lahore High Court
|
| Entities Involved |
ALLIED BANK OF PAKISTAN LIMITED,
Messrs NAEEM ASSOCIATES
|
| Judges |
MIAN SAQIB NISAR,
JAWWAD S. KHAWAJA
|
| Lawyers |
Shahid Ikram Siddiqui,
Kh. Asif Mehmood,
Ch. Fazal Elahi
|
| Petitioners |
Messrs NAEEM ASSOCIATES
|
| Respondents |
ALLIED BANK OF PAKISTAN LIMITED
|
| Citations |
2004 SLD 2165,
2004 CLD 1672
|
| Other Citations |
Not available
|
| Laws Involved |
Financial Institutions (Recovery of Finances) Ordinance (LXVI of 2001)
|
| Sections |
10,
12
|