| Case ID |
163727f1-15f0-4045-8c46-57a2f51e79cd |
| Body |
View case body. Login to View |
| Case Number |
First Appeals Nos. 78 and 79 of 2021 |
| Decision Date |
Sep 28, 2023 |
| Hearing Date |
Sep 12, 2023 |
| Decision |
The appeals were dismissed as the High Court upheld the Banking Court's judgment favoring the SME Leasing Limited, affirming that the actions taken under the Financial Institutions (Recovery of Finances) Ordinance were lawful. The court found no errors in the Banking Court's findings, confirming that the respondent's suit for recovery was timely and valid, even after the provisions of section 15 of the Ordinance were later declared ultra vires. The High Court clarified that the definition of Financial Institutions includes leasing companies, thus retaining the jurisdiction of the Banking Court in such recovery matters. |
| Summary |
In the case of First Appeals Nos. 78 and 79 of 2021, the Sindh High Court addressed appeals filed by Qalandri Filling and CNG Station against SME Leasing Limited regarding recovery actions under the Financial Institutions (Recovery of Finances) Ordinance, 2001. The court examined the legality of the recovery process initiated due to the appellant's default in payments. Emphasizing the importance of adherence to existing laws, the court upheld the validity of the Banking Court's judgment, asserting that actions taken were within the statutory framework at the time. The decision reinforces the applicability of the Ordinance in recovery suits, particularly for leasing companies, thereby highlighting the court's role in interpreting financial regulations and protecting creditor rights. It serves as a critical reference for future cases involving financial institutions and recovery procedures, ensuring that legal practitioners understand the nuances of financial law and its practical implications in judicial proceedings. |
| Court |
Sindh High Court, Hyderabad Bench
|
| Entities Involved |
Qalandri Filling and CNG Station,
SME Leasing Limited
|
| Judges |
Muhammad Shafi Siddiqui,
Arshad Hussain Khan
|
| Lawyers |
Parkash Kumar,
Faiz Durrani,
Siraj Ali,
Salahuddin
|
| Petitioners |
Messrs QALANDRI FILLING AND CNG STATION SEHWAN through Proprietor and 3 others
|
| Respondents |
SME LEASING LIMITED
|
| Citations |
2024 SLD 289 = 2024 CLD 106
|
| Other Citations |
National Bank of Pakistan and 117 others v. SAF Textile Mills Ltd. and another PLD 2014 SC 283
|
| Laws Involved |
Financial Institutions (Recovery of Finances) Ordinance, 2001
|
| Sections |
9,
15,
22
|