| Case ID |
17a04a65-2c14-46b9-9cea-5b754c8e70de |
| Body |
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| Case Number |
F.A.B. No.38 of 2005 with C.M. No.120 of 2005 |
| Decision Date |
Apr 07, 2005 |
| Hearing Date |
|
| Decision |
The Peshawar High Court ruled in favor of United Bank Limited, allowing the appeal to the extent that the bank was not entitled to mark-up on the loan from February 1996 until the passing of the decree. The court found that the bank had sufficiently demonstrated that the appellant had taken a finance facility under the Prime Minister Transport Scheme and failed to repay the amount owed. The vehicle, which was the subject of the loan, was impounded and subsequently auctioned by the bank, with the proceeds applied to the outstanding debt. The remaining amount due, after deducting the mark-up for the specified period, was decreed against the appellant in favor of the bank, with no order as to costs. |
| Summary |
In the case involving United Bank Limited and the appellant, the Peshawar High Court evaluated the financial obligations of the appellant under the Prime Minister Transport Scheme. The court reviewed the evidence presented by the bank, which demonstrated that the appellant failed to repay the loan amounting to Rs. 2,15,438. The vehicle in question was impounded and auctioned without proper notification to the appellant, raising concerns about due process. The court ultimately ruled that while the bank was entitled to recover the principal amount, it could not claim interest for the period prior to the decree date. This case highlights the legal principles surrounding loan recovery and the rights of borrowers, emphasizing the need for financial institutions to adhere to fair practices. Keywords: loan recovery, financial obligations, court decision, banking law. |
| Court |
Peshawar High Court
|
| Entities Involved |
United Bank Limited
|
| Judges |
Talaat Qayum Qureshi,
Muhammad Qaim Jan Khan
|
| Lawyers |
Muhammad Qasim Khan Khattak,
Aamir Javed
|
| Petitioners |
United Bank Limited
|
| Respondents |
|
| Citations |
2006 SLD 2898,
2006 CLD 877
|
| Other Citations |
Not available
|
| Laws Involved |
Financial Institutions (Recovery of Finances) Ordinance (XLVI of 2001)
|
| Sections |
9,
10,
22
|