| Case ID |
308b0a00-691f-4510-9364-204b77ca4062 |
| Body |
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| Case Number |
1st Appeal No. 10 of 2009 |
| Decision Date |
Mar 03, 2017 |
| Hearing Date |
Dec 05, 2016 |
| Decision |
The Sindh High Court ruled that the summary suit filed by the microfinance institution was maintainable and properly before the court. The court emphasized that under Order XXXVII of the Civil Procedure Code, the defendant must seek leave to defend the suit or else the allegations in the plaint would be deemed admitted. In this case, the defendant failed to file for leave, leading to the dismissal of their application challenging the jurisdiction of the court. The court concluded that the provisions of the Microfinance Institutions Ordinance exempted microfinance institutions from the provisions of the Banking Companies Ordinance, thus affirming the jurisdiction of the District Judge in this matter. Consequently, the appeal was dismissed, supporting the original judgment and decree against the appellant. |
| Summary |
This case revolves around a dispute between Syed Itrat Hussain Rizvi and Tameer Micro Finance Bank Limited regarding a summary suit for recovery of finances under the Microfinance Institutions Ordinance. The Sindh High Court addressed critical issues regarding the jurisdiction of microfinance institutions and the applicability of the Civil Procedure Code. The court highlighted that under Order XXXVII, defendants are not entitled to appear or defend unless they seek leave from the court, which the appellant failed to do. This judgment underscores the significance of procedural compliance in summary suits and clarifies the legal standing of microfinance institutions in Pakistan, which operate under distinct regulations compared to traditional banks. The ruling reinforces the legal framework governing microfinance institutions, ensuring that they can recover debts efficiently while adhering to the specific legislative mandates applicable to their operations. |
| Court |
Sindh High Court
|
| Entities Involved |
Tameer Micro Finance Bank Limited
|
| Judges |
ARSHAD HUSSAIN KHAN, JUSTICE
|
| Lawyers |
Muhammad Ali Waris Lari,
Agha Muhammad Saleem Raza
|
| Petitioners |
SYED ITRAT HUSSAIN RIZVI
|
| Respondents |
MESSRS TAMEER MICRO FINANCE BANK LIMITED THROUGH ATTORNEY AND ANOTHER
|
| Citations |
2018 SLD 456,
2018 CLD 116
|
| Other Citations |
1997 MLD 1835
|
| Laws Involved |
Civil Procedure Code (V of 1908),
Microfinance Institutions Ordinance (LV of 2001),
Financial Institutions (Recovery of Finances) Ordinance (XLVI of 2001)
|
| Sections |
3,
2,
3(2),
2(d),
5,
9
|