| Case ID |
3795baaa-d7fe-4398-b4ed-f7c7a3ba9018 |
| Body |
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| Case Number |
Civil Appeal No. 450 of 1992 |
| Decision Date |
Mar 13, 1995 |
| Hearing Date |
|
| Decision |
The Supreme Court upheld the decision of the Peshawar High Court, which had dismissed the appellants' appeal against the decree of the Special Banking Court. The Court found that the appellants had failed to establish sufficient grounds for the leave to defend their case, which involved the recovery of a loan amounting to Rs. 11,58,420.69 along with interest. The Court emphasized that the provisions of Order XXXVII of the Civil Procedure Code were applicable, and the appellants' vague general averments did not suffice to counter the claims made by the respondent bank. Consequently, the allegations in the plaint were deemed admitted, allowing the bank to secure a decree in its favor. |
| Summary |
This case revolves around a civil appeal concerning the recovery of loans under the Banking Companies (Recovery of Loans) Ordinance. The Supreme Court of Pakistan examined the provisions of the Civil Procedure Code, particularly Order XXXVII, which governs summary procedures for suits based on specific financial instruments. The appellants, Haji Ali Khan & Company, challenged the decree of the Special Banking Court, which had ruled in favor of Allied Bank of Pakistan Limited. The Court highlighted the importance of obtaining leave to defend under Order XXXVII, underscoring that failure to provide adequate grounds resulted in the allegations being accepted as true. The decision reaffirmed the legal standards for defending against claims involving bills of exchange and promissory notes. The ruling serves as a critical reference for legal practitioners in similar banking disputes, emphasizing the necessity of clearly articulated defenses in loan recovery cases. |
| Court |
Supreme Court of Pakistan
|
| Entities Involved |
Allied Bank of Pakistan Limited,
Haji Ali Khan & Company
|
| Judges |
Ajmal Mian,
Fazal Karim,
Mukhtar Ahmed Junejo
|
| Lawyers |
Hafiz SA. Rehman,
Imtiaz Muhammad Khan,
M. Tariq Khan
|
| Petitioners |
,
Haji Ali Khan & Company
|
| Respondents |
M/s. Allied Bank of Pakistan Limited
|
| Citations |
1995 SLD 755,
1995 PLD 362
|
| Other Citations |
PLD 1990 SC 497,
PLD 1987 Lah. 101,
PLD 1986 Lah. 124
|
| Laws Involved |
Civil Procedure Code (V of 1908),
Banking Companies (Recovery of Loans) Ordinance (XIX of 1979)
|
| Sections |
XXXVII, Rr.1,
XXXVII, R. 2(2),
XXXVII, R. 3(1),
XXXVII, R. 4,
S. 7(2)
|