Case Summary
The plaintiff, The Canara Bank, is seeking recovery of an outstanding loan amount from the defendants, M/s. Mella Food Products and its proprietress, Mini Baby, who have defaulted on repayment. The loan was issued for working capital for the defendants' business.
Judgment Outcome
Judgment Favored
Plaintiff
Relief Granted
The defendants are directed to pay an amount of Rs.10,50,339/- to the plaintiff, along with interest at the rate of 6% per annum from the date of the suit till realisation.
Case Type
Commercial Suit
Final Judgment
No
The suit was decreed in favor of the plaintiff, ordering the defendants to pay the outstanding loan amount of Rs.10,50,339/- along with interest. The court found that the defendants had defaulted on the loan despite having the capability to repay.
Why Plaintiff Won:
The plaintiff provided unchallenged testimony and substantial evidence showing the defendants' failure to repay the loan.
The plaintiff provided unchallenged testimony and substantial evidence showing the defendants' failure to repay the loan.
Losing Side's Weaknesses:
The plaintiff provided unchallenged testimony and substantial evidence showing the defendants' failure to repay the loan.
The plaintiff provided unchallenged testimony and substantial evidence showing the defendants' failure to repay the loan.
Supporting Evidence
The unchallenged oral testimony of PW1 very well goes to show that the 2nd defendant availed Rs.10,00,000/- on behalf of 1st defendant for the working capital of 1st defendant institution on 22.02.2021 from the plaintiff bank. In spite of repeated demands, the defendants failed to repay the loan amount.
Judgment Evidence:
In the result, the suit is decreed as follows: The defendants are directed to pay an amount of Rs.10,50,339/- (Rupees ten lakh fifty thousand three hundred and thirty nine only) to the plaintiff.
Parties Involved
Parties
- Party Role
- Plaintiff
- Party Name
- The Canara Bank Thamarassery Branch
- Relation
- Represented by
- Party Role
- Defendant
- Party Name
- M/s. Mella Food Products
- Relation
- Rep. By Proprietors
- Party Role
- Defendant
- Party Name
- Mrs. Mini Baby
- Party Age
- 42
- Relation
- W/o
Plaintiffs Documents
Original application form for loans to micro small & medium enterprises, Original sanction intimation letter of credit facilities, Original request for overdraft facilities, Original agreement-cum-deed of hypothecation, Original cash credit agreement, Original demand promissory note, Sanction memorandum, Original letter of undertaking, Original acknowledgment of debt, Original letter of renewal, Copy of lawyer notice, Original postal receipt, Acknowledgment of lawyer notice by 1st defendant.
Defendants Documents
Advocates
- Party Role
- Plaintiff
- Advocate Name
- T.J Roy
- Appearance Type
- Main Counsel
- Party Role
- Plaintiff
- Advocate Name
- A.T. Raju
- Appearance Type
- Main Counsel
Reliefs
Relief Type:
Recovery
Outcome:
Granted
Description:
Defendants are directed to pay the outstanding amount to the plaintiff.
Evidence:
Accordingly, the suit is decreed directing the defendants to pay the outstanding amount.
Relief Type:
Interest
Outcome:
Granted
Description:
Plaintiff will be entitled for interest at the rate of 6% per annum.
Evidence:
The plaintiff will be entitled for an interest at the rate of 6% per annum from the date of the suit till realisation of the decree.
Relief Type:
Costs
Outcome:
Granted
Description:
Plaintiff will be entitled for costs of the suit.
Evidence:
The plaintiff will be entitled for costs of the suit.
Documents & Evidence
Document Type:
Original application form for loan to Micro Small and Medium Enterprises
Submitted By:
Plaintiff
Relevance:
Submitted as evidence of the application for the loan.
Reference:
Ext.A1
Document Type:
Original Sanction intimation letter of Credit facilities
Submitted By:
Plaintiff
Relevance:
Indicates the approval of credit facilities to the defendants.
Reference:
Ext.A2
Document Type:
Original Request for Overdraft Facilities
Submitted By:
Plaintiff
Relevance:
Details the defendants' request for overdraft from the plaintiff bank.
Reference:
Ext.A3
Document Type:
Original agreement cum deed of Hypothecation
Submitted By:
Plaintiff
Relevance:
Legal document evidencing the terms of the hypothecation.
Reference:
Ext.A4
Document Type:
Original Cash Credit Agreement
Submitted By:
Plaintiff
Relevance:
Acknowledges the cash credit agreement executed by the defendants.
Reference:
Ext.A5
Document Type:
Original Demand Promissory Note
Submitted By:
Plaintiff
Relevance:
Shows the promissory note executed by the second defendant.
Reference:
Ext.A6
Document Type:
Sanction Memorandum
Submitted By:
Plaintiff
Relevance:
Document issued by the plaintiff detailing the loan sanction.
Reference:
Ext.A7
Document Type:
Original letter of undertaking
Submitted By:
Plaintiff
Relevance:
A letter from the defendants outlining their understanding of the loan terms.
Reference:
Ext.A8
Document Type:
Original acknowledgment of Debt
Submitted By:
Plaintiff
Relevance:
Evidence of the defendants acknowledging their debt to the plaintiff.
Reference:
Ext.A9
Document Type:
Original Letter of renewal
Submitted By:
Plaintiff
Relevance:
Renewal of the loan agreement by the defendants.
Reference:
Ext.A10
Document Type:
Copy of Lawyer Notice
Submitted By:
Plaintiff
Relevance:
Notice sent to defendants regarding their loan default.
Reference:
Ext.A11
Document Type:
Original postal receipts
Submitted By:
Plaintiff
Relevance:
Receipt evidencing the dispatch of lawyer notice.
Reference:
Ext.A12
Document Type:
Acknowledgment of lawyer notice
Submitted By:
Plaintiff
Relevance:
Acknowledgment of receipt of notice by the first defendant.
Reference:
Ext.A13
Document Type:
Original notice returned
Submitted By:
Plaintiff
Relevance:
Document showing the notice returned by the second defendant.
Reference:
Ext.A14
Document Type:
Online print out of Statement of accounts
Submitted By:
Plaintiff
Relevance:
Statement of accounts showing defendants' loan details.
Reference:
Ext.A15
Case Classification
Case Type
Commercial Suit
Category
Money and Loan Recovery
District
Kozhikode
State
Kerala
Court Establishment
Commercial Court Kozhikode
Common Reasons
Non-payment of rent
Case Code
Case between The Canara Bank Thamarassery Branch vs M/s. Mella Food Products et al regarding realisation of amount from the defendants.
Case Code Year
Case between The Canara Bank Thamarassery Branch vs M/s. Mella Food Products et al regarding realisation of amount from the defendants.