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Petitioner: CHARTERED BANK VS Respondent: TIMBER HOUSEHonorable Justice MUHAMMAD ASADULLAHMian Munawar Hussain
1988 C L C 1942
1988 C L C 1942
[Lahore]
Before Abaid Ullah Khan and Muhammad Asadullah, JJ
THE CHARTERED BANK‑‑Appellant
versus
THE TIMBER HOUSE and 5 others‑‑Respondents
Regular First Appeal No. 207 of 1984, decided on 27th "larch, 1988.
Civil Procedure Code (V of 1908)‑‑
‑‑‑S. 34‑B‑‑Interest‑‑Future interest has to be allowed as a matter of right under S.34‑B but granting of interest pendente lite is not mandatory and as such is a discretionary matter‑‑Impugned judgment showing that keeping in view the fact that respondents had not seriously contested their liability, Trial Court had refrained from awarding any interest‑‑Interest pendente lite, held, was rightly disallowed but interest from date of decree till realization, being mandatory, could not be withheld‑‑Appeal. partly accepted and decree accordingly modified.
Mian Munawar Hussain for Appellant.
Nemo for Respondents.
Date of hearing: 27th March, 1988.
JUDGMENT MUHAMMAD ASADULLAH, J.‑‑The appellant bank filed a suit for recovery of Rs.94,039.30 with interest at the rate of 10$ per annum with quarterly rest upto the date of full and final payment. The suit was contested by respondents Nos. 1 and 2 while the remaining respondents were proceeded ex parte. After framing the issues, recording evidence and hearing the arguments the learned Civil Judge, First Class, Lahore, decreed the suit for the recovery of the said amount with costs in favour of the appellant. However, no interest pendente lite or future interest till realisation was allowed. The present appeal has been filed by the appellant‑decree holder for award of the said interest. None has appeared for the respondents although they were informed of today s date through registered post cards. We have perused the record and have heard the learned counsel for the appellant.
2. So far as the future interest is concerned the same has to be allowed as a matter of right under section 34‑B of the Code of Civil Procedure, 1908. However, granting of interest pendente lite is not mandatory and as such is a discretionary matter. The learned trial Court did not find the appellant entitled to the said interest keeping in view all the circumstances of the case. The impugned judgment of the learned trial Court shows that the case was not seriously contested by the respondents. They admitted the opening of the accounts and A also admitted the execution of the relevant documents. Keeping this conduct of the respondents in view the learned trial Court refrained from awarding any interest. We agree with the learned trial Court so far as the interest pendente lite is concerned. However, as already said the interest from the date of decree till realization being mandatory
3. Accordingly, the appeal is partly accepted. The impugned decree is partly modified. The decree will now be for recovery of the amount in suit, with interest from the date of decree of the learned trial Court, till realization, at .the rate of 10$ per annum with quarterly rests. The appeal in regard to the interest pendente lite is dismissed. For partial success of the appeal the appellant is left to dear its own costs of this Court. S.Q./C‑18/L Appeal partly accepted.