PETITIONER:
NATIONAL TEXTILE CORPORATION (U.P.)LTD. ETC.
Vs.
RESPONDENT:
SWADESHI COTTON MILLS CO. LTD. &ORS. ETC.
DATE OF JUDGMENT: 23/10/1996
BENCH:
K. RAMASWAMY, G.B. PATTANAIK
ACT
HEADNOTE
JUDGMENT
ORDER
Delay condoned.
Leave granted.
We have heard learned counsel on both sides.
These appeals by special leave arise from the orders passed by the Division Bench of the Allahabad High Court dated May 14, 1996. It is not necessary to traverse the entire controversy. Suffice it to state that pursuant to the orders passed by this Court on July 13, 1987, the appellants have been depositing @ Rs. 25,000/- p.m. on and before 10th of every month from that date. This was further clarified by the order of this Court dated July 12, 1988 wherein this Court has stated that :
"We direct further that as regards
the terms of the Order dated 13th
July 1987 made by this Court
directing the petitioner to deposit
a sum of Rs. 25,000/- per month,
the petitioner shall make such
deposit in a schedule bank to the
credit of an interest earning
account opened in the name of the
first respondent but it will not be
open to the first respondent to
withdraw any amount from such
account without the prior order of
the Court."
When a clarification was sought for, this Court by order dated October 7,1996 clarified in I.A. No. 3/96 as under :
"It is clarified that the amount of
Rs. 25,000/- which is required to
be deposited by the petitioner in
pursuance of the directions
contained in the order dated July
13, 1987 and July 12, 1988 was not
meant to be the rent for the part
of the premises in the occupation
of the petitioner and that the said
amount is to be adjusted as per the
final order that is passed in the
proceedings arising out of the
suit."
In view of the direction issued by this Court, the respondent would be entitled to withdraw the amount from the account with the permission of the orders of the Court but such withdrawal would be subject to adjustment as per the final order that may be passed by the Civil Court in the pending suit. the High Court in the impugned order has directed the respondent to withdraw the amount on furnishing bank guarantee as indicated in the order as under :
"Respondent No.11 to 14 shall be
allowed to withdraw the amount
deposited by the plaintiff-
appellant in terms of the orders
passed by Hon’ble Supreme Court on
13.7.1987 and 12.7.1988 after they
furnish a bank guarantee to the
extent of the amount lying in
deposit and an additional guarantee
to the extent of 10% of the
aforesaid amount. The bank
guarantee shall be of a
nationalised bank will be furnished
to the satisfaction of Civil Judge,
Kanpur Nagar. The order for
acceptance of bank guarantee shall
be passed after giving an
opportunity of hearing to the
plaintiff-appellant."
Such withdrawal, as clarified by this Court, will be subject to the result in the appeal and subject to the adjustment as per the orders of the civil Court in the pending suit. In the even of the appellant succeeding in the appeal arising out of the suit orders passed by the Civil Court, the withdrawal will be subject to the orders that may be passed therein.
The appeals are accordingly disposed of. No. costs.