J.M. Malik, J.

1. The appellant herein filed a suit under Order 37 CPC and application under Order 40 Rule 1 CPC before Trial Court on 01.12.2006. The appellant/plaintiff advanced a loan in the sum of Rs. 5,60,000/- to the defendant/respondent for purchase of a vehicle in respect of which hypothecation-cum-loan-agreement dated 01.05.2004 was executed. It was agreed that the respondent/defendant would pay off the loan in 35 monthly Installments of Rs. 17,803/- each commencing from 07.06.2004 to 07.03.2007. The appellant herein served legal notice upon the defendant dated 17.11.2006. The defendant did not pay even a single penny towards the above said loan. In the plaint, the plaintiff has averred that the defendant is trying to part with the hypothecated vehicle and is trying to remove the same from the bounds of this city. The plaintiff also moved application under Order 40 Rule 1 CPC for appointment of receiver to take over the possession of the vehicle, namely, Scorpio/DX TC2 Car bearing No. DL-9C G-6822 ex-parte.

2. The Trial Court dismissed the application. It opined that in view of Prahalad Rai Muf v. Sat Narain 2000 RLRN 29, this Court had held that due to delay the m