High Court Of Madhya Pradesh
A. M. Sapre
RAMESHCHANDRA RATHORE - Appellant
Versus
UNION BANK OF INDIA - Respondents
MISC. APPEAL 994 Of 1999
Decided On : 07/17/2000
Order 9 Rule 13 - Setting aside ex-parte decree - Order 5 Rule 20 - C. P. Code
Fact of the Case:
Defendant No. 2 sought to set aside an ex-parte decree in a civil suit filed by the plaintiff-Bank. The trial judge refused to set aside the decree, leading to this appeal.
Finding of the Court:
The trial judge's decision to refuse setting aside the ex-parte decree was upheld by the court, as the service by way of publication was deemed to be valid under Order 5 Rule 20(2) of the Civil Procedure Code.
Issues: The main issue was whether the service by way of publication on the defendant No. 2 was valid and sufficient to proceed ex-parte against him.
Ratio Decidendi: The court held that once the defendants were served by way of publication, the provisions of Order 5 Rule 20(2) of the Civil Procedure Code would apply, deeming it to be a valid service on the defendant.
Final Decision: The appeal was dismissed, and the trial judge's decision to refuse setting aside the ex-parte decree was upheld.
( 1 ) DEFENDANT No. 2 who was suffered ex-parte decree in a civil suit filed by plaintiff-Bank (respondent No. 1 herein)wanted to get rid of the same by making an application under Order 9, Rule 13 of C. P. Code. However the learned trial Judge refused to set-aside the said ex-parte decree by impugned order and hence this appeal. The impugned order is dated 24. 9. 1999 passed in m. J. C. No. 58/99 by District Judge, Indore.
( 2 ) RESPONDENT No.- 1 Bank filed a suit being C. S. No. 36b/89 against the appellant (defendant No. 2) and other respondents (defendant Nos. 1, 3, 4, 5, 6, 7) for recovery of rs. 1,17,000/ -. This suit resulted in passing a decree on 23. 6. 1990 in favour of plaintiff and against all the defendants. So far as defendant no. 2 and defendant No. 1 (Since dead) and now represented by his legal representatives were proceeded ex-parte. In other words these 2 defendants suffered ex-parte decree.
( 3 ) THIS gave rise to an application made by the appellant (defendant No. 2) under Order 9, Rule 13 of C. P. Code on 22. 11. 1993 being M. J. C. No. 58/99 out of which this appeal arises. This application was essentially founded on the allegations that defendant No. 2 was not served with the summons of plaint. It was alleged that service effected on him by way of publication on 4. 2. 1990 was not a valid service nor, there was any occasion to get him served by way of publication. It was alleged that he was not aware of any publication as he never came across of the said publication notice. It was then alleged that he came to know only when warrant of attachment was served on him on 16. 11. 1993 and, therefore, the present application was made for setting aside of the said ex-parte decree.
( 4 ) THE plaintiff-Bank contested this application. It was alleged that defendant No. 2 (i. e. applicant) had stood as guarantor for the defendant No. 1 who had taken loan as principal borrower. Several efforts were made to serve these 2 defendants by sending summons after summons but they avoided the service and hence eventually the Court on an application made under Order 5, Rule 20 directed substituted service to be effected by way of publication on these two defendants. Accordingly publication was done on 4. 2. 2000 in daily newspaper having circulation in Indore where these two defendants had last resided for their appearance on 19. 2. 1990. It was alleged that on this date (19. 2. 1990) both the defendants remained absent and hence the Court proceeded ex-parte against them. It was alleged that thereafter evidence of plaintiff and their witnesses was recorded and then decree was passed. It was alleged that both the defendants who are principal borrower and guarantor are simply avoiding their liability by resorting to delaying methods and hence also the decree be not set-aside and be upheld having been passed in accordance with law.
( 5 ) PARTIES then went to trial in the sense that they led evidence in support of their stand. By impugned order the trial Judge dismissed the application. It was held that there is no cause much less sufficient one made out for setting aside the decree. It is this order which is impugned in this appeal by defendant No. 2 only. In other words, the decree insofar as other defendants are concerned has become final.
( 6 ) HEARD Mr. Rajindra Gupta learned counsel for the appellant and Mr. R. S. Sanghi learned Counsel for respondent No. 1.
( 7 ) LEARNED Counsel for the appellant (defendant No. 2) while attacking the impugned order mainly reiterated the same grounds which were made basis in the application.
( 8 ) ACCORDING to learned Counsel, his client was not served either personally or otherwise so as to entitle him to contest the suit. In his submission, the publication was not proper and that it should not have been resorted to for effecting service on the defendant No. 2. He prayed for setting aside of ex-parte decree against the defendant No. 2.
( 9 ) LEARNED Counsel for the responden
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