Cholamandalam Investment And Finance Company Ltd v. Mr.Srinivasan P
A.No.892 of 2019 PUSHPA SATHYANARAYANA.J.
This application is filed seeking an order prohibiting the garnishee, from making payment upto a limit of Rs.4,15,465.25, to the respondent by withholding the salary of respondent every month to the extent as contemplated in Section 60 of C.P.C. Viz., after deducting the first Rs.1000/- of the salary of the respondent and withholding 1/3rd of the remainder salary and restrain the respondent from receiving the salary amount so withheld from the Garnishee and further direct the Garnishee to deposit the amount of salary so withheld every month to the credit of the above application pending disposal of the arbitration proceedings between the applicant and the respondent and till enforcement of the award.
2. The first respondent had availed a finance facility under loan agreement No.XVFPTYV00002004670 dated 31.05.2017 for a sum of Rs.4,07,000/- for purchase of vehicle. The principal amount of Rs.4,07,000/- carries finance charges of Rs.98,085/-, repayable in 35 monthly instalments, the first instalment being dated 28.06.2017 and last instalment being dated 28.04.2020. It is stated that as of 21.01.2019, a sum of Rs.4,15,465.25, is due and payable by the respondent. The learned counsel for the applicant would submit that proceedings for arbitration have been initiated and are pending in Arbitration Case.
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PUSHPA SATHYANARAYA.J drl 3.
Though notices were served on the respondents and affidavit of service is also filed to that effect enclosing acknowledgement cards. Though the names of the respondents are printed in the cause list, there is no representation for them either in person or through counsel. Hence, the service to the respondent is deemed sufficient. 4.
It is seen that the application is based on loan agreement dated 31.05.2017 for availment of a loan of an amount of Rs.4,07,000/-. As on 21.01.2019, the respondent is liable to pay a sum of Rs.4,15,465.25.
5.
In the above circumstances, this Court is inclined to grant an order prohibiting the garnishee from making payment as prayed for.
6. Accordingly, this application is ordered and the garnishee is prohibited from making the payment upto a limit of Rs.4,15,465.25, to the respondent as prayed for in the application. The Garnishee is directed to deposit the amount of salary so withheld every month to the credit of the above application pending completion of arbitration proceeding. The disbursal thereof shall be subject to the conclusion of the proceedings for arbitration.
7. Needless to say, as and when an award is passed, the parties shall be at liberty to proceed as per law.
drl 12.09.2019 http://www.judis.nic.in Note to office: Applicant is permitted to communicate this order to the respondents A.No.892 of 2019