2004 INSC 0765
                                    SUPREME COURT OF INDIA

                                          Shyam Sunder Kejriwal

                                                      Vs.

                                    Bombay Paper Trading Company

                                  S.L.P. (C) No. 11002-11003 of 2003

                                  (B. N. Agarwal and H. K. Sema JJ.)

                                                 29.07.2004

                                                   ORDER

1. Heard learned counsel for the parties.

2. Leave granted.

3. By order dated 10.6.1999, learned Single Judge of the Bombay High Court granted leave
to the defendant to contest claim in a summary suit filed under order 37 of the Code of Civil
Procedure on defendant's depositing the principal amount together with interest @ 21 per
cent per annum from due date till the date of filing of the suit and thereafter simple interest
@ 12 per cent per annum on the principal amount from the date of filing of the suit till the
date of the order. The said order was confirmed in appeal by the Division Bench. Hence this
appeal by grant of special leave.

4. At the time of issuing notice this Court directed that operation of the impugned order
directing the appellant to deposit 100 per cent of the claim shall remain stayed on the
appellants' depositing only the principal amount claimed in the suit within a period of two
weeks, which amount has been duly deposited within time. During the course of arguments,
both the parties agreed that the impugned orders should be modified to the extent that
appellant is required to deposit only principal amount of the claim by way of security for
grant of leave to defend the claim which he has already deposited.

5. For the aforesaid reasons and as agreed to by the parties the appeals are allowed and
impugned orders are modified to the aforesaid extent only. The respondents, however, will
be at liberty to withdraw the amount deposited by the appellant on furnishing security which
need not be either cash or in the form of bank guarantee to the satisfaction of Prothonotary
and senior Master of the High Court.

6. The appeals are disposed of accordingly.

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