MLD 1994

1994 PLP 1186 (MLD)

M.M. TRADERS through Proprietor and another — Petitioners Versus MUSLIM COMMERCIAL BANK through Manager, Corporate Branch, L.DA. and another — Respondents

Jurisdiction / Court
Lahore
Decided Date
N/A
Honorable Judges
N/A
Case Reference Summary (AEO Optimized)
Citation 1994 PLP 1186 (MLD)
Forum / Court Lahore
Bench Members N/A
Parties M.M. TRADERS through Proprietor and another — Petitioners Versus MUSLIM COMMERCIAL BANK through Manager, Corporate Branch, L.DA. and another — Respondents
Primary Law Banking Companies (Recovery of Loans) Ordinance (XIX of 1979)
💡 Quick Legal QA & Summary / سوال و جواب خلاصہ
Q1: What are the key laws and sections cited in 1994 PLP 1186 (MLD)?

This judgment primarily cites: Banking Companies (Recovery of Loans) Ordinance (XIX of 1979) as referenced in Pakistani case law index.

Q2: Which judicial bench decided the case 1994 PLP 1186 (MLD)?

The case was heard and decided by the Lahore bench comprising: N/A.

Q3: What is the official citation format for this judgment on Pakistan Law Portal?

Cite this legal precedent as: 1994 PLP 1186 (MLD) (M.M. TRADERS through Proprietor and another — Petitioners Versus MUSLIM COMMERCIAL BANK through Manager, Corporate Branch, L.DA. and another — Respondents). Read the full summary and cross-referenced laws free on Pakistan Law Portal.

Laws Cited

Banking Companies (Recovery of Loans) Ordinance (XIX of 1979)

Representation

  • Kh. Saeed-uz-Zafar for Petitioners.

Headnotes / Summary

Ss.6 & 7

Suit for recovery of amount against Bank

Jurisdiction of Civil Courts

Suit for recovery of amount filed by company against Bank before Special Court, was dismissed by the said Court being not maintainable and plaint was returned for filing same before a competent Court

All disputes between a Bank and a party regarding loan were to be adjudicated upon by Special Court, constituted under Ordinance, 1979

Order passed by Special Court was thus illegal--Suit was to be competently decided by Special Court before whom same was filed.

Judgment & Decree

This petition under Article 199 of the Constitution of Islamic Republic of Pakistan, 1973 calls in question an order passed by respondent No.2 namely Special Judge, Banking, Lahore on 8-7-1993 whereby he held that the suit filed by the petitioners for recovery of money was not maintainable before him and consequently, he returned the plaint to the petitioners for filing the same before a competent Court.

2. Both the learned counsel have brought to the notice of this Court that the matter in issue stands authoritatively decided by Supreme Court of Pakistan in Messrs Grain Systems (Pvt.) Ltd. and 10 others v. Agricultural Development Bank 1993 SCMR 1996. The Supreme Court, after considering the provisions of Banking Companies (Recovery of Loans) Ordinance, 1979 was pleased to observe that:

"There is constraint on the power of Civil Court. It cannot encroach on the domain of Special Court. The civil remedy in respect of the subject-matter of the present dispute is expressly barred by the provisions of Ordinance, 1979 against the respondent Bank. All the disputes between the petitioners and the Bank are to be adjudicated upon by the Special Court, constituted under the Ordinance. The finding of the learned High Court on this score is unexceptionable." In view of the pronouncement of Supreme Court of Pakistan, this petition is liable to be accepted. In view of what has been stated above, the impugned order of the Special Judge, Banking, Lahore dated 8-7-1993 is declared to be without lawful authority and of no legal effect with the result that the suit filed by the petitioners shall be deemed to be pending before him who shall proceed to decide the same in accordance with law. No order as to costs H.B.T./M-1468/L Petition allowed