Establishment of Banking Court

Section 9(1) stipulates the term 'Branch Manager', which, when read in conjunction with S. 2(a), implies that the suit is to be filed by the aforementioned Branch Manager in accordance with Ss. 9(2) & 9(3)

Suit should demonstrate the amount availed by the defendant, the amount paid by the defendant to the financial institution, and other finance-related amounts payable by the defendant

If the wording of S. 9 is read in conjunction with S. 5, it becomes clear that the Banking Court is established to exercise its jurisdiction under the Financial Institutions (Recovery of Finances) Ordinance, 2001.

Financial Institutions (Recovery of Finances) Ordinance, 2001 is promulgated with an aim to streamline and expedite financial disputes between a financial institution and its customers

Separate independent forum of Banking Court is established under the Ordinance to achieve the goal of speedy decisions and a mechanism was devised wherein traditional extensive course of litigation was curtailed to a composite summary procedure to ensure adjudication in expeditious manner but at the same time safeguarding and securing rights of the parties and that is why Banking Court defined under S. 2(b) and established under S. 5 of the Ordinance is simultaneously vested with powers of a Civil Court under the Code of Civil Procedure, 1908 and powers of a Court of Session under the Code of Criminal Procedure, 1898 as per S. 7 of the Ordinance.

Chief Judge, Chief Court, nominated a Judge of Chief Court, to act as Banking Judge to take cognizance of all Banking cases, exceeding amount of Rs.50 million, under the provisions of Banking Companies (Recovery of Loans, Advances, Credits and Finances) Act, 1997 [since repealed]

Petitioner challenged said order as totally illegal, unlawful and void ab initio in the eyes of law

Contention of the petitioner was that Judge, Banking Court had not been appointed by the Government of Gilgit-Baltistan being competent authority in terms of subsection (4) of S.5 of the Financial Institutions (Recovery of Finances) Ordinance, 2001, read with S.2 of the Financial Institutions (Recovery of Finances) Adaptation and Enforcement Order, 2001

Submission of counsel for respondent was, that the Government of Gilgit-Baltistan, being the competent authority, after consultation with the Chief Judge, Chief Court had established the Banking Court in terms of subsections (1), (2) of S. 5 of the Financial Institutions (Recovery of Finances) Adaptation and Enforcement Order, 2001, which was lawful and in accordance with law and procedure

No illegality and infirmity had been pointed out by the counsel for the petitioner in the impugned judgment passed by the Chief Court

Case-law cited by counsel for respondent Bank, was applicable; whereas case-law cited by the counsel for the petitioner, was distinguishable

Petition for leave to appeal was converted into appeal by the Supreme Appellate Court, and was dismissed being meritless having no substance

Impugned judgment passed in writ petition by Chief Court was maintained, in circumstances.