TaxTMI 
TaxTMI 
2022 (9) TMI 1378
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....llary products. The defendant is also a company incorporated under the Companies Act, 1956. The defendant is engaged in the business, inter alia, of Builders and Developers. (b) Pursuant to the request of the defendant, the plaintiff claims to have advanced a sum of Rs.2,85,00,000/- to the defendant during the period of 7th February, 2011 to 2^nd December, 2014. The defendant has agreed to repay the sum on demand along with interest at the rate of 12% p.a. The defendant did pay interest at the rate of 12% p.a. and deducted tax at source (TDS) from the interest component paid to the plaintiff. TDS was duly reflected in Form No.26-AS while submitting returns to the Income Tax Authorities. The defendant has repaid a sum of Rs.50,00,00....
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....summons has been duly served on the defendant. 4. Defendant has not entered appearance. 5. In view of the failure on the part of the defendant to enter appearance, within 10 days of the service of writ of summons, in accordance with the provisions contained in Order XXXVII Rule 2(3) of the Code of Civil Procedure, 1908 ("the Code"), the averments in the plaint are required to be presumed to be admitted, and the plaintiff becomes entitled for a decree. Nonetheless I have considered the applicability of the provisions contained in Order XXXVII of the Code and the justifiability of the claim of the plaintiff. 6. The plaintiff has tendered an affidavit of Mr. Chandrashekhar N. Trivedi (PW-1) and an additional affidavit of the said witn....
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....inancial facility. 9. The plaintiff's claim that the defendant had repaid a sum of Rs.50,00,000/- towards the principal amount, on 10th May, 2013, is also reflected in the account extract of the plaintiff maintained with Bank of Baroda, Malad (West) Branch. It seems that on 8th May, 2013, an amount of Rs.50,00,000/- came to be credited to the account of the plaintiff through banking channels. 10. As regards the component towards which various amounts were paid by the defendant to the plaintiff, as shown in paragraph 3 of the reply dated 4th February, 2022, Mr. Kedia, the learned Counsel for the plaintiff banked upon the extract of the TDS Certificate (Exhibit-P1/4) which indicates that the said amount was paid towards interest and the....
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....ection 18 of the Limitation Act. 12. Reliance was also placed on a judgment of the Supreme Court in the case of Asset Reconstruction Company (India) Ltd. Vs. Bishal Jaiswal and Another (2021) 6 Supreme Court Cases 366. In the said case, the Supreme Court after adverting to previous pronouncements and the provisions contained in the Companies Act enunciated that several judgments of the Supreme Court have indicated that an entry made in the Books of Account including the balancesheet, amounts to an acknowledgment of liability within the meaning of Section 18 of the Limitation Act. 13. In the case at hand, the balance-sheets for the Financial Year 2015 - 2016, 2016 - 2017 and 2017 - 2018 clearly record the amount due and payable to the ....