2018 (4) TMI 1613 - HC - Indian Laws

Non-payment of outstanding loan amount - violation of provisions of Section 65B of the Indian Evidence Act 1872 - Held that - A perusal of the trial court record in this case reveals that all the original loan documents have been filed. Principal Officer of the Bank has certified the statement of account. Disbursement of the loan itself is not disputed. Repayment of some instalments is also not disputed. Under such circumstances the Trial Court was in error in dismissing the suit. The Statement of account being a document proved under the Bankers Books Evidence Act there was no requirement to even go into the issue of Section 65B of the Evidence Act. This is the settled position in law. Appeal allowed - decided in favor of appellant.

Summary

Issues Involved:
1. Delay in filing the appeal.
2. Compliance with Section 65B of the Indian Evidence Act, 1872.
3. Admissibility and proof of electronic evidence.
4. Dismissal of the suit by the Trial Court on technical grounds.
5. Re-evaluation of evidence by the Appellate Court.

Issue-wise Detailed Analysis:

1. Delay in filing the appeal:
The court condoned the delay in filing the appeal subject to costs of ?5,000/- to be deposited with the Delhi High Court Legal Services Committee. The application for condonation of delay (CM APPL. 3036/2017) was disposed of accordingly.

2. Compliance with Section 65B of the Indian Evidence Act, 1872:
The Trial Court dismissed the suit filed by the Plaintiff on the grounds of non-compliance with Section 65B of the Evidence Act. The Plaintiff had submitted a certificate under Section 65B, but the Trial Court found defects in it. The Appellate Court, however, noted that the Statement of account, certified under the Bankers’ Books Evidence Act, should have been sufficient and that the Trial Court took an over-technical approach. The Appellate Court referred to the Supreme Court's judgment in Anvar P.V. v. P.K. Basheer, which outlines the conditions for admissibility of electronic records under Section 65B.

3. Admissibility and proof of electronic evidence:
The Appellate Court emphasized that electronic records, if accompanied by a certificate under Section 65B, are admissible. The court cited the case of ICICI Bank Ltd. v. Kamini Sharma, explaining that printouts of electronic documents, when certified, should be considered valid unless there is evidence of tampering or forgery. The court also referred to Shafhi Mohammad v. State of Himachal Pradesh, where the Supreme Court held that the requirement of a Section 65B certificate is procedural and can be relaxed in the interest of justice.

4. Dismissal of the suit by the Trial Court on technical grounds:
The Appellate Court found that the Trial Court erred in dismissing the suit based on technical defects in the Section 65B certificate. The Authorized Representative of the Bank had signed both the affidavit and the Section 65B certificate, and the Statement of account was certified under the Bankers’ Books Evidence Act. The Appellate Court held that the Trial Court’s dismissal was unjustified, especially since the loan disbursement and partial repayment were undisputed.

5. Re-evaluation of evidence by the Appellate Court:
Upon re-evaluation, the Appellate Court noted that the Plaintiff had filed all original loan documents and the Principal Officer of the Bank had certified the statement of account. The court decreed the suit for the outstanding sum of ?6,95,370/- along with pendente lite interest at 8% per annum from the date of filing the suit until realization. The appeal was allowed, and the impugned judgment of the Trial Court was set aside.

Conclusion:
The Appellate Court allowed the appeal, setting aside the Trial Court's judgment. It decreed the suit for the outstanding amount and interest, emphasizing the proper application of Section 65B of the Evidence Act and the admissibility of electronic evidence. The court highlighted the importance of a pragmatic approach in dealing with electronic documents, ensuring justice is not denied due to procedural technicalities.