Case Title: Union Bank of India Vs. Shashi Malik Case No.: RFA(COMM) 30/2023 Date of Order: 15 May 2025) Court: High Court of Delhi Judges: Hon'ble Mr. Justice C. Hari Shankar and Hon'ble Mr. Justice Ajay Digpaul Neutral Citation: 2025:DHC:3865-DB
The Union Bank of India filed a suit against Shashi Malik for recovery of approximately ₹11,19,609.70 on account of a loan under the Pradhan Mantri Loan Scheme. The bank attempted service at two addresses but received back reports stating "no such person at the address," indicating that Shashi Malik was allegedly unserved and possibly non-existent.
Procedural Details:
The trial court dismissed the suit under Order V Rule 20 of the CPC, holding that the defendant’s residence could not be established at the given addresses and accused the bank of misuse of court process. The bank appealed against this order, challenging the dismissal.
Issue:
Whether the defendant, Shashi Malik, was genuinely present at the addresses provided, which would justify substituted service, and whether the suit against a non-existent person was valid.
Decision:
The High Court set aside the order of the trial court, noting the error in its conclusion regarding the defendant’s residence. The Court remanded the matter back to the Commercial Court for reconsideration, emphasizing the need for correct record examination. The Court also highlighted procedural lapses, such as the defective certified copy of the impugned order, and ordered that future procedures be taken with greater caution.
