TMI Blog1991 (8) TMI 68X X X X Extracts X X X X X X X X Extracts X X X X ..... al District Judge, Indore, whereby the learned judge refused to direct the payment of interest to the petitioner. The brief facts of the case are that respondent No. 3, namely, National Textile Corporation, Indore, filed a suit in the court for a declaration and injunction in respect of the income-tax refund of Rs. 1,60,000. Respondent No. 3 also applied for an injunction restraining payment of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t was for the parties to seek an order of the High Court in this matter. Being aggrieved by the impugned order of the trial court, this revision has been filed on the ground that the principal amount having been refunded to the petitioner, the interest must follow the principal amount and the interest must also be paid to the petitioner on the same terms and conditions. It is a case of non-exercis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to the party who has been directed to be paid this amount as principal amount. The learned Additional District Judge was of the view that, since the order of payment has been passed by the High Court, a decision regarding interest should also be passed by the High Court itself As the trial court passed an order on March 24, 1984, that the amount of Rs. 1,60,000 be paid to the petitioner, a miscel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Judge failed to exercise his jurisdiction in this matter. Once the High Court has given a direction that the amount of Rs. 1,60,000 be released to the petitioner on furnishing a bank guarantee, the necessary corollary is that the interest earned on the amount should also follow the principal and the amount of interest may be paid to the petitioner on furnishing a bank guarantee in the like amount ..... X X X X Extracts X X X X X X X X Extracts X X X X
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