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October 19, 2001 Friday Shaba'an 1, 1422


KARACHI: SHC rejects automobile firm’s application



By Our Reporter


KARACHI, Oct 18: The Sindh High Court dismissed on Thursday the application of Mehran Motors under section 151 of CPC seeking orders of the court to prevent Daewoo Motors from remitting money out of Pakistan.

A division bench, comprising Chief Justice of the Sindh High Court, Justice Saiyed Saeed Ashhad, and Justice Musheer Alam, held that the matter, including execution and the appeal, had become infractuous.

Sikandar Karim of Mehran Motor Company Limited had filed the appeal against a consent decree issued by Justice Shabbir Ahmed of the SHC in favour of the plaintiff, Daewoo Motor Corporation, seeking stay of execution proceedings.

Maqbool Baqar, counsel for the appellant, maintained that the decree was obtained by decree holders by misrepresenting facts.

When the matter came up on Thursday, he contended that four different applications, under section 12 (2) of CPC, were pending, therefore the appeal was still alive.

It was his contention that the parties had entered into a compromise, and it was mandatory upon the court to accept the same.

Not agreeing with his contention, the Chief Justice, however, overruled his contention, and said a compromise became effective only when it was accepted by a court.

The counsel for the appellant, citing a number of case laws, prayed the court to stay the execution and restrain the official assignee from releasing money to the decree holder.

The decree holders had agreed that unless all the judicial matters were disposed of, money would not be released, he contended. Now if their application for the release of money was accepted, then all the four applications moved by judgment debtor under, section 12 (2) of PPC, would become infractuous, he said.

The chief justice observed that the appellant should seek a stay in such a case.

Abdul Hafeez Pirzada, counsel for plaintiff/decree holder Daewoo Motor Corporation, submitted that only a part of the decree remained to be executed. He said Mehran Motor Company had paid 22 million dollars which were remitted.






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