' JAWWAD S. KHAWAJA, J.---This appeal impugns the judgment and decree, dated 7-9-1999 passed by the learned Banking Court. Faisalabad, against the appellant on a suit filed by the respondent-Bank. Learned counsel for the appellant/defendant states that the appellant obtained a loan of Rs,1,32,608. This amount was payable in instalments of Rs,3,200 per month. According to the appellant. He paid a sum of Rs,1,27,618 from time to time. This payment is not disputed by the respondent-Bank. It is, however, contended that the appellant was not regular in payment of instalments and, as such, the respondent-Bank was entitled to accrue mark-up and other charges as reflected in the statement of account.
2. Learned counsel contends that the respondent-Bank issued an incentive scheme, dated 12-10- 1998 which, inter alia, stipulated that if defaulting borrowers pay 100% of the principal amount then due within a period of 60 days, the mark-up shall be waived by the respondent-Bank. Learned counsel for the appellant states that a sum of Rs,5,000 was paid on 12-11-1998 and, as such, a total amount of Rs,1,32,618 in aggregate was paid to the Bank which was more than the loan amount. On this basis, it is argued the appellant stood absolved of all liability.
3. The aforesaid submission is disputed by counsel for the Bank. He contends that out of the sum of Rs,1,27,618 earlier paid by the appellant, an amount in excess of Rs,90,000 was adjusted towards the principal while the balance was adjusted towards the mark-up. In this way, the payment of Rs,5,000 by the appellant on 12-11-1998 did not result in payment of the entire principal amount. This contention appears to be correct.
4. On this basis, learned counsel for the Bank contends, a sum of Rs,81,688 as decreed together with law charges in excess of Rs,40,000 was due and payable by the appellant. Although this appears to be the correct position, we note that the appellant bona fide was under the impression that payment of Rs,5,000 on 12-12-1998, coupled with the earlier payment of Rs, 1,27,618, resulted in payment of the entire principal amount. We also note that a sum of Rs, 42,963 has been deposited by the appellant with the Bank pursuant to an order passed in this appeal.
5. Taking into account the above submissions and the bona fides of the appellant, we order that subject to payment of Rs, 30,000 as legal charges of the respondent-Bank within a period of 60 days from today, the appellant shall stand absolved of all liability under the impugned judgment and decree, dated 7-9-1999. If, however, the appellant fails to make payment of the said sum of Rs,30,000 within the stipulated time of 60 days, the appellant shall be liable to pay the entire decretal debt. This appeal is disposed of in the above terms.