' JAWWAD S. KHAWAJA, J.--This appeal impugns the judgment and decree dated 19-3-2002 passed by the learned Banking Court-III, Lahore. According to learned counsel for the appellants, Messrs Agha Fabrics (Pvt.) Limited appellant No,1/ defendant obtained a bill discounting facility from the respondent Bank in 1994. Learned counsel states that the said facility was duly discharged and no further facility was obtained by the aforesaid appellant. On this basis, it was argued that the suit filed by the respondent Bank on the footing of an alleged cash finance facility of Rs.8,00,000 granted to the appellant No,1 in 1999 was without any legal or contractual basis. To support his contention, learned counsel for the appellants stated that no amount had been disbursed to the appellant No,1 by way of cash finance in 1999.
2. The aforesaid contentions of learned counsel for the appellants were controverted by learned counsel for the respondent-Bank who drew the attention of the Court to the statement of account which shows that disbursements were made to the appellant company. Learned counsel for the bank also referred to a letter dated 17-11-1999 addressed by the Chief Executive of the appellant company to the Chief Manager of the respondent-Bank. In the said letter it has been acknowledged that the appellant company owes money to the respondent-Bank. The Chief Executive of the appellant company has, in the said letter, prayed for time to clear the overdue amounts. Two cheques of Rs.100,000 each, which appear to have been delivered to the Bank prior to the date of the aforesaid letter, have been referred to.
3. When confronted with the aforesaid letter, learned counsel for the appellants did not deny that it was written. He, however, contended that the said letter was issued under duress. The nature of the duress was not mentioned by learned counsel for the appellants nor has it been specified in the application for leave to appear which had been filed by the appellants under section 10(12) of the Financial Institutions (Recovery of Finances) Ordinance 2001. Furthermore, learned counsel for the appellants conceded that no legal proceedings whether civil or criminal had been initiated by the appellants either to complain of the alleged duress or to seek cancellation/ return of the cheques which had been issued in favour of the respondent-Bank.
4. Having considered the respective contentions of learned counsel for the parties and after going through the record of the lower Court including the statement of account and the above referred letter dated 17-11-1999 , we are not in the slightest doubt that the appellant company did avail facility from the respondent-Bank in 1999 which it had failed to repay. The learned Banking Court was justified in holding that the appellants had failed to disclose a serious or bona fide defence in the application filed by them seeking leave to appear and defend. In the circumstances, this appeal is dismissed with costs.