INDUSTRIAL DEVELOPMENT BANK OF PAKISTAN LTD. vs BLUE STAR HOTEL (PVT.)
This matter concerns a petition for leave to appeal against a judgment of the Lahore High Court, Rawalpindi Bench, involving the interpretation of a financial relief package. The core legal questions revolve around whether the High Court misconstrued the terms and conditions of Circular No. 19 issued by the State Bank of Pakistan, and whether the Court possessed the authority to amend, extend, or modify the stipulated periods or terms set forth in said circular. Furthermore, the Court must determine if relief could be granted under a circular that had already expired, and whether such a circular could legally modify or alter a final decree for a specific sum passed by a Banking Court. The Supreme Court, upon preliminary review, granted leave to appeal, noting that the issues raised regarding the scope of judicial intervention in banking circulars and the finality of decrees required further examination. Consequently, the Court suspended the operation of the impugned judgment pending the final disposal of the appeal, emphasizing the necessity of strictly adhering to the terms of financial circulars.
- Can a High Court amend or extend the stipulated periods mentioned in a State Bank of Pakistan circular?
- Can relief be granted under a State Bank of Pakistan circular after the circular has expired and is no longer in existence?
- Can a State Bank of Pakistan circular modify or change a final decree passed by a Banking Court?
ORDER
1. ' Heard Khawaja Muhammad Farooq, learned Senior Advocate Supreme Court on behalf of petitioner, Malik Shahzad Ahmed, learned Advocate Supreme Court for respondent, scanned the entire record with their eminent assistance and perused the judgment impugned with care and caution. We are inclined to grant leave, inter alia, on the following points:--
(i) Whether the terms and conditions as - enumerated in Circular No,19 issued by the State -Bank of Pakistan have been misinterpreted and misconstrued by the learned Division Bench of the Lahore High Court, Rawalpindi Bench? '
(ii) Whether any amendment, deletion, insertion, addition or extension in the stipulated period mentioned in Circular No,19 issued by the State Bank of Pakistan could have been made by the learned Division Bench?
(iii) Whether the package dated 15-2-1999 was given to the respondents pursuant to Circular No,19 issued by the State Bank of Pakistan and any further relief under the said circular could have been given by the learned Division Bench after the expiry of the circular when it was no more in existence?
(iv) Whether Circular No,19 issued by the State Bank of Pakistan could have changed or modified the decree passed in tune of Rs,79,06,785.87 on 12-4-2001 by the learned Judge Banking Court vide judgment/ decree dated 24-11-1998, which had attained finality?
2. ' This appeal may be fixed at some early date and till disposal of this appeal operation of the judgment impugned shall remain suspended.