C.K.Sasankan vs Dhanalakshmi Bank Ltd

The Supreme Court upheld the judgments of the lower courts regarding the grant of interest on a debt under Section 34 of the Code of Civil Procedure, affirming that the interest rate of 25% per annum from the date of filing the suit until judgment and 19.4% thereafter was justified given the appellants' failure to repay the overdraft facility. The Court clarified that while Section 34 allows for reasonable interest, the rates set by the lower courts were not found to be exorbitant in this case. Consequently, the appeal was dismissed, confirming the debt amount of Rs. 28,50,707.03 plus interest as decreed by the Debt Recovery Tribunal.