KERALA FINANCIAL CORP. vs C.G.NARAYANAN

The Supreme Court dismissed the special leave petition filed by Kerala Financial Corporation challenging the concurrent findings of lower courts regarding the enhancement of interest rate on a loan. The courts below relied on the precedent set in P.J. Mathew v. Kerala Financial Corporation, which established that the Corporation could not charge an interest rate exceeding 5.5% per annum. The Court held that there was no reason to interfere with the lower courts' decisions, affirming the legal principle that contractual terms must be adhered to as per the original agreement.