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Judgment
V.N. Khare J.-Leave granted.
The plaintiff-respondents herein filed a suit with leave under clause XII of the Letters Patent before the High Court of Calcutta on its original side for recovery of Rs. 87, 20, 000 from the defendant-appellant herein. In the said suit, the plaintiff-respondents moved an application under Chapter XIII-A of the Rules for summary disposal of the suit. The appellant filed a petition for revocation of leave. The appellant took an objection that the Court has no jurisdiction to entertain and decide the matter. The High Court in its original side held that the question relating to jurisdiction shall be decided at the hearing of the suit. However, the High Court directed the appellant to furnish security for a sum of Rs. 55 lakhs by way of bank guarantee failing which there will be a decree for the principal amount of Rs. 55 lakhs. It is against the said order, the defendant-appellant is in appeal before us.
Heard counsel for the parties. We are of the view that the question regarding the jurisdiction of the Court was required to be decided as a preliminary issue. We, therefore, set aside the order under challenge and send the case back to the High Court to decide the question of jurisdiction of the Court as a preliminary issue. The order passed by the High Court directing the defendant-appellant to furnish security for a sum of Rs. 55 lakhs by way of bank guarantee shall remain suspended till the said question pertaining to jurisdiction of the Court is decided by the High Court. In case it is held by the High Court that the Court has jurisdiction, the direction to furnish security for a sum of Rs. 55 lakhs shall come into operation.
The appeal is disposed of in the aforesaid terms. There shall be no order as to costs.