Authority: High Court of Gujarat at Ahmedabad

Order Date: 04/08/2026

Case Overview

  • Petition: Special Civil Application No.1355 of 2024 filed by M/s Haresh Cotton & Ors. against State of Gujarat through Deputy Secretary (Appeals) & Ors., with Respondent No.2 Bank also involved.
  • Guarantor: Mr. Parimal Vrajlal Bagadia, Proprietor of M/s Ramniklal Vrajlal and Company, appeared in court, identified by Advocate Mr. Harshil C. Dattani.
  • Facts disclosed: Shri Sureshbhai Vrajlal Bagadiya, Proprietor of the petitioner firm, and his wife Manjulaben Sureshbhai Bagadia have passed away. Mr. Parimal Vrajlal Bagadia, as guarantor of the loan, has taken over responsibility for repayment.
  • Relief sought: Reduction of the interest rate payable by the petitioner from 16% to 10% and waiver of legal fees charged by the bank.
  • Bank’s position (Advocate Mr. Dipan Desai): Agreed to reduce the simple interest rate to 10% and to waive all legal expenses.
  • Undertaking: The guarantor committed to clear the outstanding dues no later than 31 January 2027, as per the demand notice issued by the bank.

Final Outcome

  • The petitioner’s counsel, on instructions from the guarantor, sought permission to withdraw the petition.
  • The Court granted the withdrawal; the petition stands disposed of as withdrawn, the notice is discharged, and no order as to costs was made.

Topics: Loan Interest Reduction, Guarantor Liability