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Judgment
S.P. Bharucha, Y.K. Sabharwal and Ruma Pal, JJ.—The respondents have been served but have not chosen to put in an appearance.
The order under challenge permitted the respondents to withdraw 50% of the amount that the Appellant-Insurance Company has deposited in the High Court at the admission stage. The notice that was issued upon the SLP stated that the matter might be disposed of at this stage by an order permitting withdrawal of 50% of the amount deposited only if the respondents furnish a bank guarantee of a nationalised bank in favour of the Registrar of the High Court for the amount thereof or furnish security to that extent to the satisfaction of the Registrar. At the stage when notice was issued, an ad interim order in these terms was passed.
Since the appeal is pending, we think that the High Court was not justified in permitting the respondents to withdraw 50% of the amount that has been deposited by the Appellant unconditionally. We think that the order indicated in the notice is the appropriate order to pass.
Accordingly, the appeal is allowed. The respondents shall be permitted to withdraw 50% of the amount deposited only if they furnish a bank guarantee of a nationalised bank in favour of the Registrar of the High Court for the amount thereof or furnish security to that extent to the satisfaction of the Registrar.
No order as to costs.