DR. P. VIJAYKUMAR Vs. M.N. BAIG

JUDGEMENT

(1.) This is a defendant's regular first appeal against the judgment and decree dated 5-11-2013 in O.S. No. 4439 of 2006 on the file of XIX Additional City Civil and Sessions Judge, Bangalore, decreeing the suit of the plaintiff directing the defendant to refund a sum of Rs. 13,50,000.00 with interest at 24% p.a. from 28-4-2003 till the date of filing of the suit and to pay the future interest at 12% p.a. from the date of filing of the suit till the date of repayment of Rs. 13,50,000.00.

(2.) For the purpose of convenience, the parties are referred to as they are referred to in the original suit.

(3.) The plaintiff is a Civil Engineer having construction related business. Defendant is a Doctor by profession. The defendant is the owner of the properties bearing Corporation Nos. 27 and 27/1 situated at Stephen's Road, Frazer Town, Bangalore-5, which is more particularly described in the schedule to the plaint (hereinafter referred to as the "schedule properties"). On a representation by the defendant that the suit schedule properties are free from all encumbrances and there is no Court proceedings in respect of the same and that he has acquired title to the same under a valid partition deed, the plaintiff entered into an agreement to purchase the schedule properties for Rs. 28,00,000.00 and Rs. 15,00,000.00 was agreed to be paid as earnest money. For the sake of convenience, the parties entered into two agreements on the same day with respect to 50% of the suit schedule properties. Thus, the defendant executed an agreement of sale on 13-5-2003 for Rs. 14,00,000.00 each. But plaintiff paid Rs. 5,00,000.00 under each agreement i.e., totally Rs. 10,00,000.00. The said payments were made by way of cheques, which are duly acknowledged and encashed by the defendant. As per the terms of the agreement another sum of Rs. 2,50,000.00 each has to be paid under the two agreements within three months from the date of the agreement. The remaining amount was to be paid within nine months from the date of payment of Rs. 2,50,000.00.