JAWALA INDUSTRIES Vs. MURARI LAL MANGAL

JUDGEMENT

(1.) THIS second appeal is filed under Section 100 CPC impugning the judgment of the first appellate court dated 2.9.2006. The first appellate court by its impugned judgment allowed the appeal filed by the respondent - plaintiff and decreed the suit for recovery of Rs.1 lac alongwith pendente lite and future interest at 9% p.a.

(2.) RESPONDENT /plaintiff filed the subject suit stating that he had given a loan to appellant no.1/defendant no.1/partnership firm of which appellant nos.2 and 3/defendant nos. 2 and 3 are the partners. It was pleaded that the appellant nos.2 and 3 were intimately known to the respondent - plaintiff and they approached the plaintiff for a temporary loan of Rs.1 lac in February 1997. The loan was given by cheque no.889782 dated 3.2.1997 drawn on State Bank of Patiala, Model Basti, New Delhi Branch and was issued from the saving bank account no. 3320/13. The cheque was got encashed by the defendant no.1 through its banker Indian Bank on 5.9.1997. Since the loan was not repaid alongwith promised interest at 30% per annum, the subject suit came to be filed.

(3.) AS stated above, the trial court dismissed the suit but the first appellate court allowed the appeal and decreed the suit. The relevant observations of the first appellate court are contained in paras 9 to 13 of the impugned judgment and which read as under: -