MUKESH GUPTA Vs. P K BAJAJ

JUDGEMENT

(1.) This is an action by the plaintiff for recovery of Rs. 15 lacs stated tohave been advanced by way of loan to the defendants together with accrued interest thereon.

(2.) Case pleaded by the plaintiff is that defendants No. 1 and 2 who are father and son respectively approached him for a loan and agreed to payinterest @ 22% per annum. On 18.11.2000, loan in sum of Rs. 10 lacs was given to defendant No. 2. A promissory note was written by defendant No.2 in his hand and was signed by both defendants acknowledging receipt ofloan in sum of Rs. 10 lacs; further acknowledging that interest payable on the loan would be @22% per annum. Further, defendants requested for another loan of Rs. 5 lacs. Plaintiff advanced another sum of Rs. 5 lacs. It was agreed that this component of loan would carry interest @20% per month. Defendant No. 1 acknowledged receipt of the loan as also interest payable by executing a writing dated 4.3.2001. That on 1.12.2001 a cheque in sum of Rs. 1.1 lacs was issued by defendant No. 1 to partially repay the interest which had accrued on the two sums taken by way of loan. The cheque was dishonoured when presented for encashment. A complaint invoking Section 138 of the N.I, Act is stated to be pending in the court of Shri V.K.Goel, M.M. That 3 cheques in sum of Rs. 5 lacs each dated 1.3.2002 were issued by the defendants to the plaintiff for return of the loan. Said cheques, when presented for encashment were dishonoured.

(3.) It is stated by the plaintiff that though he is entitled to interest @20% per month on the second loan amount, plaintiff was restricting interest to 22% per annum.