KHEM SINGH Vs. DINESH BHATIA

JUDGEMENT

(1.) This regular first appeal under Section 96 of the Code of Civil Procedure, 1908 (CPC) is filed against the impugned judgment of the trial court dated 18.2.2017 which has decreed the suit for recovery of Rs.4 lacs with interest at 12% per annum. The suit was filed for recovery of money on account of loan having been granted by the respondent/plaintiff to the appellant/defendant and which loan was secured by a cheque. Since the loan was not repaid and the cheque was dishonored on presentation, the subject suit came to be filed.

(2.) The facts of the case are that the respondent/plaintiff gave two loans in cash of Rs. 2 lacs each to the appellant/defendant on 15.3.2012 and 30.3.2012. The appellant/defendant in the month of January 2013 issued a post dated cheque of Rs. 4 lacs bearing no.048993 dated 1.4.2013 drawn on ICICI Bank, Gurgaon, for discharging his liability but this cheque was dishonored and returned with the remarks "insufficient funds". Respondent/plaintiff after serving a legal notice dated 13.6.2013, and which failed to yield desired result, filed the subject suit.

(3.) Appellant/defendant filed the written statement and contended that the appellant/defendant did not give the cheque to the respondent/plaintiff but the subject cheque was given to one Sh. Rakesh Arora with whom the appellant/defendant was having various disputes. It is pleaded that the cheque was given to Sh. Rakesh Arora as security because Sh. Rakesh Arora stated that he would secure some loan from some financial institution for the appellant/defendant and his family members. It is stated that when the appellant/defendant received a legal notice he replied to the same that the cheque in question was not given to the respondent/plaintiff but given to Sh. Rakesh Arora. It was accordingly prayed that the suit be dismissed.