SARITHA ENTERPRISES Vs. S RAJAGOPAL

JUDGEMENT

(1.) Defendants are the appellants in the present second appeal. One of the partners in the first respondent firm has filed the suit O.S.No.25 of 1984 before the Subordinate Judge, Dindigul, to pass preliminary decree for the dissolution of partnership and for directing the respondents 2 and 3 to render a true, correct faithful accounts of the business of the suit partnership firm from 1.4.1983 till the date of dissolution and to pass a final decree in favour of the plaintiff to direct the respondents to pay such amount as may be found due to the plaintiff on taking accounts with interest from the date of dissolution till realisation. The trial court decreed the suit as prayed for. Aggrieved by the order passed by the trial court the appellants herein have filed A.S.69/87 before the District Judge, Dindigul which was also dismissed confirming the judgment and decree passed by the trial court. Hence the present second appeal.

(2.) The second appeal was admitted on the following substantial questions of law:

(3.) The second defendant was the managing partner who was doing similar business under the name and style of Lakshmi Vani Traders. Instead purchasing from the open market goods were purchased from the said Lakshmiveni Traders by the D1 firm with the result the cost of purchase was increased profit ratio was decreased. It was also found by the courts below that for a single goods purchased from Lakshmiveni Traders three invoices Ex.A20, A21 and A22 were raised against D1 firm as such it is liable to be dissolved as per Sec.44 of the Partnership Act, 1932 though no notice u/s.43 was issued by the plaintiff. Section 44 runs as follows: