T. HEMACHALAM Vs. S. SRINIVASAN (DECEASED)

JUDGEMENT

(1.) The suit is for recovery of a sum of Rs.68,80,000.00 due on two promissory notes dtd. 9/2/1999 and 10/2/1999 executed by the 1st defendant. Since the 1st defendant died pending the suit, the legal representatives have been brought on record as defendants 2 to 5 by an order dtd. 26/2/2010 made in A. No. 1145 of 2010. The brief facts contained in the plaint are as follows:-

(2.) The plaintiff is a business man engaged in exporting of mangoes to Singapore and Malaysia. During in the year 1999, the 1st defendant, who is also a fruit merchant residing at Triplicane, Chennai, approached him for financial help for expanding his fruit business and the plaintiff thus advanced a sum of Rs.23,50,000.00 on 9/2/1999, and a sum of Rs.16,50,000.00 on 10/2/1999 respectively. As a security for borrowing, the 1st defendant had executed two promissory notes dtd. 9/2/1999 and 10/2/1999 respectively agreeing to repay the same with interest at 24% per annum. It is also claimed that the deceased 1st defendant had deposited the original title deeds viz., sale deed dtd. 15/9/1994 registered as document no.1254 of 1994 with reference to Mango Garden in Chittoor District, and another sale deed dtd. 15/9/1994 executed in favour of his wife registered as document no.1258 of 1994. As evidence of deposit of title deeds, the 1st defendant had executed a letter of confirmation dtd. 9/2/1999. It is also claimed that the deceased 1st defendant had executed another letter of confirmation confirming the borrowing of Rs.16,50,000.00 on 10/2/1999, and deposited xerox copies of the sale deeds dtd. 14/4/1976 executed by one Suseela Ammal in his favour and the sale deed dtd. 30/9/1988 executed by M/s. Lakshmi and P.Srividya in favour of the 1st defendant and his wife the 2nd defendant.

(3.) The plaintiff would further claim that on 10/8/2001, the 1st defendant issued 2 cheques for a total sum of Rs.40,00,000.00 drawn on Indian Bank, Sowcarpet Branch, Madras-600 001, and on 10/9/2001, he had issued 2 cheques for a sum of Rs.12,40,000.00 each for the interest payable on the aforesaid amounts and all the four cheques were returned on presentation. The plaintiff had launched proceedings under Sec. 138 of Negotiable Instruments Act. But, the said proceedings could not be prosecuted in view of the death of the 1st defendant during the pendency of those criminal complaints. On the strength of the above promissory notes, the plaintiff has come forward with the above suit for recovery of Rs.68,80,000.00.