K SUNDARARAJ Vs. K PERIYASAMY

JUDGEMENT

(1.) The defendant in OS. No.117 of 2002 is the appellant. The said suit was filed seeking recovery of a sum of Rs.2,13,799/-, being the principal of Rs.2,00,000/- due under a promissory note dated 02.10.2001 along with interest at 12% there on, for the period from 02.10.2001 to 29.04.2002, i.e. the date of filing of the suit and subsequent interest. According to the plaintiff, the defendant had borrowed a sum of Rs.2,00,000/- on 02.10.2001 and executed the suit promissory note agreeing to repay the amount at 12% interest.

(2.) The suit was resisted by the defendant contending that there is no borrowing and the plaintiff had no wherewithal to advance a sum of Rs.2,00,000/- on 02.10.2001. It is also claimed that the plaintiff was indebted to various banks and financial institutions on the said date. The defendant has also pleaded that the suit promissory note has been created, by one Muthusamy in collusion with the plaintiff and the suit filed by the said Muthusamy, on the basis of an alleged agreement of sale, said to have been executed by the defendant in OS No.137 of 1998 came to be dismissed.

(3.) The defendant would also contend that he has referred to handing over of five signed blank promissory notes to the said Muthusamy. The defendant had also pleaded that the said Muthusamy and the present plaintiff being neighbors, the said Muthusamy chosen to file the suit through the plaintiff.