CHAUBEY SUSHIL CHANDRA Vs. RAJ BAHADUR

JUDGEMENT

(1.) THESE are two appeals against the common judgment of the First Additional Civil Judge, Agra dated 24th September 1956 in two cross suits between the parties, Suit No. 91 of 1952 giving rise to First Appeal No. 29 of 1957 was filed by Raj Bahadur against Chaubey Sushil Chand. Keshri Mal and Prem Chand, while suit No. 75 of 1952 giving rise to First Appeal No. 33 of 1957 was filed by Chaubey Sushil Chand against Raj Bahadur. The material facts leading upto these appeals are as follows:

(2.) THERE is a glass factory known as Hanuman Glass Works at Station Road, Firozabad, Chaubey Sushil Chand was the sole owner till 1929 or 1930. In or about the year 1930-31 late Lal Pyare Lal uncle of Raj Bahadur appeared on the scene. He was taken in either as partner or on commission and his share was fixed at 3/6 in a rupee. In or about the year 1935 Lal Pyare Lal started another business for the purchase and sale of sand etc. used in the manufacture of glass in the name and style of Lal Pyare Lal Agarwal. According to Raj Bahadur, this new business was in partnership with Chaubey Sushil Chand wherein the share of Chaubey Sushil Chand was fixed at As. -/10/and that of Lala Pyare Lal at As. -/6.00 in a rupee. According to Chaubey Sushil Chand, it was, however, a private concern of Lal Pyare Lal. In or about the same year Lal Ram Swarup, father of Raj Bahadur, also joined the firm Hanuman Glass Works as a servant on a salary of Rs. 35.00 per mensem. Later on, he was also taken either as partner or on commission and the shares of these persons were readjusted in such a way that Chaubey Sushil Chand was to have As. -/9/6. Lala Pyare Lal -/3/6 and Lal Ram Swarup -/3.00. On 9th August, 1943, the firm Pyare Lal Agarwal entered into a financial agreement on commission basis with M/s Himalaya Glass Works at Firozabad for financing and supplying raw materials to and for the sale of the finished products of the latter firm. The said arrangement, however lasted only for a year when huge amount had fallen due to the firm Pyare Lal Agarwal. A suit was filed by Lal Pyare Lal for the recovery of the dues against M/s Himalaya Glass Works. Pyare Lal in the meantime died and late Lal Ram Swarup as his legal representative entered into a compromise and under the compromise only a decree of Rs. 8000.00 was passed. Firm Pyare Lal Agarwal stopped its business and was dissolved some time in 1944 on the failure of Himalaya Glass Works though its final accounts could not be settled and wound up on account of the pendency of the suit against M/s Himalaya Glass Works.

(3.) IT further appears that in the account books of Firm Hanuman Glass Works Section A Lal Pyare Lal opened two Khatas - one in the name of Lala Pyare Lal and the other in the name of Lala Pyare Lal Agarwal, Khata in the name of Lala Pyare Lal Agarwal represented the commission advances made in cash or kind to Himaliya Glass Works through firm Pyare Lal. Later on the two Khatas were amalgamated.