DALICHAND JUGRAJ JAIN Vs. MADHU WOOL SPINNING MILLS

JUDGEMENT

(1.) THIS is a suit for recovery of money. According to the plaintiff on 18-2-1974 at the request of the defendants a sum of Rs. 1 lakh was advanced. According to the plaintiff an amount of Rs. 25,000/- was advanced to the defendants on 25-1-1974 and a sum of Rs. 5000/- on 5-1-1974 and separate receipts have been executed. On further request of the defendants a loan of Rs. 54,125/- was also advanced on 16-9-1974 and lastly on 18-9-1974 further sums were advanced. Thus the total amount advanced to the defendants was Rs. 1 lakh including the earlier advances for which an agreement was executed by the defendants. On 20-9-1974, defendant No. 1 returned pay order for Rs. 54,125/- and requested the plaintiffs to pay the said amount in cash. Accordingly on 23-9-1974 the plaintiff took back the said pay order and gave cash of Rs. 54,125/ -. The defendants have repaid Rs. 34,000/- during the period 1-11-1975 and 1-12-1976 details of which are stated in Exh. H annexed to the plaint. However, the balance with interest was not paid inspite of repeated demands. The plaintiffs have therefore filed this suit for recovery of Rs. 1,77,000/- inclusive of interest and with future interest on Rs. 1,00,000/- at 18% per annum.

(2.) THE defendants filed written statement and contested the suit. According to the defendants the suit is barred by law of limitation. They denies the plaintiffs claim in toto.

(3.) ISSUES were framed and by a separate order the issue of limitation, which is issue No. 1 was treated as preliminary issue. No oral or documentary evidence was adduced on the preliminary issue and arguments of learned Advocates appearing for the parties were heard. The preliminary issue was to the following effect: