DASARI ANASUYAMMA Vs. B HANUMANTHAPPA

JUDGEMENT

(1.) Defendants 2 and 3 are the appellants, who are aggrieved against the judgment and decree in A.S. No.26 of 1987 dated 19-12-1989 on the file of the District Judge at Kumool, reversing the judgment and decree in O.S. No.12 of 1980 dated 18-7-1986 on the file of the Subordinate Judge at Adoni.

(2.) The respondents 1 and 2-plaintiffs filed the suit for recovery of mortgage debt in pursuance of mortgage deed dated 7-2-1968. According to the plaint allegations, the defendants borrowed an amount of Rs.13,000/- on 7-2-1968 and executed a simple mortgage to repay the same with interest at 12% per annum. However, no amounts were paid. Hence the suit.

(3.) In defence, the execution of the deed was admitted. However, it was stated that there was partnership business between the plaintiffs and the defendants dealing in smuggling and black-marketing. When the defendant No.1 came out of the partnership, this deed was executed as a security from revealing the said activities though without any consideration. Further, they claimed benefits as small farmers under Act VII of 1977. The defendant No.3 who was minor at the relevant point of time raised a plea that the deed is not binding on him as no permission from the court was obtained.