KRISHNAM RAJU FINANCIAL CONSULTANCY SERVICES Vs. S.P.BUILDERS, REP.BY ITS ALLEGED MANAGING PARTNER S.HANEEF

JUDGEMENT

(1.) The defendants in O.S.No.631 of 1992 on the file of VII Senior Civil Judge, City Civil Court, Hyderabad are the appellants herein.

(2.) The suit was filed for recovery of Rs.1,07,200/- alleging that the defendant No.2 is the proprietor of defendant No.1 consultancy, and there was an agreement between the plaintiff and the defendants that the defendants will arrange bank loans and deposits and the defendants obtained a sum of Rs.80,000/- from the plaintiff by way of a cheque dated 15.11.1990 and it was encashed. But subsequently, the defendants did not render any services and consequently the suit was filed for recovery of the amount with interest.

(3.) The defendants had taken several pleas contending that the alleged agreement to provide deposits and loans through the banks is not valid. It was further pleaded that the plaintiff is known to the defendants and a hand loan of Rs.80,000/- was paid and in discharge of that hand loan, the cheque was issued and it was encashed. It was also pleaded that the person, who signed the plaint has no authority and the suit is not validly instituted and it was not registered and consequently the defendants are not liable to pay the amount.