STATE BANK OF INDIA S I B BRANCH SAIFABAD HYDERABAD Vs. SAMANA IRON ENGINEERING WORKS PERITS MOHAMMED AZIZ AHMED

JUDGEMENT

(1.) The plaintiff is the appellant in this appeal. The suit is laid for recovery of of Rs. 35,025-62 Ps. against four defendants. The 1st defendant is a proprietory concern, the 2nd defendant is the Proprietor and the 3rd and 4th defendants are sureties of the debt. The 1st defendant peldged the machinery shown in B schedule to the Bank and in addition to that the Bank took mortgage of A schedule from the 3rd defendant who stood as a surety for the debt and hence the suit is filed for the recovery of the amount against the defendants jointly and rally together with future interest thereon at 11% p.a. from the date of the suit till the date of final realisation and to pass a decree for sale of platant B schedule properties and to pass a priliminary decree on the mortage in respect of plaint A schedule property against the 3rd defendant and in default to pass a a final decree in respect of the said property.

(2.) Except the 3rd defendant other defendants remained exparte and even the 3rd defendant did not contest the suit claim but wanted that the court may pass an instalment decree and also permit him to run the hypothecated machinery.

(3.) Curiously the court below per mitted the 3rd defendant to run hypothecated machinery by depositing Rs. 5,000/- towards the suit debt within one month from the date of the decree and also pay balance by monthly instalments of Rs, 500/- payable by 10th of every month commencing from 1-8-83 failing which of any one of the instalments the plaintiff is entitled to realise the outstanding oalance by selling the hypothecated machinery and articles. It also directed post onement of the selling of the house (Mortgaged property) till the decretal amount cannot be realised by selling the hypothecated machinery. Against this judgment and decree, the bank filed the appeal.