BAYKATI LAKSHMAMMA Vs. STATE BANK OF INDIA TADIPATRI

JUDGEMENT

(1.) C.M.P. No. 1116/1975 is an application for setting aside the exparte iecree dated 4-9-1974 in A.S. No. 269/1971.

(2.) The brief facts are as follows: The Stale Bank of India, Tadipathri Branch, the 1st respondent herein filed he suit O.S. No. 15/1969 on the file of the court of the Subordinate Judge, anantapur, against the first defendant he second respondent herein and his mother the second defendant the petitioner herein for recovery of a sum of Rs. 39,888-09 Ps. towards principal and interest due in respect of two loans taken by the 1st defendant against the pledge of Warehouse receipts concerning stocks of groundnut pods issued by the State Ware Housing Corporation and for subsequent interest and costs.

(3.) The 2nd defendant was impleaded as a guarantor for repayment of the amounts borrowed by the 1st defendant. In the suit, the 1st defendant remained exparte and the 2nd defendant alone contested the suit, denying knowledge of the borrowings by the 1st defendant and that she stood as a guarantor. The suit was decreed against the 1st defendant but dismissed against the 2nd defendant.