CHANDI PRASAD SIKARIA Vs. PREMLATA NAHATA

JUDGEMENT

(1.) This appeal is directed from an order dated June 16, 2004 rejecting the application of the appellant/petitioner under Order 7 Rule 11 (d) of the Code of Civil Procedure, 1908 (hereinafter referred to as C.P.C.)

(2.) It appears from the facts that the appellant/petitioner applied before the Hon'ble First Court for dismissal of the suit on the ground that the suit is barred on the ground of multifariousness and bad for misjoinder of parties and misjoinder of causes of action.

(3.) It appears from the facts that the instant suit was filed by the plaintiffs (respondents herein) and the plaintiff No. 1 pleaded that the appellant/petitioner (the defendant) is a registered stock broker of the Calcutta Stock Exchange (hereinafter referred to as the CSE) and also a registered broker with the Securities & Exchange Board of India (hereinafter referred to as the SEBI).The respondent No. 1 (plaintiff No. 1) at the request of the appellant/petitioner (defendant) lent and advanced from time to time during 19th April, 1999 and 14th February, 2000 aggregating a sum of Rs. 15 lakhs. It is pleaded that the said loan was granted through one Mahendra Kumar Nahata (hereinafter referred to as the said Nahata) being the husband of the respondent No. 1 (plaintiff No. 1).The appellant/petitioner (defendant) duly repaid the said loan to the plaintiff No. 1 (respondent No. 1 herein). Thereafter the petitioner/appellant again approached the said Nahata and at the instance of the said Nahata, the respondent No. 1 on 7th April, 2000 duly issued a cheque for a sum of Rs. 5 lakhs in favour of M/s. C.P. Sikaria & Co. and the appellant/petitioner herein duly deposited the same in the personal account and encashed the same. The appellant/petitioner failed to pay any interest on the said loan as agreed upon between the parties and further inspite of the demand failed to repay the same. For non-payment of the said loan and interest thereon @ 18% per annum, the respondent No. 1 also suffered damages as pleaded in the plaint to the tune of Rs. 3 lakhs and a decree has been claimed in the suit for a sum of Rs. 10, 93, 863/- against the appellant/petitioner.