KASHINATH SUBUDHI Vs. NAKULA PATRA

JUDGEMENT

(1.) THE Plaintiff is the Appellant. The appeal arises out of a suit for recovery of Rs. 7700 / - on the basis of a mortgage bond dated 3 -8 -1954.

(2.) THE Plaintiff's case is that the Defendant executed a mortgage -bond on 3 -8 -1954 and borrowed a sum of Rs. 5,000 / - as the principal amount agreeing to pay the principal and interest, at the rate of 9% per annum, within six months. In spite of repeated demands by the Plaintiff the Defendant did not pay. Hence the Plaintiff filed the present suit.

(3.) THE learned trial Court rejected the defence story of payment of Rs. 1,000 / - and held that the Defendant had received Rs. 5,000 / - in cash by executing the mortgage -bond, Ext. A, and the entire amount was due from him. He, however, dismissed the Plaintiff's suit on the ground that the Plaintiff had exceeded the maximum capital as provided in the registration certificate, when the suit -loan was advanced. According to him the suit was hit by Section 8 of the Orissa Money Lenders Act and was not maintainable.