UMESH CHANDRA CHAKRAVARTY Vs. UNITED BANK OF INDIA

JUDGEMENT

(1.) This appeal arises from the decree passed by the Assistant District Judge (1) Gauhati in TS No. 104 of 1978.

(2.) Facts,-The plaintiff, the United Bank of India, on 11.12.73 lent Rs. 18,500.00 to the contesting defendant Umesh Chandra Chakravarty for purchasing an Ambassador Car. The loan was payable with interest by monthly instalments of Rs. 500.00. After the purchase of the car, the Car (ASU 770) was hypothecated to the bank by the defendant. According to the plaintiff-bank, the amount payable by the contesting defendant became Rs. 29,758.54 including interest, but he failed to pay the same. Accordingly, the suit had been instituted by the plaintiff-bank against the defendant claiming, inter alia, recovery of Rs. 29,758.54. The suit was proceeded ex parte against other defendants who had been alleged as guarantors. The main defence of the contesting defendant was that the suit was barred by limitation. The trial Court decreed the suit by holding that the suit was not barred by limitation. Hence this appeal by the defendant.

(3.) The first question which arises for consideration is whether the suit was barred by limitation. The date of loan was 11.12.75 and the suit was filed on 30.9.78. It is not disputed that the prescribed period of limitation for the suit is 3 years. Therefore, the prescribed time for the suit would expire on 11.12.76, if the date of loan is excluded. But there were other documents executed by the defendant marked as Exts-8, 9, 10, 11, 12 and 14. Exts 8 and 14 are acknowledgement of liability in respect of Rs. 24,604.34 made by the defendant, which were signed on 15.2.77 by the defendant. Ext 9 is 'letter of Continuity' hut it does not bear the date of signing by the defendant. Ext 10 is the 'Letter of Lien' and Ext 11 is 'Deed of Hypothecation'. These two documents were also signed on 15.2.77 Ext 12 is the 'Promissory Note' for Rs. 18,500.00. In Ext 12 the promissory note, the date put by the defendant-1 has been overwritten by different hand and ink, although the date apparently seems to be 15.2.77. Ext-9 to 12 were contemporaneous documents executed and sent by the defendant along with the link letter of acknowledgement of liabilities (Ext. 8) which was signed by the defendant on 15.2.77. Therefore, all these documents, namely Exts 9 to 12 indicate that a promise was made by the defendant to pay a time barred debt in writing in respect of Rs. 18,500.00 with a minimum interest at 13% per annum.