HARYANA PESTICIDES Vs. BANK OF RAJASTHAN LIMITED

JUDGEMENT

(1.) This order shall dispose of two regular second appeals being RSAs No. 3567 and 3593 of 2003 as the same arise out of a common judgment passed by the learned Courts below and common questions of fact are involved.

(2.) For the sake of convenience, the Bank of Rajasthan Limited (respondent) shall be referred to as the "plaintiff whereas the present appellant Haryana Pesticides shall be referred to as the "defendant".

(3.) A suit for recovery of Rs. 3,45,500.80 was filed by the plaintiff-Bank. It was claimed that defendant No. 1 was the sole proprietorship concern of defendant No. 2. Defendant Against order of C.B. Jaglian, District Judge, Ambala, D/- 1-4-2003. No. 3 was a guarantor. The plaintiff-Bank had sanctioned cash credit limit as detailed in the plaint and defendant No. 2 a sole proprietor of defendant No. 1 had executed a cash credit pledge and a deed of hypothecation and other documents in favour of the plaintiff Bank. Account of defendant No. 1 was irregular and ultimately it was found that an amount of Rs. 3,45,500.80 was due against defendant No. 1 uptil December 10, 1989 and accordingly, the suit was filed.