SURESH KUMAR Vs. DIGNITY MOTORS FINANCE LIMITED

JUDGEMENT

(1.) The present appeal is di-rected by the defendant Suresh Kumar against the judgment and decree passed by the learned District Judge, for the recovery of an amount of Rs. 4,70,000/- with pendente lite and future interest @ 22% per annum.

(2.) The factual matrix giving rise to the present appeal are that the respondent-com-pany, hereinafter referred as 'the plaintiff is registered under the Companies Act and is engaged in the business of hire-purchase of motor vehicles and for this purpose they have been advancing loans. Shri Piar Chand is one of its Directors, authorized to file the suit against the appellants and proforma respon-dent, hereinafter to be referred as 'the defen-dants' as they were before the learned trial Court.

(3.) Defendant No.1 Suresh Kumar ap-proached the plaintiff Company for advance-ment of the loan for the purchase of the truck. He was made to understand the terms and conditions of the Company for advancing loan. After admitting the terms and condi-tions for the loan, the defendant aforesaid put a demand of loan to the'tune of Rs.2,90,000/-to be liquidated by him within two years, which was accepted by the plaintiff-Com-pany and Hire and Purchase agreement Ex.PC was executed on 17.7.1996. His fa-ther Bali Ram (defendant No.2) and Amar Nath, predecessor-in-interest of the proforma respondents herein stood sureties to repay the loan by the principal borrower. A cheque of