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1986 Supreme(SC) 38

M.P.THAKKAR, E.S.VENKATARAMIAH
State Bank Of India – Appellant
Versus
Saksaria Sugar Mills LTD. – Respondent


Advocates:
S.A.SHROFF, S.R.SHRIVASTAVA, Y.S.Chitale, YOGESHAR PRASAD

JUDGMENT

VENKATARAMIAH, J. :— These appeals by special leave are filed against the order dated May 25, 1984 passed by the High Court of Allahabad in Civil Revision No. 136 of 1982 and the order dated February 22, 1985 in C.M.A. No. 644(M) of 1984 on the file of that Court.

2. The appellant, the State Bank of India, had allowed cash credit facility to M/s. Saksaria Sugar Mills Ltd., respondent No. 1 herein, on the security of the goods produced at the sugar factory belonging to respondent No. 1. Respondent No. 1 had also deposited in the Bombay office of the State Bank of India on February 2, 1962 by way of equitable mortgage the title deeds of its immovable properties to secure the amount advanced under the said cash credit facility. Respondents Nos. 2 to 5 M/s. Govind Ram and Brothers, Shri K. G. Saksaria, Shri G. L. Vaid and Shri R. K. Saksaria had agreed to be the guarantors for the repayment of any amount due from respondent No. 1 under the said cash credit account. Since there was default in repayment of the amount due under the said cash credit account the State Bank of India instituted a suit in Suit No. 18 of 1980 on the file of the Additional District Judge, Gonda for recov


















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