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1986 Supreme(AP) 169

P.KODANDA RAMAYYA, RAMA RAO
Andhra Bank Ltd. MAIN ROAD, VISAKHAPATNAM HAVING ITS REGISTERED OFFICE AT SULTAN BAZAR, HYDERABAD – Appellant
Versus
BONN NARASAMMA – Respondent


RAMA RAO, J.

( 1 ) A. S. No. 532 of 1978 :- 1. The plaintiff is the appallent. The plaintiff filed a suit for recovery of Rs. 1,60,425-04 together with interest personally against defendants 1, 2,4 to 8, 10 to 13 and against the assests of defendants 3 and 9 in the hands of defendants 14 to 22 and in default of payment for sale of the suit property for realisation of the decree debt. The suit is filed on the basis of the promissory note executed for a sum of Rs. 1,30,000/- and agreeing to repay the loan with interest at 5% over and Reserve Bank rate with a minimum of 11% per annum subject to periodical enhancement. The plea of the defendants is that the interest is abnormal and excessive. Apart from other pleas it is stated that the amount has to be scaled down fixing a reasonable rate of interest. The learned Judge found that for the principal amount of Rs. 1,30,000/-, rs. 52,280-04 is claimed. The learned Judge held that this is usurious, penal and unconscionable. In the result the suit is decreed for the principal amount and the interest theron at the rate of 12% per annum. A. S. No. 631 of 1979 :

( 2 ) THIS appeal arises out of a suit filed for recovery of Rs. 2,87,681-85 with i












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