( 1 ) (JUDGMENT of the Bench delivered by Kondaiah, J.) 1. This appeal by the plaintiff is directed against the Judgment and decree of the Court of the Subordinate Judge, Kakinada in O. S. 79 of 1973 refusing to grant a decree against the defendants to proceed against a schedule house property owned by late Batchu Mallikharjunudu, father of defendants 3 to 7.

( 2 ) DEFENDANTS 2 and 3 were partners of a firm carrying on cloth business in the name of the first defendant. By pledging its clothes, a loan of Rs. 10. 000/- was taken from the plaintiff-Bank by the firm, with an over draft facility to the extent of Rs. 5,000/ -. Defendants 1 to 3 executed an agreement and a promissory note on 24-9-1969. They also obtained another loan of Rs. 2,300/- by pledging raw material and executed a promissory note dated 12-2-1970. Another loan of Rs. 4,700/- was obtained on the pledge of raw material on 16-2-1970. According to the plaintiff, late Batchu Mallikharjunudu, father of defendants 3 to 7 had mortgaged a Schedule house by depositing his title-deed on 22-12-1970 at samalkota, with intent to create a mortgage to the maximum limit of Rs. 25,000/ for advances made or to be made by the Bank

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