( 1 ) C. C. C. A. No. 8 of 1958 arises out of O. S. No. 142/1 of 1956 filed in forma pauperis by the Official Receiver on behalf of the insolvent, Lakhanlal. The plaint allegation was that the said Lakhanlal was conducting Chit Fund business at Sultan Bazaar, Hyderabad City, of which the defendant was a member, and that in respect of eight chits drawn by the defendant, the defendant fell due in various amounts as shown in Exhibit P-i for which he executed a promissory note as collateral security. The plaintiff therefore claimed Rs. 9,100 O. S. towards the principal plus interest at 6 per cent, per annum, totalling Rs. 10,100 O. S. The defendant denied that Lakhanlal was an insolvent and the Receiver had the right to bring a suit against him. He however admitted that Lakhanlal was conducting the Chit Fund business and he was also its member, but denied the correctness of the accounts and the amounts due as shown in Exhibit P-1. He further stated that lakhanlal had misappropriated the Chit Fund amounts and there was no question of the liability of the defendant. Legal objections were also raised that the other members of the Chit Fund were necessary parties to the suit, that the suit

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