JUDGMENT

Subba Reddy Satti, J. - Unsuccessful defendants filed the above appeal, assailing the judgment and decree dated 31.10.2006 passed in O.S.No.279 of 2005 on the file of II additional Senior Civil Judge (Fast Track Court), Guntur.

2. For the sake of convenience, parties to this appeal are referred to as they were arrayed in suit.

3. Plaintiff filed the Suit O.S.No.279 of 2005 for recovery of an amount of Rs.6,82,089/-.

4. The averments in the plaint, in brief, are that the plaintiff is a company registered under the Indian Partnership act and doing chit fund business; that defendant No.1 joined as member in chit scheme series JCC-a on 21.04.1997; that defendant No.1 was allotted ticket No.40; that each subscriber has to pay an amount of Rs.10,000/- per month for 50 months and the chit value is Rs.5,00,000/-; that in the auction conducted on 04.07.1997, defendant No.1 became successful bidder and agreed to forego Rs.2,00,000/-; that defendant No.1 paid Rs.50,000/- and his future liability is Rs.4,50,000/-; that the defendants executed agreement of guarantee on 15.09.1997 and defendants 2 to 6 stood as guarantors; that all the defendants executed promissory note on 15.09.1997; that