JUDGMENT

1. The Appeal, under Sec. 96 of the Code of the Civil Procedure, is filed by the appellants/defendants challenging the decree and Judgment dtd. 31/12/2009 in O.S.No.771 of 2008 passed by the learned III Additional Senior Civil Judge (Fast Track Court), Guntur (for short, 'trial court'). Respondent is the plaintiff in the suit, who filed the suit in O.S.No.771 of 2008 seeking recovery of Rs.9, 51, 242.00 with interest and costs from the defendants towards Khata dealings between them.

2. The parties will hereinafter be referred to as arrayed before the trial Court.

3. The facts leading to the present Appeal, in a nutshell, are as under:

(a) The plaintiff firm has been involved in the cotton trade, regularly supplying cotton to the 1st defendant's firm on a credit basis. The 1st defendant firm engages in substantial business activities with significant turnovers. All the partners in both firms actively participate in the business transactions. The 1st defendant firm opened a Khata with the plaintiff firm, they purchased cotton on credit basis, with two separate bills: Bill No.7, dt.8/12/2006 amounting to Rs.5, 93, 433.00 and bill No.8, dt.13/2/2007 amounting to Rs.5, 36, 628.0