The appeal arises from a suit for realisation of money. Defendant is the appellant.

2. The suit O.S.155/1985 before Subordinate Judge, Ernakulam was filed by respondent against appellant for realisation of an amount of Rs. 46,900/- with interest at 18 % per annum and costs of suit. Defendant had borrowed amounts from plaintiff on various occasions for purchasing a house site and constructing a building. The construction was completed and defendant is in occupation of the house. The liability was acknowledged by alerter dated 27-2-1980. In spite of promises made by defendant in several letters the amount was not paid. As per the letter dt.27-2-1980 the amount due is Rs. 26,000/- Defendant had therein promised to pay interest at 18% per annum. In a subsequent letter dt.20-8-1993 defendant had agreed to settle the amount due after the disposal of his house. In spite of repeated demands and a registered notice, the amount was not paid and hence the suit.

3. Defendant resisted the suit and contended that the suit is not maintainable since it is based on an illegal contract whose object is unlawful. Plaintiff is not a money lender as defined in the Kerala Money Lenders Act, 195