The second appeal arises out of the judgment of the learned District Judge, Tirunelveli in A. S. No. 21 of 1985 in confirming that of the learned Subordinate Judge, Tuticorin in O. S. No. 35 of 1982.

2. The plaintiff, the Tuticorin Trading and Credit Corporation Private Ltd. is the appellant in the present second appeal.

3. The suit was filed on a chit transaction claiming a sum of Rs. 21,737.06 as due from the chit. The defendant raised mainly two defences viz., that he did not subscribe to the chit transaction and that the suit was barred by limitation. While the trial Court upheld both the objections of the defendant, the lower appellate Court agreed with the plaintiff's claim and held that the defendant had subscribed to the chit transaction and that he has also committed default. However on the question of limitation, the lower appellate Court agreed with the objection of the defendant that the suit was barred by limitation and hence the present second appeal by the plaintiff.

4. The only question which arises for consideration is as regards the question of limitation. In the present case, there were two chits. The admitted facts are, with reference to the first chit