1. The plaintiff which failed in its attempt to get decree against the defendants in the suit in O.S.No. 17 of 1982 on the file of the Sub-Court, Sivaganga, has filed the above Appeal.

2. The plaintiff filed the above suit on the basis that the 1st defendant sought for Cash Credit Facility to an extent of 12, 000 which was sanctioned by the plaintiff. The 2nd defendant had agreed to be the guarantor for the 1st defendant. The 1st defendant executed a demand promissory note in favour of the 2nd defendant for a sum of Rs.12, 000 on 22. 1975, promising to pay him or order at the State Bank of India, Tirupattur, the above sum of Rs.12, 000 with interest at half percent, over and above the advance rate with a minimum of 14% per annum with monthly rests. The 2nd defendant in turn had made and endorsement on the back of the promissory note ‘pay’ State Bank of India or order and handover the same to the plaintiff. The 1st defendant had also executed an agreement for the said facility on 22. 1975, on security of pledge of goods purchased and merchandised for the said sum of Rs. 12, 000. On the same date the 2nd defendant as guarantor for the 1st defendant had executed a deed of