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1956 Supreme(Mad) 1

IN THE HIGH COURT OF JUDICATURE AT MADRAS
Mr. Justice Krishnaswami Nayudu, J
S.A.N.M. Ramakrishna Chetti
Versus
Chinna Thangavelu Chetti
S.A. No. 1411 of 1952.
Decided On : 03 January 1956

Advocates:
V.N. Srinivasa Rao and C.S. Rajappa for Appellant.
M. Natesan for Respondent.

Attachment of such amount by other creditor of the debtor.

Headnote:Debtor and Creditor-Right of creditor to recover the moneys advanced by him and deposited in Court.

       

Judgment

The plaintiff is the appellant. The first defendant and his brother one Appadurai sold certain lands to the fourth defendant on 29th November, 1935. There was an agreement between them to reconvey the properties under certain circumstances. But when reconveyance was demanded in pursuance of the agreement, the fourth defendant refused to comply with the demand and O.S. No. 7 of 1946 was thereafter instituted by the first defendant and his brother for specific performance of the agreement to reconvey. The suit was decreed and the first defendant and his brother had to deposit a sum of Rs. 2,750 into Court before reconveyance could be executed in their favour. The case of the plaintiff is that the first defendant approached him as he had not the funds to enable him to make the deposit and wanted accommodation and the sum of Rs. 2,750 was advanced by the plaintiff to the first defendant and his brother under the terms of the agreement entered into between them, Exhibit A-1, dated 25th February, 1947. The agreement recites that the first defendant, and his brother had already borrowed Rs. 500 on a pronote, dated 7th December, 1945 and another sum of Rs. 900 on a further pronote, dated 19th January, 1947 and there was therefore due by them to the plaintiff a sum of Rs. 1,400 borrowed for the expenses of the suit, O.S. No. 7 of 1946. In addition the agreement provides that:

“As the said suit has been decreed in our favour and as we have to pay into that Court, according to the terms of that decree, the sum of Rs. 2,750 we have this day borrowed that sum from you. For the total principal amount of Rs. 1,400 in respect of the two promissory notes mentioned above and the interest thereon and for the sum of Rs. 2,750 cash received by us on this date.-in all, for the sum of Rs. 4,150 for the interest thereon at the rate of Re. 0-8-0 for Rs. 100 per month and for the principal amount we shall, as soon as a registered sale deed in respect of the entire properties relating to the above sum is executed in my name as per the terms of the decree, execute a deed of possessory mortgage in respect of the same properties and hand it over to you after getting it registered......In the event of the defendants in the above suit going on appeal and in the event per chance of our being unsuccessful in the said appeal, we shall take a refund from the Court of the entire amount borrowed by us from you and paid into Court and pay it to you in adjustment and the balance we shall discharge through other properties belonging to us”.

The sum of Rs. 2,750 borrowed from the plaintiff in the said circumstances was deposited into Court to the credit of O.S. No. 7 of 1946. As anticipated, the fourth defendant succeeded in the appeal which he filed and the decree for specific performance was therefore set aside. After the disposal of the appeal, the fourth defendant, who was the defendant in O.S. No. 7 of 1946 attached the said sum of Rs. 2,750 for realisation of his costs. There was also an attachment by the third defendant, who had a decree against the first defendant in O.S. No. 471 of 1945 and a further attachment by the fifth defendant who had a small cause decree against the first defendant in S.G. S. No. 20 of 1943. The plaintiff filed a claim petition in E.A. No. 48 of 1949 in E.P. No. 152 of 1948 claiming that the amount deposited in that suit was his and to release it from the attachment of the fourth defendant. The claim petition was dismissed. Another claim petition was filed E.A. No. 1118 of 1948 in O.S. No. 471 of 1945. That claim petition was not pressed and hence dismissed. The present action was therefore instituted by the plaintiff for a declaration that the amount deposited into Court in O.S. No. 7 of 1946 belonged to the plaintiff alone, that defendants 3 to 5 are not entitled to attach it and for other reliefs.

The question for determination in this appeal is as to whether the plaintiff has any rights in respect of the amount of Rs. 2,750 l


















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