JUDGMENT :- This is an appeal preferred against the decree and judgment of the learned District Judge of North Arcot in A.S. No. 377 of 1951 reversing the decree and judgment of the learned Subordinate Judge of Vellore in O.S. No. 41 of 1951 and remanding the suit.

2. The facts are : The plaintiff is a wholesale merchant carrying on business in yarn at Ami. The defendant is a retailer in the same business at Kalambur. The plaintiff supplied yarn whenever the defendant wanted and the defendant paid for those supplies and also advanced moneys for procuring a continuous supply because throughout the period of their transactions there was a State machinery controlling the supply and distribution of yarn and naturally a wholesaler like the plaintiff could supply in accordance with the scheme and at prices fixed only to retailers who advanced considerable sums against the anticipated supplies of yarn.

It has to be borne in mind that the wholesaler himself got the quotas allotted only as against cash down. Because of the advances the balances shifted, being sometimes to the credit of the plaintiff and sometimes to that of the defendant. Finally the wholesaler had to file this suit