S. C. MOHAPATRA, J.

( 1 ) PLAINTIFF in a suit for realisation of money is appellant.

( 2 ) STATE Government undertook export of iron ore from Paradeep. Such iron ore was to be transported from mines in Sukinda area to Paradeep. In early part of 1957, State Government purchased boats and engaged persons to operate them for transport of iron ore to Paradeep through inland water ways. State Government engaged one Satrughna Sahu as contractor for efficient transportation. Defendants Nos. 1 to 3 in Partnership formed an association named the Cuttack Motor Launch Association of which defendant No. 1 was the Secretary and in that name they were carrying on business. Launches belonging to them were being hired by State Government through the transport contractor for touring the boats loaded with iron ore to be carried to Paradeep in the inland water ways from Jenapur and Cuttack to Paradeep. While they were so engaged on 10-11-1958, defendant No. 1 made an application to the State Government for a loan of Rs. 56,000/- to purchase three powerful marine engines to be fitted to the launches belonging to the defendants for touring the boats carrying loads speedily since they had carried the t