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1980 Supreme(Ori) 19

R.N.MISRA
BANSIDHAR MOHANTY – Appellant
Versus
UNITED BANK OF INDIA – Respondent


Advocates Appeared:
A.PATNAIK, B.B.MOHANTY, G.N.SENGUPTA, G.RATH, M.Patra, S.C.SINHA

R. N. MISRA, J.

( 1 ) THE third defendant in T. M. S. 265 of 1969 in the Court of the Subordinate judge of Cuttack is the petitioner. Plaintiff-opposite party No. 1 has filed the suit asking for recovery of a sum of Rs. 10,86,331. 01 paise from defendants 1, 2 and 4 on the basis of a cash credit and/or overdraft facility under which the defendant No. 1-Company had been allowed to draw money from the bank. Initially the limit was for Rs. 3 lakhs which from time to time was extended and in June, 1969, the limit was fixed at Rs. 10 lakhs. While the defendant No. 1company, defendants 2 and 4 are two of its directors who according to the plaintiff had made themselves liable for the entire loan. Plaintiff also prayed for a decree up to Rs. 9 lakhs within the aforesaid amount against defendants 3 and 5--being two other directors of the defendant No. 1-Company on the basis of guarantees.

( 2 ) THREE separate written statements were filed one by defendant No. 2, another by defendants 3 and 5 together and the third one by defendant No. 4. The plaint was amended and paras 59-A and 59-B were new allegations made. Defendants 2 and 3 filed two separate additional written statements with refere














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