1. This appeal has been preferred by the legal representatives of the original defendant - 3 challenging the judgment and decree dated March 22, 1974, made against them in O. S. No. 86 of 1969 by the Second Additional Civil Judge, Bangalore City.

2. Respondent - 1, Andhra Bank Ltd. since nationalised and now called as the Andhra Bank ("the Bank") sued defendants 1 to 3 to recover a sum of Rs. 1,63,300/- on the following allegations:
That defendant - 1 Seth Menghraj Parasuram ("Parasuram" was having financial accommodation with the Bank under various sets of accounts. As security for the amounts advanced he has endorsed promissory notes and other securities in favour of the Bank executed in his favour by his customers. On April 4, 1966, defendant - 2 Abdul Jabbar executed a promissory note in favour of Parasuram along with a consideration receipt agreeing to pay on demand to him or to his order the sum of Rupees 1,20,000/- together with interest thereon at the rate of one per cent per mensem. For valuable consideration received, that promissory note was also endorsed in favour of the Bank. The Bank has thus become the holder in due course and is entitled to recover the amounts due un