O R D E R

The applicant / plaintiff has filed the suit for recovery of money against the respondents / defendants.

2. The applicant / plaintiff had filed an application by directing the respondents 1 and 2 / defendants 1 and 2 to deposit the suit amount or furnish security for the suit property of Rs.1,25,67,470/- (Rupees One Crore Twenty Five Lakhs Sixty Seven Thousand Four Hundred and Seventy Only)

on failing which to attach the schedule mentioned property.

3. Heard the learned Senior Counsel for the applicant / plaintiff and the learned counsel for the respondents / defendants and perused the materials available on record.

The averments of the application in brief:-

4. The applicant / plaintiff is a registered Partnership Firm represented through its Managing Partner; the firm is involved in the business of Gas Manufacturing; the first respondent, who is the husband of the second respondent was the sole proprietor of M/s.SR Hot Dip Galvanising and it was managed by the second respondent; the first respondent who is the brother of one of the partners in the applicant's firm got acquainted with the plaintiff; during the year 2020, the respondents approached the applicant to provide financial support in order to improve and develop their business and settle the loans borrowed for the development of their business with a promise to repay the loan along with interest @ 18% per annum.

4.1. The applicant had agreed to lend money to the respondents whenever required; on various occasions, the applicant / plaintiff lent money to the respondents and it aggregated to the tune of Rs.85,61,000/-; the applicant had transferred the huge sum through RTGS from the firm's current account to the first respondent business account under the name M/s.SR Hot Dip Galvanising, towards discharge of the said loan; the first respondent issued a cheque bearing No.000559 in favour of the firm drawn on Lakshmi Vilas Bank; however, the first respondent choose not to repay the loan whenever demanded; he gave evasive replies and hence the plaintiff has filed the suit for recovery of money after exchange of pre- litigation notices to the respondents / defendants. As the applicant firm has made out a prima facie case and has got balance of convenience, a direction should be given to furnish security by depositing the suit amount or on its failure to attach the schedule mentioned property.

Counter affidavit of the respondents:-

5. The plaintiff has filed a vexatious suit; the first respondent’s father Selvaraj had two daughters viz. Saraswathy and Shantha; he runs a small scale industry by name M/s.SR Hot Dip Galvanising; the first daughter Saraswathy was married to one Ramamoorthy and the second daughter Shantha was married to Sivakumar; the first respondent had married the second respondent and the father’s business was transferred to the first respondent and he was in need of financial assistance for the business as the business was running in loss.

5.1. The second daughter Shantha’s husband Sivakumar and his friend Murali were running a partnership firm namely M/s.Air Pack Speciality Gases and both the companies were operated by Sivakumar and Murali jointly and their respective wives were sleeping partners; Murali who represents the plaintiff is not the Managing Partner of the plaintiff's company; since the father of the first respondent did not have any cibil score to avail bank loan, his sister Shantha’s husband Sivakumar suggested that the property of Selvaraj be settled in favour of Shantha in order to avail loan from the bank and settle the debts of the first respondent’s industry M/s.SR Hot Dip Galvanising; it was assured by Sivakumar that once the loan amount is settled, the property will be transferred to the name of the father; on 17.09.2019 the first respondent approached the bank and offered a one time settlement; as per the one time settlement letter, the first respondent had to pay Rs.85,36,000/- to the bank.

5.2. On the basis of the above said family