VC George J:

The writ herein with statement of claim was caused to be issued on 15 March 1984. The claim was in respect of amounts outstanding on advances to the 1st defendant guaranteed by the other defendants. Judgment in default of appearance was entered against the 3rd defendant guarantor (and the 2nd defendant) on 9 May 1984 for RM33,996.62 with interest thereon at 8.5% p.a. on monthly rests from 1 February 1984, until realisation and for the further amount of RM6,738.82 with interest thereon at 14.75% p.a. on daily rests from 1 February 1984, until realisation. The 3rd defendant was notified of the terms of the default judgment and a demand was made for payment of the judgment sum. He had apparently ignored the service of the writ and statement of claim and he had ignored this demand as well.

On 19 December 1989, the 3rd defendant, reacting to a bankruptcy notice that the plaintiffs had served on him, took out his application to set aside the default judgment. This was opposed. The learned SAR allowed the application. The 3rd defendant had explained that he had been told by the borrower 1st defendant that he would settle his debt which is why the 3rd defendant had no