The High Court of Telangana passed a judgment on 12 April, 2023 stating the initial burden lies upon the plaintiff to prove that consideration was passed under the suit promissory note It was stated in the case of M Narasimha Rao vs R. Hanumantha Rao(C.C.C.A.NO.165 OF 2018) which was passed by the single judge bench comprising of G.Radha Rani
FACTS OF THE CASE:
This appeal is filed by the defendant aggrieved by the judgment and decree passed in O.S.No.771 of 2016 on the file of the XVII Additional Senior Civil Judge, City Civil Court, Hyderabad directing the appellant herein to pay an amount of Rs.8,30,000/- with subsequent interest @ 12 % per annum from the date of suit till the date of decreeThe case of the plaintiff was that the plaintiff and the defendant were known to each other since several years and out of that acquaintance, the defendant approached the plaintiff for hand loan of Rs.5.00 lakhs and on 24.10.2013 the plaintiff gave the said amount to the defendant and the defendant executed a demand promissory note and passed a separate receipt and agreed to repay the same within a period of one year along with interest @ 24 % per annum. The defendant having received the hand loan amount failed to repay the same as agreed earlier and dragged the matter for months together inspite of repeated requests hand threatened the plaintiff with dire consequences. The plaintiff demanded the defendant to repay the loan amount with interest but the defendant threatened the plaintiff with dire consequences. As such, having no other alternative, the plaintiff filed the suit for recovery of money.
JUDGEMENT OF THE CASE
The defendant failed to prove the aspect of forgery, the initial burden lies upon the plaintiff to prove that consideration was passed under the suit promissory note and the plaintiff failed to prove the same. As such, the suit need to be dismissed but the trial court decreeing the suit is against the established principles of law. As such, the same need to be set aside. In the result, the CCCA is allowed setting aside the judgment and decree passed. The amount deposited by the appellant – defendant before the trial court is directed to be returned to him.
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JUDGEMENT REVIEWED BY ROSHNI SABU, KERALA LAW ACADEMY LAW COLLEGE.