1 Fair
IN THE COURT OF THE SENIOR CIVIL JUDGE, RAMACHANDRAPURAM
Present:-Sri K.SYAM BABU,
Senior Civil Judge.
Friday, the 23rd day of April, 2021
:: A.S.No.23 of 2018 ::
Between:-
Dommeti Nagendra, S/o.China Venkata rao, age 29 years, Business & Cultivation, R/o.D.No.7-3-21, Gubbalavari Peta, Ramachandrapuram, Ramachandrapuram Mandal, E.G.Dt., … Appellant/ plaintiff in RCPM PJCJ. O.S.No.109/2017.
And
Vanum Venkata Appa Rao, S/o.late Samudram, age 46 years, Attender LIC office, Opposite 7 Star Hotel,… Respondent/ defendant in Main Road, Kakinada, KKD PJCJ.O.S.No.109/2017.
On appeal against the Judgment and decree passed by the
Hon’ble Principal Junior Civil Judge, Ramachandrapuram,
dt.16.03.2018 in O.S.No.109/2017.
O.S.No.109/2017
Between:-
Dommeti Nagendra… Plaintiff.
And
Vanum Venkata Appa Rao… Defendant.
This appeal is coming on 08.03.2021 for hearing and arguments through videoconferencing and upon perusing the grounds of appeal, judgment and decree of the trial court and other connected papers on record and of Sri S. Satyanarayana, Advocate for appellant/ plaintiff in
O.S.No.109/2017, and respondent/defendant in O.S.No.109/2017 called
absent, and the matter having stood over for consideration till this day, this court delivered the following:
:: J U D G M E N T ::
1. This is an appeal against the decree and judgment passed by the
Court of Principal Junior Civil Judge, Ramachandrapuram dated 16.03.2018 in
O.S.109/2017.
2 Fair
2.The appellant is the plaintiff in O.S.No.109/2017 on the file of
Principal Junior Civil Judge, Ramachandrapuram. The Hon’ble Court after
appearing both parties through their counsels conducted trial and dismissed the suit. Hence the appellant/ plaintiff preferred this appeal by aggrieving the decree and judgment of the suit in O.S.No.109/2017 on the file of trial Court.
3.For the sake of convenience and for better appreciation of the oral and documentary evidence adduced before the trial court, to avoid unnecessary repetition and confusion, the parties in this appeal, hereinafter will be referred to as they are arrayed in the suit before the trial court i.e.
plaintiff and defendant.
4.The averments mentioned in the plaint in brief are as follows:-
The defendant borrowed an amount of Rs.2,20,000/- from him on 25.12.2015 for the purpose of his family expenses and to discharge sundry debts and agreed to repay the same with interest @ 24% p.a., and after receipt of consideration, the defendant executed a demand promissory note on the even date in favour of the plaintiff at Ramachandrapuram. In spite of repeated demands made by the plaintiff, the defendant failed to repay any amount and further he issued a registered legal notice dt.25.05.2017 and the defendant received the same on 27.05.2017, but did not choose to pay any amount nor gave any reply. Since the defendant is not an agriculturist, he is not entitled to the benefits of the Debt Relief Laws.
Hence, the suit
5. The defendant filed written statement by denying all the allegations made in the plaint and contended that the suit promissory note is not supported by any consideration and he never visited the plaintiff’s village and never executed the promissory note in favour of the plaintiff and he has no knowledge about the plaintiff, attesters and scribe. He further submitted that there is no creditor and debtor relationship between the plaintiff and 3 Fair him and the Telugu signature does not belong to him and the suit promissory note is a forged and fabricated one. Hence, prayed for dismissal of the suit with costs.
6.On the strength of rival contentions, the trial Court framed the following issues:
1.Whether the suit pronote dt.25.12.15 for an amount of Rs.2,20,000/- is true, valid, binding on the defendant and supported by consideration and or was it a forged or fabricated one as alleged?
2.Whether the plaintiff is entitled for suit claim as prayed for?
3.To what relief?
7.In the trial court, on behalf of the plaintiff, the plaintiff was examined himself as P.W.1 and got marked Exs.A.1 to A.3 and also examined one of the attestors by name Kodi Trinadh as P.W.2. The defendant not produced any oral or documentary evidence.
8.On appreciation of the above referred oral and documentary evidence, the trial court dismissed the suit. Aggrieved by the above said judgment and decree, the plaintiff preferred the present appeal questioning the correctness, legality, validity and maintainability on the following grounds:-
1. The decree and judgment of the lower court is against law weight of evidence and probabilities of the case.
2. The lower court should have decreed the suit as prayed for in favour of the appellant/plaintiff.
3. The lower court failed to see the entire contents of cross examination of defendants counsel and failed to see evidence of plaintiff.
4. The finding of lower court that the plaintiff failed to settle issues properly and issue No.1 straight away settled in favour of the defendant by made fining that the passing of consideration is a doubtful one.
4 Fair
5. The lower Court simply gave adverse inference by giving favorable findings in favor of the defendant with regarding to the consideration and capacity of the plaintiff.
6. The lower court failed to draw presumption under 118(a) of
Negotiable instruments Act as the suit filed by the plaintiff basing on the promissory note executed by the defendant. The lower Court failed to appreciate the evidence of P.W.2 who is the attestor, has categorically proved and reiterated the evidence about the execution of promissory note and passing of consideration in his presence. In view of the evidence of P.W.2 placed before the lower Court ought not to made finding for non-examination of scribe on behalf of the plaintiff/Appellant for proving execution of suit promissory note. The lower Court ought to be considered the evidence of P.W.2 for execution of promissory note and the lower Court ought not to made finding in its judgment at page No.7 para 7.8, about the non examination of scribe is a fatal to the case of plaintiff.
7. The lower Court failed to consider basic points for consideration in favour of the plaintiff as the suit filed by the plaintiff for recovery of money basing on the promissory note executed by the defendant which is not a compulsory attestable document.
8. The lower court failed to look into the evidence and cross examination done by the defendant counsel the evidence of plaintiff witnesses considerate by the lower Court it certainly no doubt that defendant nothing was elicited from the mouth of plaintiff/ appellant witnesses with regarding to the non-execution of promissory note.
9. The lower Court failed to draw considerable points in favour of the appellant with regarding to the capacity, acquaintance, accessibility, and possibility of lending amount to the respondent by the appellant.
To that effect the lower court wrongly gave findings in its judgment at para No.7.5 in page No.5.
10. Since the plaintiff got examined P.W.2 to prove the execution of promissory note, the lower Court ought to be considered the same if the lower Court consider the same the plaintiff certainly proved execution of promissory note then the burden could be shift to the defendant for non-passing of consideration under suit promissory note.
But the lower court erroneously made findings in its judgment at para
No.7.9 in page 7 as the plaintiff failed to prove the execution of 5 Fair promissory note as such there is a doubt in passing of consideration as mentioned in promissory note Ex.A1. 1
11. The lower court grossly failed to gave favourable consideration in favour of the appellant without applying its mind with regarding burden of proof with regarding to the execution of promissory note and passing of consideration.
13. When the defendant denying his signature by taking a plea of forgery the burden always lies upon the defendant, the defendant has to prove they never signed on the promissory note by sending the signatures to the expert opinion. The lower court erroneously made finding about the denial of signature and denial of execution of document in its judgment at Para No.7.2 in page 3. Proof of execution of document is different from denial of signature on a document.
For the above grounds and other grounds that may be urged at the time of arguments, the appellant humbly pray that the
Hon’ble Court may be pleased to set aside the decree and judgment in
O.S.109/2017 on the file of Principal Junior Civil Judge’s Court,
Ramachandrapuram dt.16.03.2018 and to decree the suit with costs and grant such other reliefs as the Hon’ble Court deemed to fit and proper in the circumstances of the case.
9.Perused the pleadings, issues, oral and documentary evidence adduced and the case law.
10.Upon hearing the learned counsel and on re-appreciation of the oral and documentary evidence adduced before the trial court, in the light of the grounds of appeal, findings of the trial court and the law governing the subject, the points for determination are:
1)Whether the appellant/Plaintiff is entitled for the suit claim?
2)Whether the Judgment of trial court is an erroneous one and liable to be set aside?
3)To what relief?
11.POINT No.1 : Whether the appellant /plaintiff is entitled for the suit claim?
6 Fair
The version of the plaintiff is that the defendant borrowed an amount of Rs.2,20,000/- from the plaintiff on 25.12.2015, after executing the
Ex.A.1 promissory note and received consideration there under.
12.The contention of the defendant in the trial Court is that he never borrowed any amount from the plaintiff and never executed the promissory note in favour of the plaintiff and the Telugu signature on Ex.A.1 is not that of the defendant and further contended that the suit promissory note is a forged and fabricated document.
13.It is to be noted that the defendant failed to adduce any evidence either orally or documentary to substantiate his contention. The learned counsel for the defendant relied on the facts elicited through the cross-examination of PWs.1 and 2. As seen from the Judgment of the Trial
Court, it reveals that several opportunities were given to the defendant to adduce evidence but the defendant failed to enter into the witness box and not came forward to depose anything.
14.The learned counsel for the plaintiff submitted that the Trial
Court gave a Judgment in favour of the defendant without any supporting evidence and it is only with the assumptions and presumptions. The learned counsel for the defendant submitted in the trial Court that the plaintiff is a total stranger to the defendant and the plaintiff has no capacity to lend such a huge amount of Rs.2,20,000/- and the plaintiff has to prove strictly that
Ex.A.1 is supported by consideration. The learned counsel for the plaintiff further submitted that since the plaintiff and the 1st attestor of Ex.A.1 are examined as PWs.1 and 2, the initial burden on the plaintiff was discharged and the defendant failed to enter into the witness box and as such a presumption under Section 118(a) of Negotiable Instrument Act is available to the plaintiff, but the trial Court erroneously gave a finding that when the defendant is denying the execution of Ex.A.1, it is the duty of the plaintiff to 7 Fair examine the scribe, but the plaintiff failed to examine the scribe of Ex.A.1 to prove the execution of Ex.A.1 and as such the presumption under Section 118 of Negotiable Instrument Act cannot be invoked in favour of the plaintiff.
15.The Trial Court clearly gave a finding that to substantiate the case of plaintiff, he examined himself as PW.1 and got marked Ex.A.1 to A.3 and to corroborate the case of plaintiff, the 1st attestor of Ex.A.1 is examined as PW.2 and the evidence of PW.2 is corroborated the testimony of PW.1 on all material aspects i.e., borrowing of amount by the defendant and execution of Ex.A.1 in favour of the plaintiff. It is clearly opined by the trial
Court that the evidence of PW.1 corroborated with the evidence of PW.2 on all the material aspects of borrowing amount and execution of Ex.A.1 by the defendant. It is to be noted that the burden of proof is different from that of onus of proof. There is no doubt that the initial burden is on the plaintiff to establish that the defendant executed Ex.A.1 promissory note after receipt of consideration there under. The said fact is to be proved by the plaintiff and when the evidence of PW.1 and the documents of Ex.A.1 to A.3 are came on record, the onus of proof shifted to the defendant.
16.The version of defendant in his pleadings is that the suit promissory note is a forged and fabricated one and further it is also averred in the written statement that the Telugu signature on suit promissory note is not that of the defendant. The trial Court opined in its Judgment that the defendant has taken two contrary pleas of forgery and fabrication and even though the initial burden is on the plaintiff and if the plaintiff is failed to discharge his burden of proof of execution of Ex.A.1 promissory note then the plaintiff is not entitled for the presumption under Sec.118 (a) of Negotiable
Instrument Act. It is also opined by the trial Court that the defendant may also dislodge the statutory presumption and to dislodge the legal presumption either by direct evidence or circumstances or the 8 Fair preponderance of probabilities elicited during the cross-examination of plaintiff side witnesses. The trial Court gave a finding that the defendant counsel mainly relied on the material elicited through the cross-examination of PWs.1 and 2 to disprove the case of plaintiff.
17.The learned counsel for the plaintiff submitted that the trial
Court gave a finding with regard to the financial incapacity of plaintiff and when there is no such pleadings from the defendant, trial Court gave findings only on assumptions and presumptions.
18.On perusal of the record, the defendant failed to enter into the witness box and in his pleadings also there is no whisper with regard to the financial incapacity of plaintiff. Though the facts elicited through the cross- examination of PW.1 discloses that the name of plaintiff is in White Ration
Card and it is also stated by the PW.1 that the White Ration Card will be given to below poverty people, it cannot be a sole basis to decide that the
Ex.A.1 is not supported by consideration.
19.As seen from the pleadings of defendant, his contention is that the suit promissory note is forged and fabricated one. There is no opportunity for the plaintiff to elicit from the defendant whether the suit promissory note is forged or fabricated one. If the defendant has adduced evidence, then the plaintiff will get an opportunity of cross-examining the defendant and hence the fact with regard to forgery or fabrication of Ex.A.1 will be decided. But there is no such scope for the plaintiff to elicit that fact.
In Para No.8 of its Judgment, the trial Court relied on a Judgment reported in
AIR 1999 Supreme Court 1008 in Bharat Barrel and Drum
Manufacturing Company vs. Amin Chand Payrelal. The ratio in this
Judgment is also clearly speaks that the bare denial of the passing of the consideration is not sufficient to disprove the case of plaintiff.
9 Fair
20.In the present case, even the pleadings of defendant also not disclosed about the financial incapacity of plaintiff and non-passing of consideration under Ex.A.1 promissory note.
21.The defendant has to prove his case either from the facts elicited through the cross-examination of plaintiff side witnesses or from the direct evidence. In the present case, the defendant has not taken such plea of financial incapacity of plaintiff and as such the cross-examination of PW.1 with regard to the financial incapacity is beyond the scope of contention of defendant. If it is considered that the bare denial of execution of Ex.A.1 is sufficient to permit the defendant to rely on the facts elicited through the cross-examination of PW.1 with regard to the financial incapacity, then it should be considered only after adducing a prima facie evidence by the defendant with regard to the denial of execution of Ex.A.1. The pleadings without evidence cannot be a basis to disbelieve the entire case of plaintiff.
22.The learned counsel for the plaintiff further submitted that when the defendant failed to enter into a witness box and not offer himself to be cross-examined by the opposite party, the plea set up by the defendant cannot be a believable version and as such the the observation of the trial
Court that the plaintiff is not having financial capacity since the plaintiff admitted that his name is reflected in the white ration card of his family, cannot be a basis to brush aside the entire evidence of PWs.1 and 2.
23. When there is contrary contentions from the defendant with regard to the signature on Ex.A.1 promissory note, this Court is of opinion that the onus shifted to the defendant to establish that the signature on
Ex.A.1 is not belongs to the defendant and it is not proved by adducing any evidence. Nothing was elicited from the cross-examination of PW.1 and PW.2 to prove that the signature in Ex.A.1 is not that of defendant.
10 Fair
24.The learned counsel for the plaintiff submitted that the trial
Court gave a finding merely basing on the assumptions and presumptions.
The trial Court gave a finding that when the PW.1 failed to produce any evidence to show that he was having amount with him as on the date of
Ex.A.1 and it was also observed by the trial Court that no prudent man will keep such amount in his hands without depositing in his bank account. One cannot assume that everybody will deposit the amount into the bank without keeping the money with them. Hence the said presumption is not basing on any supporting evidence.
25.The learned counsel for the plaintiff submitted that when the defendant himself not come forward to depose evidence and not offer himself to be cross examined by the other side, a presumption under Section 114 of Indian Evidence Act is available to the plaintiff and relied on a
Judgment reported in in Vidhyadhar v. Mainkrao and another in 1993(3)ALT 1 (SC). The ratio in this Judgment is squarely applicable to the present case.
26.The trial Court gave a finding that the non-examination of scribe of Ex.A.1 is disproved the case of plaintiff. If the defendant is coming forward to depose evidence and enter into witness box and offer himself for cross-examination, then the said observation may assume to be supported by the testimony of defendant. But in the present case, the defendant failed to enter into witness box and as such the mere suggestion made to the PW.1 will not be considered as a valid evidence and such observation of the trial court is with out the support of any evidence.
27.In the present case the PW.1 and PW.2 adduced evidence to prove the contents of Ex.A.1 and the defendant failed to adduce any evidence and as such the onus of proof which is lying on the defendant is not discharged.
11 Fair
28.It is to be noted the burden of proof will always be on the plaintiff, but the onus of proof shifted to the defendant whenever the plaintiff adduced primary evidence to prove his contention. Though the defendant cannot adduce any evidence to prove the negative act of non- existence of consideration, it can be through the cross-examination of plaintiff side witnesses. . When the defendant counsel made a suggestion to the PW.1 that the Ex.A.1 is a fabricated document and the non-examination of defendant himself as a witness is strengthening the case of plaintiff.
29.The learned counsel for the plaintiff submitted that a presumption under Section 114 of Indian Evidence Act is available to the plaintiff since the defendant is not coming forward to adduce evidence. The learned counsel for the plaintiff further submitted that the Judgment relied on by the trial Court in Bharat Barrel and Drum Manufacturing
Company v. Amin Chand Payrelal reported in AIR 1999 Supreme
Court 1008 is not applicable to the present case because the facts are completely not similar.
30.The ratio in this Judgment is that the burden upon the defendant of proving the non-existence of the consideration can be either direct or by bringing on record the preponderance of probabilities by reference to the circumstances upon which he relies. In case, where the defendant fails to discharge the initial onus of proof by showing the non-existence of the consideration, the plaintiff would invariably be held entitled to the benefit of presumption arising under Section 118 (a) in his favour.
31.The ratio laid down in this Judgment is appears to be favourable to the plaintiff because the defendant fails to discharge the initial onus of proof by entering into the witness box. Hence this Court is of opinion that the onus of proof which is on the defendant, is not discharged by the 12 Fair defendant and as such the evidence adduced by PWs.1 and 2 and Ex.A.1 to
A.3 clearly establish the case of plaintiff.
32.It is to be noted that if the defendant intentionally and wantonly not produced any evidence by contending that the facts elicited through the cross-examination of PWs.1 and 2 are sufficient, then it can be considered otherwise. But in the present cased, the trial Court clearly gave a finding that the defendant failed to examine himself nor examine any other witness on his behalf in spite of sufficient opportunities given to him. Hence it clearly shows that intentionally he evaded to come into witness box and to offer himself for cross-examination by other side. Hence this Court is of opinion that the case set up by the defendant cannot be a conclusive proof and the pleadings of defendant are not proved by any evidence.
33.Under the aforesaid reasons, this Court is of opinion that by adducing the evidence of PWs.1 and 2 and by marking the documents Ex.A.1 to A.3, the plaintiff clearly established his case and the defendant failed to adduce any evidence to disprove the case of plaintiff and as such the plaintiff is entitled for the suit claim. Hence the point No.1 is answered in favour of the appellant and against the respondent.
34.POINT NO.2:
The findings of trial Court are completely appears to be basing on assumptions and presumptions and without support of pleadings or evidence from the defendant with regard to the financial incapacity of the plaintiff and the non-examination of scribe of Ex.A.1. Hence this Court is of opinion that the findings of trial Court are erroneous and not supported any substantive evidence and as such it is liable to be set aside.
35. POINT NO.3:-
As per the reasons and findings given for the point No.1 and 2 the appeal is to be allowed.
13 Fair
36. In the result, appeal is allowed with costs and the Judgment and decree of the Court of Principal Junior Civil Judge, Ramachandrapuram in
O.S.No.109/2017 dated 16.03.2018 is set aside by decreeing the suit with
costs for Rs.2,95,680/- (rupees two lakh ninety five thousand six hundred and eighty only) with subsequent interest at 6% p.a., on the principal sum of
Rs.2,20,000/- (rupees two lakh twenty thousand only) from the date of this appeal till date of realization.
Dictated to the Stenographer, Transcribed by him, corrected and
pronounced by me in the open court, this the 23rd day of April, 2021.
Sd/- K.Syam Babu
S ENIOR C IVIL J UDGE
Ramachandrapuram.
Appendix of Evidence
No additional oral or documentary evidence adduced on either side.
Sd/- K.Syam Babu
S.C.J. // True Copy //
Senior Civil Judge,
Ramachandrapuram
Copy to the Principal Junior Civil Judge’s Court, Ramachandrapuram