Govindarajachari, J - (1.)This is a creditor's appeal and the main point that arises is under Madras Act IV of 1938.
(2.)Most of the material facts are not in dispute. In 1930 the first defendant executed in favour of the plaintiff (appellant) three deeds of mortgage, Exhibits A, B and C for Rs. 1,500, Rs. 1,500 and Rs. 900 respectively. Admittedly, no payments were made towards any of the mortgages till August, 1935, when an arrangement was arrived at between the plaintiff and several persons who had purchased portions of the hypotheca from the first defendant. This arrangement was embodied in Exhibit E, dated 19 August, 1935. After reciting the mortgages it is stated in Exhibit E that the balance in respect of those debts on 19 August, 1935, stood at the figure of Rs. 6,130. It is then provided that a sum of Rs. 5,344 should be credited therefor in the mortgage deeds .... and towards that the properties mentioned hereunder in accordance with the particulars mentioned in paragraph a..., should be sold. It was expected that seven sale deeds would be altogether executed for the purpose of raising the amount of Rs. 5,344 mentioned in Exhibit E but only five out of these were executed and the other two transactions were not put through.
(3.)In the suit out of which this second appeal arises the appellant claimed Rs. 2,828-12-0 as the amount due under the three mortgages, Exhibits A, B and C The suit was decreed substantially as prayed by the learned District Munsif but on appeal the learned Subordinate Judge held that Exhibits B and C were completely discharged and that there remains still due under Exhibit A a sum of Rs. 483, as on 1 October, 1937.