Falshaw, J. - (1.) This is an appeal filed by Messrs. Ganga Ram Sat Narain against the decree of the lower Court granting the plaintiff Gyan Singh of Messrs. Gyan Singh and Company a declaration that the plaintiff was rightful holder of the sum of Rs. 10,000/- in dispute and that the defendant had no right to claim the said amount back from him.
(2.) Generally speaking the facts are not in dispute. On 11-7-1947 the plaintiff firm, which is represented by Gian Singh, the sole proprietor, agreed to purchase 400 bales of a certain kind of cloth called Patti Phulanain at Rs. 75/ per bale and handed over two cheques for Rs. 4,000/- each to the defendant who agreed to deliver the goods within seven or eight days on payment of the balance of the purchase price. The plaintiff entered into a further contract for 200 more bales on the same terms on 12-7-1947. The defendant firm which is represented by Ram Kumar, the Managing Proprietor, was unable to cash the plaintiff's cheques which were in fact dishonoured, but on the 15th of July Gyan Singh took back the cheques and paid Rs. 10,000/- in cash to Ram Kumar who gave him a receipt and promised to supply the 600 bales within two or three days on payment of the balance.
(3.) In the plaint it was alleged simply that the plaintiff had approached the defendant on the 17th of July and demanded delivery of the goods, for which he was prepared to pay the balance, and as the price had gone up in the meantime the defendant refused to deliver the goods, and also that he did not return the sum of Rs. 10,000/- with the result that within a few days Gyan Singh made a report to the police on which a case under S. 420, Indian Penal Code was registered against Ram Kumar and his brother Sat Narain. It is not in dispute that within the next few days after he had been arrested Ram Kumar handed over Rs. 10,000/- to the police and on 8-8-1947 Gyan Singh applied to the Court of the Magistrate where the case was pending for this sum to be made over to him. This was done during the pendency of the case, at the conclusion of which Sat Narain was acquitted but Ram Kumar was convicted. Eventually Ram Kumar was also acquitted in appeal by the learned Sessions Judge who, however, declined to pass any order for the return of Rs. 10,000/- to Ram Kumar. The latter filed a revision petition in the High Court in which, on 29-9-1956, J. L. Kapur J. passed an order that the sum of Rupees 10,000/- should be returned by Gyan Singh to Ram Kumar pending a decision of the rights and liabilities of the parties on the contract in a civil Court.;