JWALA PRASAD Vs. MOHAN LAL

JUDGEMENT

(1.) On the 1 of June 1908 Debi Das mortgaged his house to Durga Prasad for Rs. 200 with compound interest at Rs. 37-8 per annum with yearly rests. On the 23 December 1915 Durga Prasad assigned his mortgage to Mohan Lal and Salig Ram, nephews of Debi Das, the mortgagor, for a consideration of Rs. 200 only although nothing had been paid on account of principal or interest up to date. On the 27 of August 1919 Debi Das sold the house to one Jwala Prasad for Rs. 500 leaving Rs. 200 with the latter for payment of the mortgagees. Four days later Jwala Prasad paid Rs. 200 to one of the mortgagees, namely, Salig Ram who gave a receipt for the same on account of the mortgage money and promised to return the mortgage-deed.

(2.) The present; suit is brought by Mohan Lal to recover the mortgage money. It was pleaded that the mortgagees agreed to forego all the interest due on the mortgage money and that Salig Ram had accepted Rs. 200 in full discharge of the mortgage debt and that his receipt was binding upon Mohan Lal, his co- mortgagee, and operated to extinguish the mortgage.

(3.) The Court of first instance gave a decree for the amount claimed less Rs. 200 which had been paid to Salig Ram and this decree was upheld by the lower appellate Court. It is urged in second appeal that the circumstances of the case point to the fact that the mortgagees relinquished their right to interest, The lower Courts were clearly right in holding that the alleged oral agreement to relinquish the interest on the mortgage money could not be proved. Evidence to prove such an oral agreement is inadmissible under Section 92 of the Evidence Act.