Promissory Note Case Laws
O. Mahalakshmi
(Querist) 30 June 2010
This query is : Resolved
Dear Experts.
I am an advocate and I have been practicing since 21st Oct, 2009.
I have cross examined PW-1 and PW-2 reguarding pronote suit on behalf of Defendant. PW-1 in his Chief affidavit and in my cross examination he stated that he has given debt to Defendant for his family expenses and for the treatment of defendant health. Further he stated that he is doing finance business.
In my cross examination PW-2 stated that who is the father of PW-1 and also attestor of the said pronote like this his son has given the debt to defendant for discharging sundry debts. I questioned him that did your son (PW-1) has licence to do finance business. PW-2 stated that yes PW-1 has licence to do finance business. Even though PW-1 has no licence and not filed the copies of the licence. So PW-2 state falsely.
On the above two grounds is there any case laws to dismiss the suit.
Is the suit maintainable. It is my first case. Kindly suggest me some case laws to dismiss the suit.
thanks to every one who has read my query and for giving answer.
adv. rajeev ( rajoo )
(Expert) 01 July 2010
A person without having the authorized money lending license, he cannot do the business, if he does so it amounts to unauthorized money lender. Suit is not maintainable. I had produced the Karnataka High Court Judgment, but I am not recalling my memory in which year ILR it was.
SRIKANTH MYLAVARAPU
(Expert) 01 July 2010
sir,
in andhra pradesh having licence is not mandatory for doing money lending business
pawan sharma
(Expert) 01 July 2010
For a single transection of debte there is no requirement of license. You should asked them (to PW1 and PW2) there are how many debte give to others persons. It is a satteled law of Hon'ble Supreme Court in a single transection of debte there is no requirement at persent i am not refreshing my mamory on this citation.
