Madras High Court
CRP/2059/2026 of N.Ganesan Vs M/s.Jayapriya Chit Funds Private Ltd. on 28 August 2026
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 28.08.2026
CORAM
THE HON'BLE MR.JUSTICE P.B. BALAJI
CRP Nos.2059 & 1290 of 2026
& CMP.Nos.9112 & 6287 of 2026
1.N.Ganesan
2.R.Govindarajan
..Petitioners in
CRP.No.2059 of 2026
1.P.Karuppusamy
2.K.R.Ponnusamy
..Petitioners in
CRP.No.1290 of 2026
Vs
1.M/s.Jayapriya Chit Funds Private Limited, Now Business at No.66-D, Akshaya Complex, 3rd Floor, Mettur Road, Erode.
Represented by its Authorised Foreman,
N.Kumar.
2.J.P.Kailash
..Respondents 1 & 2 in
both CRPs
3.C.S.Jayalakshmi
4.C.S.Padmini
..Respondents 3 & 4 in
CRP.No.1290 of 2026
Prayer in CRP.No.2059 of 2026: Civil Revision Petition filed under Section 115 of CPC, to set aside the order dated 26.08.2025 in E.P.No.46 of 2023 in Arb.No.16 of 2020 on the file of the I Additional Subordinate Judge, Erode.
Prayer in CRP.No.1290 of 2026: Civil Revision Petition filed under Section 115 of CPC, to strike off the execution proceedings in E.P.No.65 of 2022 in Arb.No.78 of 2019 on the file of the I Additional Subordinate Judge, Erode.
For Petitioners:
For Respondents:
Mr.J.Franklin in both CRPs
Mr.V.Rajesh Babu for R1 in both CRPs
Mr.J.Ranjith Kumar for R2
in both CRPs
R4 no such person in CRP.No.1290 of 2026
R3- insufficient address in CRP.No.1290 of 2026
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COMMON ORDER
CRP.No.2059 of 2026 has been filed to set aside the order dated 26.08.2025 in E.P.No.46 of 2023 in Arb.No.16 of 2020 on the file of the I Additional Subordinate Judge, Erode.
2. CRP.No.1290 of 2026 has been filed to strike off the execution proceedings in E.P.No.65 of 2022 in Arb.No.78 of 2019 on the file of the I Additional Subordinate Judge, Erode.
3. I have heard Mr.J.Franklin, learned counsel for the revision petitioners in both the revision petitions and Mr.V.Rajesh Babu, learned counsel for the 1st respondent in both the revision petitions and Mr.J.Ranjith Kumar, learned counsel fo the 2nd respondent in CRP.No.2059 of 2026.
4. The learned counsel for the revision petitioners states that the petitioners were alleged sureties to the loan transactions of the 2nd respondent. According to the petitioners, they were total strangers to the 2nd respondent- borrower, who is, in fact, a practising Advocate and there was no occasion to stand as sureties for the alleged borrowing made by the 2nd respondent. The learned counsel for the petitioners also brings to my notice the award of the Arbitrator, which is now sought to be executed against the sureties, namely the petitioners, where the Arbitrator has clearly recorded discrepancies in the Identity Cards that have been relied upon by the borrower, which do not match with the identity of the revision petitioners. However, the Arbitrator has given liberty to the petitioners to agitate the same before the Appellate Court and proceeded to pass an award, holding that the petitioners also jointly and severally liable for the borrowing made by the 2nd respondent.
5. Today, it is brought to my notice by the learned counsel for the petitioners that an appeal has been preferred, however, with a delay of 400 days and the same is pending. He would state that an opportunity may be given to the petitioners to agitate the matter before the appellate forum and exonerate themselves from all liability.
6. Per contra, the learned counsel for the 1st respondent/decree holder would state that the borrower had appeared before this Court through counsel at the last hearing date and he stated that the petitioners are known to the borrower and the case now set up by the sureties is not true.
7. Be that as it may, I find that a sum of Rs.70,000/- has been deposited to the credit of E.P (by way of attachment of salary). The EP has been filed for realisation of Rs.5,34,000/-. In order to provide an opportunity to the petitioners to exonerate themselves from all liabilities, by establishing that they had never stood as sureties for the borrowing of the 2nd respondent, I am inclined to give one indulgence to petitioners to canvass all their rights in the appeal.
8. Considering that there is such delay in filing the appeal, the petitioners in CRP.No.2059 of 2026 shall deposit a sum of Rs.4,00,000/- to the credit of E.P.No.46 of 2023 on the file of the I Additional Subordinate Court, Erode, and the petitioners in CRP.No.1290 of 2026 shall deposit a sum of Rs.6,00,000/- to the credit of E.P.No.65 of 2022 on the file of the I Additional Subordinate Court, Erode, within a period of eight weeks from the date of receipt of a copy of this order. On such deposit, the Court shall invest the amounts in an interest bearing fixed deposits, in any Nationalised Banks. If such condition is complied with, then the delay in preferring the appeal shall be condoned and the petitioners shall be permitted to put forth all their objections and contentions in the appeal, which shall be decided by the Appellate Authority on merits, within a period of three months from the date of the conditional order being complied with. Subject to the result of the appeal, the parties, who succeed, shall be entitled to withdraw the amounts lying in Court deposit, together with accrued interest.
9. With the above directions, these Civil Revision Petitions are disposed of. No costs. Connected Civil Miscellaneous Petitions are closed. 28.08.2026 Index: Yes/No Speaking/Non-speaking order Neutral Citation: Yes/No ATA To The I Additional Subordinate Judge, Erode.
P.B.BALAJI, J. ATA CRP Nos.2059 & 1290 of 2026 28.08.2026