notified the society of such interest or charge in writing or any surety and if default has been made in payment of the loan ... movable property is pledged with the society ; (d) on personal security without sureties, unless the borrowing member has unencumbered immovable property or attachable funded assets
which a Society might be involved with non-members (except
as sureties) were not within the section. Therefore, the
Explanation to the section ... past members, persons
claiming through members, past members or
deceased member and sureties of members, past
members or deceased members, whether such
sureties are members
debt or demand be admitted or not; (b) a claim by a surety against the principal debtor where the multi-State co-operative society ... recovered from the surety any amount in respect of any debt or demand due to it from the principal debtor as a result
interest had not been created in favour of any
creditor or a surety or a guarantor for or on account of an antecedent financial
debt ... interest has not been created in favour of any creditor or a surety
or a guarantor for or on account of an antecedent financial debt
Indian Contract Act itself provides that
"the liability of the surety is coextensive with that of the
principal debtor, unless it is otherwise ... Tenth edition, at page 728 it is observed thus:
"Coextensive. Surety's liability is coextensive with that of the
principal debtor
Rupees Forty Thousand Only), with one solvent surety in the like
amount to the satisfaction of the concerned Chief Judicial Magistrate /Judicial
Magistrate First Class ... Rupees Forty Thousand Only), with one solvent surety in the like
amount to the satisfaction of the concerned Chief Judicial Magistrate /Judicial
Magistrate First Class
shall entertain any suit or other proceeding against the debtor or his surety for the recovery of any amount of such debt: Provided that where ... instituted jointly against a debtor and some other person other than a surety, nothing in this Section shall apply to the maintainability of such suit
defendant No. 2, T. B. Subba Rao, was one of the sureties.
3. The suit was filed on January 25, 1973, for recovery ... enter into a contract giving up the rights available to a surety under Chapter VIII of the Indian Contract Act ? In other words, whether
debt or demand be admitted or not; (b) a claim by a surety against the principal debtor where the multi-State cooperative society has recovered ... from the surety any amount in respect of any debt or demand due to it from the principal debtor as a result of the default
entertain any suit or other proceeding against of the debtor or his surety for the recovery of any amount of such debt; Provided that where ... instituted jointly against a debtor and some other person, other than a surety, nothing in this section shall apply to the maintainability of such suit
