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2011 (11) TMI 407 - HC - Companies LawAppeal u/s 10F - the appellant had offered its guarantee vide its letter dated 2nd March, 2005 for credit limits sanctioned to M/s. Naturex Oils (P) Ltd. by Union Bank of India and Indian Overseas Bank - A perusal of the Letter of Guarantee executed by the appellant, in particular, the Clauses referred to hereinabove, reveals that the appellant was legally bound to register the charge in favour of the respondent - the underlying reason for filing an application for interrogatories, namely, violation of Section 69 of the Indian Partnership Act, 1932 is misconceived on facts and untenable in law inasmuch as when two banks form a consortium to give a loan to a borrower on the strength of a guarantee document, it can never be said that the two banks have entered into a partnership as contemplated under the Indian Partnership Act, 1932 - Held that: the Clause 7 of the Letter of Guarantee, appellant cannot rely upon Section 134(2) of the Indian Contract Act, 1872 - Applications are dismissed
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