Sita Ram Gupta vs Punjab National Bank And Ors

The Supreme Court addressed the applicability of Section 130 of the Indian Contract Act, 1872, concerning the liability of a guarantor after revocation of the guarantee. The Court held that the guarantor remains liable for the loan amount even after revocation, as the guarantee was a continuing one, and the bank's right to recover was upheld. The appeal by the guarantor was dismissed, affirming the High Court's decree against him for the amount due to the bank.