LAWS(DLH)-2006-5-244

SYNDICATE BANK Vs. GENERAL SALES AND EXPORTS

Decided On May 25, 2006
SYNDICATE BANK Appellant
V/S
GENERAL SALES AND EXPORTS Respondents

JUDGEMENT

(1.) This Regular First Appeal under Section 96 of the Code of Civil Procedure (for short 'CPC') is directed against the judgment and decree dated 5.4.1986 passed by the learned Additional District Judge, Delhi decreeing the suit of the plaintiff/respondents (in appeal) against the defendant/appellant, M/s. Syndicate Bank, New Delhi.

(2.) It was the case of the respondents, before the Trial Court that respondent no.1 was a partnership concern and the other respondents no.2 to 5 were the partners of the said partnership concern (respondent no.1). The respondent-firm was dissolved w.e.f. 31.1.1976. The said firm had a current account no.1391 in the Bank which they had been operating for a considerable time. There were certain disputes between the partners and on 19.11.1975 the bank was informed that the cheques would only be signed by Mr. H.C. Sarna and Mr. R.C. Sarna (respondents no.1 and 2). The bank duly acted upon it and even started sending the statement of accounts to the concerned. Both the partners who were to operate the bank account left for Frankfurt on 24.2.1977 and thereafter returned to India on 12.3.1977 and 14.3.1977 respectively. On 12.4.1977, a statement was received by them from the bank stating that nearly 14 cheques during the periods 26.2.1977 to 4.3.1977 had been encashed totalling upto Rs.62,336/-. The plaintiffs had not issued any of these cheques and according to them, these withdrawals were unauthorised and were based on forged documents. They were neither signed nor filled in by the partners of the respondent.

(3.) The appellant filed a written statement and took the objection that the suit was barred by time and the same is not maintainable. They denied any discrepancy on their part and prayed that the suit be dismissed being mischievous. On the pleadings of the parties, the following issues were framed:-