CENTRAL BANK OF INDIA LTD Vs. GOPINATHAN NAIR

JUDGEMENT

(1.) The first of these appeals is by the first defendant, the drawee bank of a draft for Rs. 4000/- taken by the plaintiff at its Alleppey branch payable to Pw. 2, the proprietor of Hurry Das Auddy, at the New Market branch of the bank at Calcutta. The draft was sent by the plaintiff to a friend of his, Pw. 1; but it was intercepted in transit by the third defendant, a customer of the second defendant bank. And the Shambazar branch of the second defendant collected the draft from the first defendant. The amount was also withdrawn by the third defendant. The plaintiff filed the suit for recovery of the amount against defendants 1 to 3; and all the courts including a Judge of this Court in second appeal held that defendants 1 and 3 were liable. The appeal is against that decision The third defendant did not contest.

(2.) The second of the appeals is by the second defendant, the collecting bank who collected the draft from the first defendant on behalf of its customer, the third defendant. The Trial Court dismissed the suit against the second defendant; but the lower appellate court and the second appellate Judge held that the second defendant was also liable. And A. S. A No. 12 of 1969 is against that decision.

(3.) The decision of the second appellate Judge is reported as Central Bank of India Ltd., Bombay -- I v. V. Gopinathan Nair ( AIR 1970 Ker. 74 ).