STATE BANK OF INDIA Vs. P.V. GEORGE

JUDGEMENT

(1.) The defendant in a suit for realization of money is the appellant in the second appeal.

(2.) The plaintiff belongs to Pala in Kottayam District. He is working in a South American country, namely, Brazil. The defendant is a bank. The plaintiff is maintaining a NRE (Non-Resident External) account with the defendant. The defendant has provided net banking and Automated Teller Machine (ATM) services to the plaintiff for operating the said account. As the plaintiff is working in an offshore rig in Brazil, he used to be in India for 28 days after every 28 working days. The plaintiff was in India from 04.03.2012 to 27.03.2012. It is stated by the plaintiff that on 26.03.2012 he noticed that a sum of Rs. 2,40,910.36 has been withdrawn from his account though the ATM's located at different places in Brazil between 22.03.2012 and 26.03.2012. The matter was informed by the plaintiff to the defendant forthwith and the ATM card issued to the plaintiff was consequently blocked by the defendant on 26.03.2012 itself. It is also stated by the plaintiff that though complaints have been lodged by him on 27.03.2012 and on 30.03.2012 stating that the withdrawals are unauthorized and requesting the defendant to refund the said amounts, no action, whatsoever, has been taken by the defendant on those complaints. According to the plaintiff, as the withdrawals made from his account were unauthorised, the defendant is liable to refund the amounts involved with interest. The suit is, therefore, for realisation of the said amounts with interest and costs.

(3.) The defendant contested the suit contending that withdrawals are not possible from the account of the plaintiff without the knowledge of the plaintiff and the defendant is, therefore, not liable for the loss caused to the plaintiff. It was also contended by the defendant that at any rate, since the loss caused to the plaintiff is not due to any action or inaction on the part of the defendant, even if the withdrawals are made fraudulently by third parties without the knowledge of the plaintiff, the bank is not liable for the same. It was, however, admitted by the defendant in their written statement that 14 withdrawals amounting to Rs. 2,40,910.36 were made from the account of the plaintiff between 22.03.2012 and 26.03.2012 through the ATM's located at different places in Brazil.