BANK OF INDIA Vs. UNITED WESTERN LIMITED

JUDGEMENT

(1.) Heard learned counsel for the parties. Perused plaint and documents on record.

(2.) Factual matrix reveal that the plaintiff and the first defendant are both Banking Companies. The second defendant is a sole proprietorship firm of which one Dipak Shantilal Merchant is the proprietor; whereas, the third defendant is a Company incorporated under the provisions of the Companies Act, 1956.

(3.) The case of the plaintiff-bank in the plaint is that on 6.11.1987 the first defendant presented a cheque bearing No.011605 dated 2.11.1987 purportedly drawn by the third defendant in favour of the second defendant and purportedly in the sum of Rs. 2,24,870. The said cheque was examined by the plaintiff. When the plaintiff could not find traces of use of any chemical or any alteration. The said cheque was cleared for payment by the plaintiff and made actual payment of Rs. 2,24,870 to the first defendant and debited the account of the third defendant with that amount.