PADAM PARSHAD Vs. PUNJAB NATIONAL BANK LTD

JUDGEMENT

(1.) THIS second appeal arises out of a suit brought by Padam Parshad against the Punjab National Bank Limited, Karnal, for the recovery of Rs. 284/ -.

(2.) THE plaintiff's allegations were that he was a dealer in shoes and had sold 14 pairs worth Rs. 259. 25 to Messrs. National Shoe Agency, Amritsar. The shoes were packed in a box and despatched through the Northern India Goods Transport Company on 12th December, 1960. The goods were consigned to self and on the same day, he entrusted the receipt to the defendant-bank with a Hundi for Rs. 259-25 which was drawn against Messrs. National Shoe Agency, Amritsar. The instructions given to the defendant were that the amount covered by the Hundi be collected from Messrs. National Shoe Agency, Amritsar, and the goods receipt then handed over to them. The goods did not reach the consignee and on enquiries it was found that somebody connected with the Bank either at Karnal or Amritsar had stolen the said receipt and taken delivery of the shoes. The loss to the plaintiff had, thus, occurred on account of the gross negligence of the Bank, and, therefore, it was liable to compensate him for the loss suffered by him.

(3.) THE suit was contested by the Bank and it pleaded that the invoice was despatched from Karnal by ordinary post under postal certificate and it was lost in transit from Karnal to Amritsar. When the same was in the custody the postal authorities. The defendant was, therefore, not responsible for the loss. The matter was later on reported to the Police and was still under investigation. Under the terms of the contract, the Bank was not responsible for such a loss. It was denied that the employees of the Bank had committed any negligence or had not acted like prudent men.