TRADERS BANK LTD Vs. BULLION AND GRAIN EXCHANGE LTD
HIGH COURT OF PUNJAB AND HARYANA
TRADERS BANK LTD., DELHI
BULLION AND GRAIN EXCHANGE LTD., LUDHIANA
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Kapur, J. -
(1.) This is a defendant's appeal against a judgment and decree of the Senior Subordinate Judge, Ludhiana, dated 15-1-1953 decreeing the plaintiff's suit for a sum of Rs. 13,240/- with proportionate costs.
(2.) The plaintiff, the Bullion and Grain Exchange, Ltd., Ludhiana, is a company carrying on business at Ludhiana. The defendant is the Traders Bank, Ltd. The former had a current account with the Bank and on 11-9-1947 it gave a 'hundi' to the Bank for Rs. 16,000/- drawn on Bombay Import and Export Agency, Bombay, with the following instructions:
"We enclose herewith 'hundi' No. 1116 of even date for your disposal and to get the sum of Rs. 16,000/- (sixteen thousand) credited to our current account after realization. Please confirm and oblige". This 'hundi' was realised by the Bombay Branch of the defendant Bank on 19-91947 and they advised the Ludhiana Branch that they had credited a sum of Rs. 16,000/- to the Ludhiana Branch being the amount realised from the drawee. It is not quite clear from the evidence as to when this letter was received by the Ludhiana Branch, but the documents Exhibits D. G. D. D. & D. E. (at pages 31 and 32 of the paper book) show that on 27-9-1947 the Ludhiana Branch debited their Bombay Central Office with Rs. 16,000/- deducting Rs. 10/- as commission and credited to the plaintiff a sum of Rs. 15,990/-. This is also shown by the current account Exhibit D. B., (at page 29 of the paper book).
(3.) On 27-9-1947 by a letter (Exhibit p. 1) which shows that it was sent at 10 a. m., instructions were given to the Bank to make cash payment to the plaintiff and then a cheque was issued at 10-30 a. m. on 27th September through the Hindustan Commercial Bank for collection of the amount of the 'hundi' realised by the defendant Bank but it appears that this cheque was not paid.;
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