I.VENKATANARAYANA,PRESIDENT - (1.) THE opposite party Nos. 1 and 2 are the appellants.
(2.) AGGRIEVED by the order of the District Forum -II, Hyderabad in O.P. No. 848/1996, dated 21.6.2000, the present appeal is filed.
(3.) THE facts leading to the filing of the appeal are set out as hereunder : The complainant has opened a current account under Account No. 696 at the Branch of the third opposite party and issued a cheque dated 5.11.1995 drawn on Himayatnagar Branch for issuing a demand draft in favour of its customer B. Kutumba Rao who is a resident of Vijayawada. The demand draft is issued for a sum of Rs. 3 lakhs drawn on Allahabad Bank, Vijayawada branch. It is contended by the complainant that on inquiry they came to know that the demand draft was not issued by the opposite party in favour of B. Kutumba Rao, but issued in favour of M/s. Jaya Machinery, Vijayawada which is clearly contrary to the instructions given to the opposite party. It is further stated that the opposite party acted contrary to the instructions and acted in a negligent manner in discharging their obligations as a Banker. The inquiry reveals that somebody has encashed the demand draft and the complainant was disabled from recovering the said sum of Rs. 3 lakhs on account of the negligence of the opposite party. The complainant addressed a letter dated 15.2.1996 enquiring about the factum of demand draft not being issued in favour of B. Kutumba Rao but it was issued in favour of M/s. Jaya Machinery, the Chief Manager appears to have wrote that the cheque was presented with a requisition for issuing draft for Rs. 3 lakhs favouring M/s. Jaya Machinery by one P. Durga Prasad purporting to be the representative of B. Kutumba Rao. The opposite party acted contrary to the instructions which resulted in the loss of Rs. 3 lakhs to the complainant. Hence he approached the District Forum seeking for a direction to the opposite parties to pay a sum of Rs. 3 lakhs with interest at 24 per cent per annum from 6.11.1995 till the date of realization and for damages.;