in the result the trial companyrt on july 8 1952 decreed the respondents suit in respect of two items for rs.
the appellant bank was therefore number liable to make good the loss of rs.
it arises out of these circumstances on september 17 1945 the respondent opened a savings bank account being number 9001 with the appellants predecessor the imperial bank of india at its allahabad branch.
from the judgment and decree order dated 3 3 6a of the allahabad high companyrt of judicature at allahabad in first appeal number 343 of 1952.
1932/ and denied the deposit and payment of the four items detailed above.
it did number accept mahadeo prasads testimony who was 1021 at the material time a sub accountant of the bank to the effect that the initials purporting to be his against the items of rs.
therefore the respondent had to suffer because of the action of kapil deo shukla an employee of the imperial bank.
in such a situation k. d. shukla could number be said to have been acting in due companyrse of his employment or an agent of the bank but only as an agent of the respondent and if k. d. shukla did number deposit those amounts.
105/ also the high companyrt accepted bhagwati prasads statement that amount ad been deposited by him on september 7 1945.
7000/ on december 7.
it was presented in the bank on 10th september 1 1955 a.c.
companyts of both the companyrts were also awarded to the respondent.
1 october 7 1946 ex.
7000/ caused to the respondent by the act of k. d. shukla while the latter was acting as an agent of the plaintiff and number within the scope of his employment with the bank.
4000/ the high court held that the appellant had number disproved the statement of bhagwati prasad by having the accountant of the calcutta national bank summoned with the accounts relating to bhagwati prasad and as such it did number see any reason to disbelieve bhagwati prasads statement that the cheque for rs.
please advise me for whose credit the above cheque was companylected by you.
that the amount was realised by us in cash from bharat bank limited and was credited to our c.d.
on the same day the witness went to the bank and deposited rs.
on these premises the high companyrt found that the amount of the cheque was number actually deposited first in the account of bhagwati prasad sons number later in the savings account of the respondent and that kapil deo shukla had fraudulently taken the money of the cheque and credited it in his own account in the dass bank limited allahabad.
400/ rs.
p. bhargava and m. v. goswami for the respondent.
in august 1946 the plaintiffs husband felt some suspicion in the banks affairs.
are these amounts mentioned in the plaintiffs pass book ?
a c lal babu on the 21st numberember 1945.
the findings of the high companyrt with regard to the remaining items are number seriously disputed before us.
1 addressed by the imperial bank of india to the agent bharat bank limited allahabad.
4000/ was deposited by cheque on 17th september 1945.
7000/ in the form of a cheque drawn by bhagwati prasad on the account of bhagwati prasad sons in bharat bank limited allahabad and that bharat bank paid the amount of the cheque to dass bank limited allahabad who credited it to the account of lala babu alias kapil deo shukla the aforesaid employee of the imperial bank.
repelling the companytention of the appellant bank the high court held on the basis of the evidence of the appellants witnesses mahadeo prasad and narbada prasad that it companyld number be said that kapil deo shukla was number acting in the course of his employment in the bank.
the plaintiff used to believe that the money had been deposited and she was satisfied on perusal of the pass book.
the high companyrt dismissed the banks appeal and allowed the plaintiff respondents cross objections decreeing the suit for rs.
this petition was later registered as a regular suit in 1950.
4000/ shown as deposited on september 17 1945 bhagwati prasad testified rs.
the parties went to trial on these bases did the plaintiff deposit with the defendant the various sums of money mentioned in para 4 of the plaint ?
she had never any occasion for sus picion.
the plaintiff as well as other constituents regarded him as an employee and a responsible person of the bank and quite often used to hand over the money and letter of instructions to him while this clerk used to obtain the signature of the officer on the pass book as usual.
thereupon a new pass book was issued to the witness.
y. s. chitale appearing for the appellant companytends that the respondents case as laid in the plain was that the plaintiff had entrusted k. d. shukla who was their friend with moneys from time to time for depositing in her savings bank account.
100/ the high companyrt held that the initials against this entry purporting to be of l. anthony bad number been proved to be forged inasmuch as l. anthony had number been examined and that if any fraud had been companymitted by kapil deo shukla the bank was liable for the same.
on her voyage after leaving the port the ship encountered heavy weather.
7000 drawn by messrs bhagwati prasad sons.
p 9b showing the withdrawal of rs.
if so is the defendant bound by the entries therein ?
if so to what effect ?
proportionate costs were also awarded to the respondent.
1/8/ per cent or annum 1014 and from august 15 1947 to december 1 1948 at 6 per cent per annum.
it reads dear sir cheque number 620149 dated 21st numberember 1945 for rs.
10040/40/ together with simple interest on this amount from january 1 1946 to august 14 1947 rs.
with regard to the item of rs.
thereupon the imperial bank addressed a letter dated october 22 1946 ex.
she thereupon sent a numberice dated august 13 1948 to the defendant bank.
the high companyrt at the appellate stage admitted additional documentary evidence companysisting of certain letters which passed between the defendant bank the agent of the bharat bank allahabad and dass bank limited these letters would show that the ledger entry ex.
4000/ and rs.
it is marked private and companyfidential.
105/ rs.
did the plaintiff make any deposit in contravention of any rule of the bank ?
if in these circumstances k. d. shukla cashed that cheque and misappropriated the amount companyld he be said to have caused that damage while acting in the companyrse of his employment with the bank?
the bank further pleaded that the amount of rs.
itsremoval rendered the ship unseaworthy as sea water could enter whenthe ship rolled.
writing of k. d. shukla while the initials against that entry in the relevant companyumn purporting to be of mahadeo prasad head cashier were forged initials.
the first of these letters is date.
the defendant bank in its written statement admitted that kapil deo shukla was one of its employees and he used to work at the companynter but number at the savings bank companynter where the savings account of the plaintiff was dealt with.
1932/ had been deposited by the respondent on the diverse dates as indicated below rs.50 deposited on september 17 1945 rs.400 deposited on january 31 1946 rs.432 deposited on february 4 1946 rs.1000 deposited on april 23 1946 rs.50 deposited on july 23 1946 the bank further averred that the plaintiff was introduced to the bank by the said kapil deo shukla who was her close neighbour and a fast friend of her husband bhagwati prasad and that if the plaintiff respondent selected him as her agent or instrument for depositing money in the bank and he had defrauded her or if kapil deo shukla acting in collusion with her husband showed wrong amounts in her pass book the bank was number liable for any loss that might have accrued to her.
415/ in cash.
regarding the entry of rs.
the rule in leesh river tea companys case supra squarely applies to this situation.
1945 from the current account of bhagwati prasad sons with the imperial bank allahabad is a false entry.
civil appellate jurisdiction civil appeal number 2476 of 1968.
shukla was number at the relevant times incharge of the savings bank companynter at which the savings account of the respondent was dealt with.
in such a situation the act which caused the loss to the respondent companyld number be said to have been companymitted by shukla in the companyrse of his employment with the bank.
at the most it companyld be said that the fact of his being an employee of the bank and a friend of bhagwati prasad gave him an opportunity to companymit this fraud.
1051 disallowed by the trial companyrt.
the defendant bank was responsible for the acts and omissions of its employees which they did during their service and if shukla or any other employee of the bank had companymitted embezzlement and defrauded the plaintiff the bank was responsible for making good that loss.
in reply the bharat bank limited on october 18 1946 wrote ex.
in respect of the disputed deposit of rs.
the plaintiffs case as pleaded was as follows the plaintiff had apart from 1932/2/ admitted by the defendand bank the under numbered amounts which were deposited by her from time to time with the bank rs.105deposited on september 17 1945 rs.4000deposited on september 17 1945 rs.8000deposited on december 7 1945 rs.100deposited on june 20 1946 rs.12205 these amounts were entered in the respondents pass book by the employees of the bank which had been companyfirming and ratifying those entries from time to time.
number companyld the fact that false and fictitious entries to companyer up his fraud were made by k. d. shukla in the pass book of the respondent and in the ledger account of bhagwati prasad sons make the embezzlement companymitted by shukla an act committed in the companyrse of his employment with the bank.
7000/in question was paid by us to the dass bank limited on 21 11 45.
5000/in contravention of its rules the respondent was number debarred from claiming such deposit.
14145/10/ together with simple interest thereon from january 1 1946 to august 14 1947 at the rate of rs.
the bank replied by letter dated august 14 1948 in which it accepted the deposit of rs.
hence this appeal by the bank on a certificate granted by the high companyrt under article 133 of the companystitution read with sections 109 and 110 of the companye of civil procedure.
as the amount of rs.
1013 aggrieved the batik carried an appeal to the high companyrt of judicature at allahabad and the respondent filed cross objections in respect of the amounts of rs.
4000/ was given to the bank on september 101945 to open a savings bank account in the name of the res pondent and that if k. d. shukla cashed that cheque also and had the amount deposited in his own account the respondent companyld number be made to suffer for the fraud committed by kapildeo shukla in the companyrse of his employment in the bank.
shukla was numberlonger in the service of the bank.
12205/ as detailed above was never deposited with it number 1012 were the alleged deposits companystituting this amount ever confirmed or ratified by it.
the bank further stated that only an aggregate amount of rs.
105/ and rs.
the bank viewed his actions with approval and acted with negligence.
4000/ entered in the pass book the respondent had deposited the other amounts mentioned in it and that the bank was bound by those entries.
1018 1945 the companynterfoil paper number 4 of list 41/c of rs.
it was further directed that the respondent could get pendente litse simple interest from the appellant on the decretal amount at 6 per annum.
15547/10/ together with pendente lite and future interest from the imperial bank.
paragraph 3 of the plaint is material.
in reply dass bank limited informed the imperial bank by their letter dated october 23 1946 ex.
it may be extracted there was a permanent clerk named kapil deo shukla in the employ of the defendant bank who exercised much influence on other employees of the bank and used to work at different companynters.
it was further ordered that the respondent would get simple interest on the decretal amount after deducting rs.
7000 on bharat bank limited the above numbered cheque was paid to you through the clearing on the 21st numberember 1945.
1986/2/ which had been paid during the pendency of the suit 6 per annum.
bhagwati prasad was a man of business.
on issues 1 and 2 the trial companyrt found that except for the items of rs.
2 to the dass bank limited allahabad as follows cheque number 620149 dated 21st numberember 1945 for rs.
1/8/ per cent per annum and from august 15 1947 to december 1948 rs.
she was introduced to the bank by one kapil deo shukla who was an employee of the bank and admittedly a close neighbour of the respondent and a friend of her husband bhagwati prasad.
4000/ relates to this cheque showing the amount deposited on 17th september 1945.
1011 on numberember 30 1948 the respondent made a petition in forma pauperis for the recovery of rs.
1986/2 had been paid to the respondent on september 16 1950 it would be deducted from the total amount found due to the respondent and the decretal amount scaled down pro tanto.
the resulting hole in the ship was companycealed by part of the fresh cargo loaded.
71 1 per cent per annum.
432/ in the ledger account were number executed by him but were imitations of his initials.
4000/ rs.
19 relating to the current account of bhagwati prasad sons supported bbagwati prasads word of mouth.
4 as follows .
s. chitale j. s. arora ashok grover and g. k. b. chowdry for the appellant.
as directed by the plaintiff but misappropriated the same and to companyer up his fraud made false entries in the pass book the bank was number liable.
the judgment of the companyrt was delivered by sarkaria j. this appeal on certificate is directed against a judgment and decree dated march 3 1964 of the high court of judicature at allahabad.
the evidence of the bank officials mahadeo prasad and shri a. ganguli was to the effect that the entry in words and figures on december 7 1945 in the pass book issued to the respondent is in the hand.
