JUDGMENT

G.N. RAY, J.—This appeal is directed against the judgment and decree of the High Court of Bombay dated March 3, 1981 passed in Second Appeal No. 661 of 1974 affirming the judgment and decree passed by the learned Additional Joint Judge, Thana, in Civil Appeal No. 170 of 1973 dated February 22, 1974, affirming the judgment and decree of the Joint Civil Judge, Junior Division, Thana, in Civil Suit No. 363 of 1970 dated April 27, 1973. The plaintiff-Bank of Maharashtra, the appellant herein, instituted the said Civil Suit No. 363 of 1979 for recovering a sum of Rs 7,452, comprising Rs 5,920.12 on account of principal and the balance on account of interest. The relevant facts concerning the instant appeal may be stated as follows.

2. The plaintiff is a nationalised bank carrying on the business of banking under the name of Bank of Maharashtra and it opened a branch at Wagle Industrial Estate, Thana. The defendant-respondent, M/s Automotive Engineering Company, is a partnership firm and the said partnership firm opened a current account with the same branch of the plaintiff-Bank. One firm named M/s Imperial Tube and Hardware Mart opened an account with the Union Bank of India Lt