Judgement

KHALID, J. :- This is an appeal by certificate, against the Judgment dated 25th June, 1972, passed by a Division Bench of the Karnataka High Court. The 1st defendant Bank is the appellant.

2. Original Suit No. 72 of 1962 was filed in the Court of Civil Judge, Mangalore, by the Canara Sales Corporation Ltd. through its Managing Director, V. S. Kudva. He died during the pendency of the suit and the suit was continued by the succeeding Managing Director of the Corporation. The suit was against two defendants : the appellant-Bank was the first defendant and the second defendant was one Y. V. Bhat who was the Chief Accounts Officer of the plaintiff, till 1961. He died during the pendency of the appeal before the High Court and his, legal representatives were brought on record. When the suit was filed, the appellant-Bank was called the Canara Bank Ltd. After the nationalisation of banks it became the Canara Bank which is the appellant before us.

3. The suit was instituted for., recovery of a sum of Rs. 3,26,047.92, with the following allegations : The plaintiff is a Private Limited Company with its head office at Mangalore. It had a current account with the appellant-Bank in its