Jamuar, J.

1. This appeal has been brought by the District Board of Bhagalpur from a judgment and decree, dated 10-8-1948, of the Subordinate Judge of Bhagalpur. The District Board of Bhagalpur sued the State of Bihar through the Collector of Bhagalpur for the recovery of a sum of rs. 18,925/5/6 in circumstances presently to be stated. The learned Subordinate Judge dismissed the suit. The point raised in this appeal is of very considerable importance as it involves the examination of the question whether, if it be found that the officers of the Government attached to the local treasury were negligent in paying out certain sums of money belonging to the plaintiff District Board to the detriment of the plaintiff, the Government is liable to make good the loss as the master or the principal of the officers of the treasury. The answer to the question will depend upon the extent of vicarious liability of the Government for acts or omissions of its subordinate officers or agents.

2. For a proper appreciation of the question ill issue, it is necessary to state how a District Board comes to have a fund of its own kept in deposit with the Government treasury. Under Sec. 52 of the Bi