Valmiki J. Mehta, J.

1. Arguments were concluded on 10.1.2011 and parties were directed to file written synopsis which have been filed. I am, therefore, proceeding to pass the judgment.

2. By the present appeal under Section 96 of the Code of Civil Procedure, 1908 (Code of Civil Procedure), the Appellant bank, which is the successor in interest of the erstwhile Lakshmi Commercial Bank Ltd. challenges the impugned judgment and decree dated 27.9.1994 passed by the trial Court whereby the suit of the Appellant bank for recovery was dismissed.

3. The facts of the case are that the Respondent No. 1 was a customer of the erstwhile Lakshmi Commercial Bank. Respondent No. 1 was a seller of goods. It sold the goods to its customer in Palwal. The goods were given for transportation to the Respondent No. 2/M/s. Central Transport Organization. The Respondent No. 1 thereafter prepared a bill of exchange/hundi drawn on the customer and along with the transportation receipt presented the documents to the Appellant ana sought discounting of the hundi from the bank. I may note that reference in this judgment to the bank would be either to the present Appellant M/s. Canara Bank or to its predec