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1974 Supreme(Mad) 349

T.RAMAPRASADA RAO, S.NATARAJAN
Canara Bank Limited, represented by its Branch Manager, Madras – Appellant
Versus
I. V. Rajagopal – Respondent


Advocates:
M. L. Nayak, for Appellant.
Chalapathy Rao, for Respondent.

Ramaprasada Rao, J.-The unsuccessful defendant-Bank in O.S. No. 4820 of 1968 on the file of the City Civil Court, Madras, is the appellant. The plaintiff bad a personal account with the Canara Bank Limited, at its Madras Branch hereinafter referred to as. the Bank on 6th April, 1964. The plaintiff was the representative of a reputed group of concerns in Coimbatore, popularly known as M/s. Lakshmi Mills Company, Limited, Coimbatore, and its sister concerns at Madras. The group companies had a liaison office at Madras at No. 12/2, Marshalls Road, Egmore, Madras. There was a telephone in the Madras office of the group companies, which was apparently intended for the advantage and benefit of the sister concerns and which was in the sole administrative custody of the plaintiff. In the course of his official duties, the plaintiff gave a cheque for Rs. 294-40 towards the telephone bill for the aforesaid telephone admittedly standing in the name of the said M/s. Lakshmi Mills Company Limited. This cheque was drawn on the personal account kept by the plaintiff’ with the defendant-bank. On 8th April, 1964 when the cheque came for clearance, the defendant did not honour the cheque, though the






























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