Panchabakesa Ayyar, J.-These are three connecte appeals against the orders of Rajagopalan, J., passed on the Original Side and raise an important and interesting question regarding the rights of a person who has entrusted a bank with collecting his dues and remitting them to him by demand drafts where the bank has gone into liquidation and the drafts are, therefore, left uncashed. The question is whether a person in such a case will be entitled to get his full dues as a preferential creditor or must rank only with the other creditors and be content to receive the dividends given in liquidation; in other words, whether the fiduciary relationship of principal and agent or the jural relationship of creditor and debtor will obtain, and in what circumstances each of these relationships will obtain.

The facts are briefly these: O.S.A.No.85 of 1949 is an appeal against the order in Application No.454 of 1949. There the claimants were Suganchand & Co. They made a claim against the Hanuman Bank in liquidation, praying that they be treated as persons to be paid in full in preference to the ordinary creditors of the bank. Hanuman Bank had its headquarters in Tanjore, and branches in several pl

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