Alfred Henry Lionel Leach, C.J.

1. The appellant is a company registered under the Indian Companies Act and carries on a banking business at Palghat in Malabar. The appellant requires certain employees to deposit sums of money with it as security for the due fulfilment of their duties. Section 282-B(1) of the Indian Companies Act states that all moneys or securities deposited with a company by its employees in pursuance of their contracts of service with the company shall be deposited by it in a special account to be opened for the purpose in a scheduled bank as defined in Clause (e) of Section 2 of the Reserve Bank of India Act, 1934, and that no portion of the money shall be utilised by the Company except for the purposes agreed to in the contract of service. The Travancore National and Quilon Bank, Limited (I will refer to it for brevity as the Bank) was a scheduled bank as defined in the Reserve Bank of India Act, but it is now in liquidation as the result of an order for compulsory winding up passed by this Court on the 4th September, 1938. On the 30th July, 1937, the appellant deposited with the Bank a sum of Rs. 1,000 received as security from an employee. On the 15th