I.D.Dua, J.

1. This appeal arises out of a suit instituted by the Punjab National Bank Limited with its registered office at 8, Underhill Road, Delhi, for the recovery of Rs. 18,046/13/10 on the basis of an overdraft account against Rai Rahadur Lal Banarsi Das and Company Limited having their registered office at Ambala Cantonment.

2. According to the plaintiffs version, the defendant firm opened an overdraft account with the plaintiff-Bank and agreed to pay interest on the unsecured amount due at 9 per cent per annum. On 29-2-1952 a sum of Rs. 18,532/6/6 was due to the plaintiff-Bank, and after deducting two items of Rs. 39/5/11 and Rs. 446/2/9 due from the plaintiff-Bank to the defendant-firm against other accounts, a sum of Rs. 18,046/13/10 was in the circumstances the net balance due to the plaintiff from the defendant.

3. In resisting the suit the defendant first raised a preliminary objection questioning the authority of the Manager of the plaintiff-Bank to file the present suit. On the merits it was pleaded that only a sum of Rs. 1,770/1/- was due to the plaintiff-Bank from the defendant-firm after adjusting and obtaining credit for Rs. 11,951/8/9 on account of hundi