1931 Present: Drieberg and Akbar JJ.

SENEVIRATNE v. SENEVIRATNE.

361-D. C. Colombo, 32,685.

Principal and agent-Agent's authority to bind principal by bond-Payment of debt due to agent-Conflict of interest.

An agent is not entitled, under the authority given to him by a power of attorney, to enter into a mortgage bond for the purpose of paying himself a debt due to him from the principal.

IN this action the plaintiff sued the defendant, alleging three causes of action. As a first cause of action it was stated that the defendant went to England' to prosecute his studies in 1919, having appointed plaintiff his attorney and that the defendant requested him to advance such sums of moneys which may be necessary for him. The plaintiff accordingly advanced to the defendant a sum of Rs. 14,393.94 till 1924. To liquidate this sum, the plaintiff as attorney of the defendant borrowed a sum of Rs. 15,000 from a Chettiar. The mortgagee put the bond in suit against the plaintiff and the defendant. At the trial the defendant pleaded that he was not bound on the bond. By agreement, judgment was entered against the plaintiff alone on the bond,