https://www.taxtmi.com/caselaws?id=457839 A collecting bank was held liable for conversion where it opened an account in the name of a fictitious customer, failed to make proper inquiries, and then collected and paid out cheque proceeds in a rapid sequence; on those facts, it lost the protection available under Section 131 of the Negotiable Instruments Act because good faith and absence of negligence were not shown. The plaint was treated as properly signed and verified by authorised officers, the claim was held within limitation, and the right asserted was recognised as transmissible by constitutional succession. The plaintiff was nevertheless barred by its own negligence, and interest was refused. en-us Thu, 22 Jan 1976 00:00:00 +0530 Sat, 28 Sep 2024 10:58:22 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=457839 A collecting bank was held liable for conversion where it opened an account in the name of a fictitious customer, failed to make proper inquiries, and then collected and paid out cheque proceeds in a rapid sequence; on those facts, it lost the protection available under Section 131 of the Negotiable Instruments Act because good faith and absence of negligence were not shown. The plaint was treated as properly signed and verified by authorised officers, the claim was held within limitation, and the right asserted was recognised as transmissible by constitutional succession. The plaintiff was nevertheless barred by its own negligence, and interest was refused. Case-Laws Indian Laws Thu, 22 Jan 1976 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=457839