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1939 (5) TMI 11
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....iagarajan, C. Krishnaswamy Aiyyar, King and Partridge, for the Appearing Parties. JUDGMENT Venkataramana Rao, J. - This is an application by the Trichinopoly Tennore Hindu Permanent Fund, hereinafter called the Tennore Fund for the payment of Rs. 8,000 in preference to the ordinary creditors of the Travancore National and Quilon Bank Ltd., hereinafter called the Bank. The said sum of Rs. 8,0....
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.... made on the ground that the said sum represented trust moneys, and that the Bank was aware of the fact that the said moneys were trust moneys. The claim in respect of both security deposit and the Provident Fund would be governed by my decision in Applications Nos. 2874 of 1933 and 29 of 1939. The result would be that the claim for preferential payment in regard to Rs. 1,075 must be totally disal....
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....bank or in any other Bank and therefore there was no breach of trust committed by the Tennore Fund by the deposit in the Bank in 1936. It was only in 1938 at the time of the renewal of the deposit that any question of breach of trust would arise. So far as the amount of security deposit is concerned, there could be no question of a breach of trust as pointed out by me in my judgment in Application....