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Banking Book

Banking Book

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Publicado por9290010274
Banking Book
Banking Book

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Published by: 9290010274 on Nov 08, 2011
Direitos Autorais:Attribution Non-commercial


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Honouring of cheques drawn by his customer is a very important obligation of a banker. He
should not dishonour his customer’s cheques without adequate ground. The customer can
claim damages for the injury caused to his credit owing to wrongful dishonour of cheques.
Further, if he honours a cheque which is not properly drawn or contrary of the instructions of
his customer or against the intention of his customer or when the customer has no adequate
balance, he gets into trouble. The paying banker in such a condition is said to be in “between
the devil and the deep sea.” Tanan says “the banker’s position in respect of cheques drawn
upon him is not enviable. So, the banker has to take care when honouring or dishonouring
a cheque drawn by his customer.”

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