Bank deposits: Previous order set aside

Allowing the bank’s appeal, a division bench of Justices M M Sundresh and Anand Venkatesh noted that Naidu had waited five years before trying to take advantage of two original fixed deposit receipts for Rs 20 lakh and Rs 10 lakh that were not collected by mistake by the bank officers at the time of consolidating the fixed deposit. 

“However, the respondent had chosen not to reveal his income tax returns for the relevant period. The fact in issue in this case is whether the respondent had really paid a sum of Rs 30 lakh by way of cash to the appellant bank,” it said, and added that if really paid the sum “his subsequent conduct would be to follow it up and get it repaid with interest”.

Naidu said he deposited Rs 20 lakh on January 23, 1998, as fixed deposit, following which the bank issued confirmation of deposit and allotted an account number. The next day he deposited another Rs 10 lakh and obtained confirmation of deposit. On day two, he had also deposited another Rs 30 lakh in FD for two months, he claimed. 

Though bank returned the deposit with interest on March 25, 1998, it failed to return the sum and interest for the two FDs for Rs 20 lakh and Rs 10 lakh, he had alleged.