Transfer of funds by Bank without mandate of customer cannot be sustained

Canara Bank Overseas Branch Vs Archean Industries Private Limited And Another (Supreme Court of India) Supreme Court held that Bank couldn’t act contrary to mandate given by customer since funds belonged to the customer. Thus, act of Bank in transferring the funds to the owner of the vessel cannot be sustained. Facts- The present Civil Appeals arise out of the common judgment and decree dated 16.08.2021 passed by the High Court of Judicature at Madras’ in O.S.A. No. 423 of 2012, whereby the Division Bench of the High Court allowed the appeal to the limited extent of decreeing the clai...