Answer to Question #282311 in British Law for Andrick Angel

Question

Saboi Bank maintains two accounts for people called Kaputula Mukulu, the other Covid-Virus. This has, at times created problems with occasional debits and credits for one going to the other. Kaputula has been a good customer but Saboi Bank has had problems with Covid Virus account with some cheque returned for lack of funds. A cheque of K15,000.00 was presented on Kaputula’s account would have overdrawn it by k12,000.00.On double checking the account, it was discovered that the previous week, he had deposited in K2,000.00 cash which had been posted in error to Kaputula’s account. Discuss at length the legal implications of the following:

(a) Returning unpaid Kaputula’s cheque of k15, 000.00

(b) Covid Virus spending the k2000.00 which was credited to his account. (10 Marks)

Answer 1

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