Court Opinion

ID: 9445203
Source: CourtListenerOpinion
Date Created: 2023-08-03 21:22:41.580076+00
Date Added: 2024-06-11T17:30:10.046536
License: Public Domain

MILLER, Circuit Judge
(dissenting).
I concur in so much of the ruling that holds that the appellant bank would be liable for the proceeds of the 28 checks totaling $3,216.17 which it improperly permitted Whitaker to deposit to his personal checking account, if in fact such proceeds were not thereafter remitted by Whitaker to the appellee. These checks were deposited during July through October 1952. It was stipulated by the parties that during July through October 1952 Whitaker remitted to appel-lee through checks on his personal account in appellant bank the sum of $15,-639.28. Appellee was unable to show that the $3,216.17 which this action seeks to recover was not included in the $15,639.28 so remitted. In fact, Whitaker testified that the proceeds from the 28 checks were remitted to the appellee. Although an attempt was made to impeach this testimony there was no testimony on behalf of appellee to the contrary.
The fact that appellee’s books show that certain accounts which Whitaker collected are not marked paid, when in fact they were paid by the payments made to Whitaker, who admittedly had authority to make the collection, does not show that the proceeds were not remitted, since it appears to be conceded that Whitaker in making remittances intentionally allocated them to the wrong *120debtors. The improper allocation by-Whitaker in his reports to appellee of these proceeds to the wrong debtors is not chargeable to the Bank.
In my opinion, the judgment should be reversed. Seitz Co. v. Bank of Murray, 204 Ky. 115, 263 S.W. 685; Armour & Co. v. Bank of Lynch, 207 Ky. 203, 268 S.W. 1091; L. W. Cox & Co., Inc., v. Chemical Bank & Trust Co., 175 Misc. 1063, 26 N.Y.S.2d 38, 42.