Insolvency ; ;Presentation of winding-up petition bank continuing to honour cheques bank not liable on application of liquidator to make restitution to company ;Hollicourt (Contracts) Ltd v Bank of Ireland: CA (Peter Gibson, Mummery and Latham LJJ): 20 October 2000 ;The bank was unaware of the companys presentation of a winding-up petition and continued to make payments to creditors by cheques drawn on the companys bank account, which remained in credit, until the bank noticed the error and froze the account. The liquidator applied to restore the account to the position it would have been in had no withdrawals been made between presentation of the petition and making of the winding-up order. The judge held that the effect of s.127 of the Insolvency Act 1986 was to render the bank liable to make restitution. The bank appealed. ;Gabriel Moss QC and David Marks (instructed by Brooke North, Leeds) for the bank; Hugh Jory (instructed by Eversheds, Leeds) for the liquidator. ;Held, allowing the appeal, that the policy promoted by s.127 did not impose on a bank restitutionary liability to a company in respect of payments by cheques in favour of creditors; that s.127 only invalidated the dispositions of the companys property to the payees of the cheques and thus enabled the company to recover the amounts disposed of only from the payees of the cheques; and that accordingly, the bank was not liable to make restitution to the company. ; ; ;