This section of the book is from the "Canadian Banking Practice" book, by John T. P. Knight.
Question 69.— A bill is sent for collection bearing on the face the stamp of the bank which sent it. The stamp shows the name of the bank, the branch, etc. The item is not made payable to the sending bank, and is not endorsed by it.
Has the bank receiving this bill for collection any right to object?
Answer.—One of the responsibilities assumed by the collecting bank is the return of the money, should the prior endorsement prove to be forged or unauthorized. On this ground they might properly ask that the bill should be endorsed to them by the bank sending it for collection, so that their recourse might be clear.