Cap. 16 Art. 1969Pledge of thing not belonging to pledgor.

(1) The thing given as a pledge by a person to whom it does not belong is validly pledged, and the owner cannot recover it, except on payment of the debt in respect of which it was pledged.

(2) This provision except as regards Il-Monti shall not apply in the following cases:

(a) when it is shown that the pledgee was in bad faith;

(b) when the thing pledged is proved to have been stolen, and the pledgor could not, presumably, have been the owner thereof.