Alex was employed by a brokerage company. He devised a scheme to defraud his employer by issuing fraudulent orders to sell customers' securities. When the brokerage firm issued a check to the customer whose stock had been sold, Alex would obtain the check, forge the customer's endorsement, and pocket the money. When the fraud was discovered, the brokerage company sought to recover its losses from the bank on whom the checks were drawn. Is the bank liable for honoring the checks on a forged endorsement? Explan.