Helen Worked for ABC Company as the Company Treasurer

Helen worked for ABC Company as the company treasurer.She took 20 of ABC Company's checks,labeled as belonging to ABC Company.Over the course of one year,she signed and mailed the checks to American Express,her own credit card company,to pay her own credit card debt.Assuming the court follows the case in the text,Watson Coatings Inc.,v.American Express Travel Services Inc.,which of the following is the most likely result in a lawsuit by ABC Company against American Express to recover the amounts of the checks?

A) ABC Company will prevail because American Express, as a payee, does not qualify as a holder in due course.
B) ABC Company will prevail because American Express should have realized that fraud was involved from the fact that the checks were ABC Company checks.
C) ABC Company will prevail because fraud was involved.
D) American Express will prevail and will not be required to return funds.
E) American Express will have to return ½ of the funds because the parties were equally at fault, American Express for taking the checks, and ABC Company for not more carefully supervising its employee.