A bank draft, or banker's cheque is a cheque that a bank provides for a customer drawn by the bank itself. The bank guarantees the draft amount because it has been already paid for it.
The draft contains the payee’s name. The payee is the person who receives the money from the bank itself.
So, unless the draft itself is any fraud or fake, the issueing bank would not return it unpaid.
Yes, it can be cancelled when presented by the person who prepared it, but only when the original draft is presented alongwith cancellation request.
In case the draft in itself is fake, the transaction can be cancelled by court order.