I am using a plasmid vector of about 8kb for cloning. After cutting with EcoRI and BamHI, I performed a ligation with T4 DNA ligase and transformed in DH5-alpha, and found that there were as many colonies in [double cut vector + insert + ligase] group as in my [double cut vector + ligase], [single cut vector + ligase] and [uncut vector] controls (in 1000s). Transforming with the double-cut vector alone gives few 10s of colonies.
Doubting the restriction enzymes, I cut the plasmid individually with both enzymes and found by electrophoresis that they linearise the plasmid. I tried a simultaneous digestion with both enzymes (mutually compatible buffer), and also tried sequential digestion with BamHI followed by EcoRI and vice versa, with cleaning up the first digest using a spin column or phenol-chloroform extraction after heat inactivation. The problem persists.