Federal Land Bank of Balto. v. King

Opinion by

Mr. Justice Kephart,

Appellee is a federal land bank, incorporated under the Act of Congress of July 17, 1916, 33 Stat. 370, and its various amendments. It loaned to Alvin King $7,000 on notes secured by a mortgage. He died intestate, leaving to survive him two sons, Robert and Lindley. To the scire facias issued on the mortgage, Lindley, as heir and as terre-tenant, filed an affidavit of defense. In it he complained that the bank exceeded its authority in lending money to Alvin King.

It appears the Act of Congress restricted loans to a purpose consistent with the government’s policy…