Federal Deposit Insurance Corporation, a United States Corporation v. Bank of Boulder, a Colorado Corporation

McKAY, Circuit Judge.

This case involves an action by the Federal Deposit Insurance Corporation (FDIC) seeking to enforce a letter of credit issued by the defendant Bank of Boulder.

I. Facts

On June 30, 1982, the Bank of Boulder issued a standby letter of credit to Dominion Bank of Denver in the amount of $27,-000. On September 30, 1983, Dominion Bank of Denver was declared insolvent and ordered closed by the Colorado State Banking Commissioner pursuant to Colo.Rev. Stat. § 11-5-102 (1973 & Supp.1989). The Commissioner then tendered to FDIC an appointment as liquidator of Dominion Bank of Denver…