Eltopia Finance Co. v. Colley

— The Eltopia State Bank is a banking corporation, organized under the laws of the state of Washington. On October 26, 1918, it had on its books some four excess loans, which it had been re*555quired to reduce by the state bank examiner. These loans were made to farmers, and were severally secured by a mortgage on the personal property of the debtor. On the day named, the Eltopia bank wrote the First National Bank of Pasco, requesting it to take up one-half of each of the loans, promising in its letter to relinquish its mortgages and permit the national bank to take a first mortgage on the…