First Nat. Bank v. Lowell Nat. Bank

In this action plaintiff sought an accounting of defendant bank’s transactions in the liquidation of plaintiff bank, which was undertaken pursuant to an agreement of the two banks, executed March 15, 1930. Plaintiff bank was, at the time, in financial distress, and it turned over its assets to the defendant to liquidate. Defendant assumed plaintiff’s obligations to depositors and certain other creditors and proceeded to liquidate its assets. In acounting to plaintiff, it charged interest at the rate of six per cent, on balances allegedly due it, and this charge is the most important item in…