Alice Sheldon v. First Federal Savings & Loan Association of Puerto Rico

ALDRICH, Senior Circuit Judge.

Alice Sheldon, plaintiff appellee, was swindled of $84,000 by one Daniel Davila. Since Davila, a large scale operator, was judgment-proof, she sued her stockbrokers because their representative, Hodges, had recommended Davila and his enterprise, and defendant appellant, First Federal Savings & Loan Association of Puerto Rico, of which Davila was senior vice-president, a director, and a member of the loan committee. In her complaints to the FBI and to the bank, and in her original complaint filed in the district court, plaintiff claimed that Davila had embezzled…