American Surety Co. of New York v. Austin

The People’s State Bank of Pearsall, Tex., was a State Bank which failed November 10,1924, and passed into the hands of the banking commissioner for liquidation. Por a number of years prior to its failure, Irby Hudson and Walter H. Harris were cashier and bookkeeper, respectively, of the bank, and were such up to the date of its failure.

Harris, as principal, and the American Surety Company of New York, as surety, executed a bond in favor of the bank in the sum of 82,000. In the bond, Harris is referred to as principal and officer and the surety company as surety. The bond was conditioned:

“That…