Brinson v. Mill Supply Co.

The factual situation shown in the record on this appeal presents these determinative questions:

1. When the secretary-treasurer of a corporation borrows money from a third party for the express purpose of paying, and pays his indebtedness to the corporation for purchase of shares of its capital stock- — • evidenced by bis note to which as collateral security certificate previously issued to him for such stock is attached, and, for the money borrowed, executes and delivers to such third party his note with and secured by such stock certificate and. with the knowledge and at the request of such…