Garvy v. Blatchford Calf Meal Co.

KERNER, Circuit Judge.

Plaintiff recovered a judgment against Blatchford Calf Meal Company for the amount of four dividends declared by the defendant on its preferred stock, which had been pledged to The Waukegan National Bank. To reverse the judgment defendant appeals.

There is no conflict as to the facts. The proofs showed that John W. Barwell was a stockholder of the defendant corporation. He became indebted to The Waukegan National Bank and at the time that bank closed, in June, 1931, it held his collateral notes secured by 261 shares of the preferred stock of the defendant corporation,…