D'Oench, Duhme & Co. v. Federal Deposit Insurance

Respondent instituted this suit in the United States District Court for the Eastern Division of the Eastern *454District of Missouri on a demand note for $5000, executed by petitioner in 1933 and payable to the Belleville Bank & Trust Co., Belleville, Illinois. Respondent insured that bank January 1,1934; and it acquired the note in 1938 as part of the collateral securing a loan of over $1,000,000 to the bank, made in connection with the assumption of the latter’s deposit liabilities by another bank. Since 1935 the note had been among the charged off assets of the bank. The note was executed by…