Loughman v. Town of Pelham

FRANK, Circuit Judge.

As Judge Conger explained in his excellent opinion, were it hot for § 149-c, without doubt appellee would be liable to appellant for the net loss resulting from the bank’s failure, in accordance with Tillinghast v. Merrill, 1896, 151 N.Y. 135, 45 N.E. 375, 376, 34 L.R.A. 678, 56 Am.St.Rep. 612. There the court held, in an action by the county treasurer, that the Supervisor of a town was liable as “an absolute debtor” to the county for loss of school funds through failure of a bank in which he deposited them, although he was guilty of no fault or negligence. The court…