Cocke v. Hood Ex Rel. Central Bank & Trust Co.

The paramount question of law produced by the facts is whether the plaintiffs are entitled to a preference.

Tbe right to a preference rests upon two theories:

1. That the facts disclose a deposit for a specific purpose or special deposit.

2. That the bank was trustee ex maleficio.'

The record discloses that no new money went into the bank by virtue of creating a separate division of the Trust Department, known and designated as the “Mortgage Pool Account.” All the money involved was already in the bank and consisted of balances too small for profitable investment. The consolidation of such funds…