Grubnau v. Centennial National Bank

Opinion by

Mr. Justice Kephart,

Grubnau Brothers were depositors in appellant’s bank. Healey, plaintiff’s employee, forged two checks, using his employer’s name: one on this appellant, the Centennial National Bank, for $4,000, the other on the Corn Exchange National Bank for $1,200. Both checks were paid. When the books were balanced and the forgeries discovered, the banks were duly notified. Grubnau Brothers carried insurance with the ¿Etna Casualty & Surety Company in the sum of $5,000 for loss arising from the misconduct of their employees. Claim was made against the Surety Company for loss…