Howard v. Deposit Bank
Court of Appeals of Kentucky
Case 93 — EQUITY APPEAL FROM DAVIESS CIRCUIT COURT. 1. The bank received the funds from the collectors of railroad tax in Daviess county. It held them as a depositary. It knew the purpose of the deposit. It knew that the funds deposited with it were to be devoted to the bonds of Daviess county, and not the bonds which had been wrongfully and fraudulently issued.
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Case 93 — EQUITY APPEAL FROM DAVIESS CIRCUIT COURT. 1. The bank received the funds from the collectors of railroad tax in Daviess county. It held them as a depositary. It knew the purpose of the deposit. It knew that the funds deposited with it were to be devoted to the bonds of Daviess county, and not the bonds which had been wrongfully and fraudulently issued. Yet, with this knowledge, it purchased their void bonds and the coupons attached, and appropriated the taxes collected in its hands to their payment. 2. If the purchaser or mortgagee is knowingly a party to any breach of' trust, it…
1Opinion of the CourtChief Justice Hargis
delivered ti-ie opinion of ti-ie court.
The county court of Daviess county, in pursuance of an act of the legislature, subscribed $250,000 to the capital stock of the Owensboro and Russellville Railroad, and appointed the appellees, Triplett, Berry, and Tyler, to prepare and execute the bonds of the county, and deliver them to the railroad company.
Instead of preparing and issuing the bonds for $250,000, as authorized by the act, they prepared and issued bonds to the amount of $67,350 in excess of the $250,000.
This excessive issue of bonds was held to be illegal and void by this court in the…
2Cited by6 opinions
- Taylor, County Jailer v. ToddCourt of Appeals of Kentucky (pre-1976) · 1931
- Butler County v. Boatmen's BankSupreme Court of Missouri · 1898
- Rock Springs National Bank v. LumanWyoming Supreme Court · 1895
- Commonwealth Ex Rel. Barton v. MauneyCourt of Appeals of Kentucky (pre-1976) · 1935
- Stinson v. Meadors, County JudgeCourt of Appeals of Kentucky (pre-1976) · 1938
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