First National Bank v. Fidelity & Guaranty Co.

Mu. Justice McAlister

delivered tbe opinion of the Court.

This bill was preferred by complainant bank against the guaranty company to recover the penalty of a bond executed by the guaranty company to the bank as indemnity against all or any pecuniary loss sustained by the bank, occasioned by the fraud or dishonesty of one W. W. Lea, an individual bookkeeper in said bank, and occurring during the continuance of the bond or of any renewal thereof, and discovered during such continuance or renewal, or any time thereafter.

The bond was in the penalty of seven thousand dollars, and covered any losses…