Cosmopolitan Trust Co. v. Suffolk Knitting Mills

These are two actions at law. The first is brought by the Cosmopolitan Trust Company to recover on a note made to its order by the Suffolk Knitting Mills, first discounted in its commercial department but later sold to its savings department and paid for at face value with funds of that department. No question is made as to the' liability of the knitting mills on its note. Confessedly judgment ought to be entered for the trust company for the full amount due on the note.

The commissioner of banks on September 25, 1920, took possession of the property and business of the trust company by virtue…