Chemical Nat. Bank v. Armstrong
U.S. Circuit Court for the District of Southern Ohio
In Equity. Suit by the Chemical National Rank against David Armstrong, receiver of the Fidelity National Bank. Heard on the pleadings and evidence.
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In Equity. Suit by the Chemical National Rank against David Armstrong, receiver of the Fidelity National Bank. Heard on the pleadings and evidence. Statement by Sage, District Judge: On the 2d of March, 1887, the Chemical National Bank, of New York, credited on its books the Fidelity National Bank, of Cincinnati, with a temporary loan of $300,000, at interest, on the faith of a letter from that bank, signed by E. L. Harper, its vice president, dated February 28, 1887, requesting such credit, and inclosing its certificate of deposit No. 345, to the order of E. L. Harper, and by him indorsed in…
1Opinion of the Court
Sage, District Judge,
(after stating the facts as above.) Conceding that the transaction of the $300,000 loan was fraudulent as between E. L. Harper and the Fidelity Bank, and that he appropriated the entire proceeds to his individual use, the claim of the Chemical Bank, which dealt in good faith in the transaction, and was innocent of any knowledge or participation in the fraud, is not affected thereby. The negotiation of the loan was within the authority of Harper, as vice president ■of the Fidelity Bank, and, if he used that authority fraudulently for his own advantage, the bank that…
2Cases cited7 opinions
- Lewis v. United StatesSupreme Court of the United States · 1876
- Wheeler v. . NewbouldNew York Court of Appeals · 1857
- White v. KnoxSupreme Court of the United States · 1884
- Case v. BankSupreme Court of the United States · 1880
- West v. Bank of RutlandSupreme Court of Vermont · 1847
2 more not listed; retrieve them via the Exa API.
3Cited by3 opinions
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- Warburton v. Trust Co.U.S. Circuit Court for the District of Eastern Pennsylvania · 1909
- First National Bank v. Guardian Trust & Savings BankWashington Supreme Court · 1921