First National Bank v. Federal Reserve Bank

H. Gr. Morrison drew his check on plaintiff to the order of Herbert Smith. The check, dated Miles City, October 31, 1927, was mailed by the maker to the payee, which in some manner came into the hands of one Sidney Smith, who' forged the indorsement of the payee and then indorsed the cheek and cashed it at the mercantile establishment of Jean Mclntire, in Poison. Mclntire indorsed the cheek to his local bank at Poison, and in the usual course of check clearing it reached the defendant on November 12, 1927, was presented to the plaintiff at Miles City in the regular course of business and was…