Dennis v. Cooperative Publishing Co.

On May 1, 1919, respondent, Cooperative Publishing Company, which hereinafter will be referred to as the corporation, authorized the issuance of first mortgage gold bonds totaling $75,000. On the same date the corporation executed a chattel mortgage or deed of trust to secure the bonds, which mortgage covered the printing plant, machinery and equipment of the corporation, and delivered the same to a board of trustees. Approximately $26,000 of the authorized issue of bonds were actually disposed of by the corporation. These bonds by their terms matured May 1, 1929, and carried interest at the…