Wichita Royalty Co. v. City Nat. Bank

SIBLEY, Circuit Judge.

On October 11, 1930, in a state court, City National Bank of Wichita Falls (herein called'the old bank) sued Wichita Royalty Company and E. E. Scannell, its trustee, to recover on a note and on an indorsement made by them of another note, joining others from whom collateral equitable relief was sought. The above-named defendants filed a cross-bill asserting a large liability against the bank for a balance of a deposit account misappropriated by or with the assistance of the bank. The bank on a trial prevailed, but on appeal the Supreme Court of Texas sweepingly sustained…