Peoples-Pittsburg Trust Co. v. Diebolt

GIVENS, J. —

The Twin Falls Salmon River Land & Water Company, a Carey Act construction company, in 1908 issued some $1,735,000 of bonds under a trust deed to the American Trust & Savings Bank of Chicago, Trustee, with which, water contracts were deposited as collateral security. The bonds became delinquent in 1913, whereupon a bondholders committee was organized to represent and protect the interests of all the bondholders. In 1914, the trusteeship was transferred to the- Commonwealth Trust Company of Pittsburg, and the bonds deposited with the Safe Deposit & Trust Company of Pittsburg as…