Republic National Bank v. Bobo

These cases were tried together. Both involve the consideration paid for oil stock. Both defendants gave their promissory notes for certain shares of stock in the General Refining Company. They refused to pay the notes on the ground that they were obtained by false representations concerning the financial condition of the company. The plaintiff admitted on the trial, for the purpose of these suits, that there was fraud in the inception of the notes, but it insisted it had no knowledge of the fraud when they were purchased, and that they were purchased for value and, therefore, they were…