Federal Deposit Insurance v. Aetna Casualty & Surety Co.

I dissent on the issue of notice to the sureties.

I agree with my colleagues that the inquiry as to timeliness is one of fixing the point in time at which the bank ei*740ther discovered there had been fraud or received information sufficient to require it to investigate further. I agree that a mere suspicion of wrongdoing is not enough.

The wrongful acts sued on as breaches of the bond were alleged to be “certain dishonest, fraudulent and/or criminal acts” committed by Steiner, Morris, Garrett, and Gallaher. The complaint set out with considerable specificity the various acts done by each of these…