Page:Federal Reporter, 1st Series, Volume 2.djvu/904

FLOTTBB V. aBESNSAUU. 697 �Floweb V. Gbbenbaum. �(Circuit Court, JS'. D. IlUnois. , 1880.) �Bankruptct — Composition Prockbdinqs — Contingent LiABarrr— Btockholdeh. — A stockholder's contingent liability will not be dis- charged hy composition proceedings where the bankrupt bas not in- cluded such liability in hi8 stateriient of debts. �Blodgbtt, D. J. This suit is brought against defendant, as a stoekholder of the German National Bank, to seoure the amount of an assessment of 25 per cent., made by the comp- troUer of the currency on the stockholders of the bank, for the purpose of paying the indebtedness of the bank. �The fact that defendant was the owner of 277 shares of $100 each, of the stock of the bank, at the time the bank failed, is admitted; and it is also admitted that defendant ■was duly appointed reoeiver, and that the asssessment haa been regularly made by the comptroUer is also admitted. �The defence is that defendant was duly declared a bank- rupt, and obtained a composition with his creditors, at the rate of 25 per cent., under said proceedings in bankruptcy ; that plaintiff is bound by said proceedings, and can only recover in this suit 25 per cent, of said assessment. �It is admitted that defendant applied to the bankrupt court for a creditors' meeting to consider proposais for a composi- tion; that said meeting was duly held; that defendant sub- mitted to his creditors a statement of his assets and debts, and that among the assets scheduled by defendant was the bank stock in question ; but no liability as such stoekholder was scheduled or included in defendant's statement to hia creditors. �The defendant ofiFered to pay 25 per cent, to his creditors in composition, and for settlement of his debts, which offer was accepted, ratified by the creditors, and confirmed by the court. The bank was named in defendant's statement as a crediter to the amount of $40,000 on an overdrawn ac- count, and was represented at the creditors* meeting, and voted in favor of the composition. Defendant now insista �v.2,no.ll— 57 ����