Page:Federal Reporter, 1st Series, Volume 4.djvu/145

àNDERSON V. PHILADELPHIA. WAREHOUSE 00. 131 �Blumer & Co. sent to the warehouse eompany a certifi- cate for 450 shares of stock in the First National Bank of AUentown, dated Deeember 27, 1871, in favor of "T. Charlton Henry, Pres." This certifioate was received about December 29, 1871. On January 2, 1872, the directors of the ware- house Company met, and the president brought before them this loan and certifieate. The board objected to the stock being held in the name of the president, because it might render the eompany liable as share-holders. On January 3, 1872, the secretary wrote to W. H. Blumer & Co. ad- vising them that their draft for $10,000 had that morning been paid, and inclosing the certifioate for the bank stock, with directions to bave it transferred to the name of Dennis McCloskey. On January 6, 1872, in explanation of this letter, the president wrote to W. H. Blumer & Co. : "We have no need to borrow any money, nor do we expeot or intend to put this stock out of our hands, but the failure of one or two national banks lately led our directors to consider the clause in the national bank act which renders ail stock- holders liable in case of failure to pay up to the receiver the full amount of stock in their name, and on this aecount we ' determined to have the certificates of national bank stock put in the name of Dennis McCloskey, who is a boy in our office, taking his power of attorney to transfer the same." The transfer to McCloskey was executed on the back of the certifi- oate by the president of the warehouse eompany, and the seal of the eompany attaohed. Sometime afterwards Mc- Closkey left the employ of the warehouse eompany, and by their direction the stock was transferred to Francis Ferris, who was a elerk in their employ, and at the time of the transfer a minor. The warehouse eompany continued the loans to W. H. Blumer & Co., and to hold these sharea ais collateral, until 1878, when the comptroUer of the cur- rency, finding the bank insolvent, appointed a receiver, and ordered an assessment of $20 per share. Neither the ware- house eompany, McCloskey, nor Ferris ever voted on the stock or received any dividends, but the dividends were reoeipted for either-by W. H. Blumer & Ce, or by William Kern, one ����