Page:Federal Reporter, 1st Series, Volume 4.djvu/154

140 KEDBBAL BEPOETEE. �are citizens of Wisconsin. The Black Eiver Lumber Company is a corporation created under the laws of Wisconsin. The defendants are citizens of lowa. The action is in equity, and brought by the plaintifs, who are corporators and stockhold- ers in the Black Eiver Lumber Company, against said Com- pany and against the other defendants, who, except the Bank of .Fort Madison, are also stockholders in said company, for the purpose of setting aside and cancelling a certain chattel mortgage given and executed by the lumber company on March 29, 1880, and recorded in the proper office on AprH 1, 1880, to the defendant the Bank of Fort Madison, upon a large quantity of logs, being ail the logs eut by said company dur- ing the winter of 1879 and Ï880, to secure the sum of $65,- 000 of cash advanced, claimed to be made by said bank to the company to carry on its business, and also to enjoin the defendants from taking possession of the logs, and for the appointment of a receiver to take charge of ail the logs, lum- ber, and property of the company, of whatever nature, and manage and control and sell and dispose of the same for the interest of ail coneerned. An injunction as prayed for ■was issued at the commencement of the suit. On April 17th foUowing the parties, by their attorneys, entered into a stip- ulation by which it was agreed that William E. Sill should be appointed by the court as receiver in the case, with ail the usual powers of receiver, and in addition the power to manage and control the property, aud sell and dispose of the same in the usual course of tfade, for cash or on credit, and apply the proceeds to the payinent of the company's debts in Buch order of preference as in the opinion of the receiver should be just, and as the court might direct; also, that as soon as such receiver should be appointed and his bonds ap- proved that the mortgage to the defendant bank should be cancelled, but that ail sums of money advanced by the bank, whether bef ore or after the execution of the mortgage used in caring for and preserving the property, or in payment of the debts of the company, should be a charge against the com- pany. The receiver was appointed on the same day, and took charge of the concerns of the company. It was after- ����