United States Fidelity & Guaranty Co. v. Henry Waterhouse Trust Co.

The appeal in this ease presents questions arising under the second of two controversies over the settlement of the estate of Manuel Branco, deceased, the first of which was before this court in United States Fidelity & Guaranty Co. v. Vicars (No. 4620) 10 F.(2d) 474 .

In the present ease the appellee herein, as receiver of the Security Trust Company, Limited, presented to the circuit court of the Fourth judicial district of Hawaii a bill for instructions and authority to make payment. Therein it alleged that the trust company, as executor of Branco’s estate, did not pay any of the principal of its notes to said estate, but paid the interest thereon up to December 7, 1921; that the receiver has in its hands $68,000, which could be devoted to payment of claims against the trust company, and that in addition thereto $22,500 may be collected, together with probably $25,000 more realizable on account of stockholders’ liability; that elaims have been filed against the trust company to the amount of $210,725; that the receiver can at the present time pay $27,-500 to the administrator de bonis non of Branco’s estate, on account of the claim of said estate against the trust company on…