Briney

This controversy arises out of an action brought by the Metropolitan Trust Company of California, a California corporation, as trustee, herein'generally designated as trust company, against the National Thrift Corporation of America, a Delaware corporation, herein generally designated as thrift corporation.

Thrift corporation was in the business of selling “Thrift Certificates,” which were in form and in fact contracts whereby the purchaser agreed to pay thrift corporation a certain stated sum of money within a stated period of time through a series of installment payments. When the stipulated sum had been paid, purchaser or “Certificate Holder” would be issued a “Gold Bond,” or at his option an annuity policy.

Thrift corporation entered into a trust agreement with trust company whereby securities owned by thrift corporation were to be deposited with trust company for the benefit of contract holders, embracing thrift certificate holders, gold bond holders, etc. The trusts with which we are concerned were designated “Trust P. T. 109” and “Trust P. T. 223.”

Thrift corporation could not meet its financial obligations and trust company brought its action for itself and others, al…