Looney

This is a class suit brought by appel-lees as holders of bonds of appellant District on behalf of themselves and all others similarly situated. The purpose of the action was to recover from the District interest of 2)^%, represented by coupons attached to the bonds, payable June 30, 1950. The court gave judgment for appellees and ordered the District to assess and collect, in the manner provided by law, ad valorem taxes on the taxable property of the District sufficient to raise the necessary amount.

The District contends that but 1/2 of 1% was payable as interest for the first 11 months of the year in question although conceding that the 2%% rate called for in the coupons was payable for the final month. The background of the case need not be developed at any great length since the subject matter has no general importance. The District’s contention rests on the terms of restrictions imposed by the Reconstruction Finance Corporation in connection with a loan of $300,000 of “new money” it made to the District in 1944. This loan was to be repaid in six annual installments, the first of which was payable June 1, 1945, and the last June 1, 1950. There was no default in respect of the…