Perry

In this hard case, we are asked to make what we consider to be bad law. We feel compelled to decline to do so. The problem arises from the bankruptcy of a corporation called Thrift Savings. It turned out that the name was a gross misdescription of the actual functioning of the corporation. It is an Arizona corporation, having an authorized capital stock of $60,000,000 divided into 6,000,000 voting shares of the par value of $10 each. Its purposes as stated in its articles of incorporation are to issue “book plan investment certificates,” to borrow money and pay interest thereon and premiums therefor, and to invest in notes secured by mortgages of real and personal property and various other types of securities, The articles of incorporation are those 0f an ordinary business corporation.

The present contest involves the rights of persons to whom the corporation had issued its “book plan investment certificates.” At the time of the bankruptcy, there were outstanding some 203 of these certificates, having a total face value in excess of $400,000. The holders of the certificates were listed in the bankrupt’s schedules as unsecured creditors. The notice of first meeting of creditors…