1. A receiver is a mere custodian without power to abandon any claim or asset of the bankrupt.
2. At the time the trustee in bankruptcy was appointed, defendant bank held certain shares of the bankrupt as collateral for $150 due on a note of the bankrupt, and $1,300 due on a note of a third party endorsed by the bankrupt. Subsequently the bank, although it had actual knowledge of the bankruptcy and presumably had knowledge that the stock belonged to the trustee, loaned the bankrupt $500 on the security of the stock and out of this amount paid off a small balance due on his original personal loan. The trustee in bankruptcy later sold the stock, among other minor assets, and the purchaser then transferred the shares to complainant. Shortly thereafter the personal loan was paid in full and the bank made another loan to the bankrupt on the security of the stock, which loan remains unpaid. The third party loan was finally paid December 21st, 1936. Complainant demanded the stock certificate of the bank a month later; upon being refused, he filed his bill February 16th, 1937. Held, contrary to contention of the bankrupt and the bank, defendants herein, that the stock was never abandoned by the trustee, the complainant and the trustee are not guilty of laches in seeking possession of the stock, and there was no mistake against which equity may give relief.
3. The fact that the purchaser of the stock from the trustee in bankruptcy paid only $10 for it is no concern of the defendant. Complainant's title as against them, and his right to the aid of the court of chancery, are not affected by the amount paid to the trustee in bankruptcy.
PER CURIAM.
The decree appealed from will be affirmed, for the reasons set forth in the opinion filed by Vice-Chancellor Bigelow in the court of chancery.
For affirmance — PARKER, LLOYD, CASE, BODINE, DONGES, PERSKIE, HETFIELD, DEAR, WELLS, WOLFSKEIL, RAFFERTY, WALKER, JJ. 12.
For reversal — HEHER, J. 1.