Page:Federal Reporter, 1st Series, Volume 1.djvu/176

 168 FEDERAL EBPOETEB. �gross amount being subsequently corrected by proper entries in the boolis, if the weight was found to be more or less upon actual delivery, and if the price of gold should have changed when the duties came to be actually paid. The cargoes were not actually delivered until required by the superintendeat of the refinery for manufacture, and were generally, at the time the promissory notes were given, in the custody of the United States government, in its bonded store-bouses, sub- ject to its lien for tJie daties, and also still pledged to the bankers for their advances upon the letters of credit with which the bankrupts had purchascd the sugars in Cuba. �The bankrupts, as the agents of the corporation, kept its books of account, and received ail the money paid by its cus- tomers for the refined sugars sold to them. Upon an adjust- ment of the books of account it was found that up to the lime of the failure the bankrupts had received in money and prom- issory notes amounts largely in excess of the sums credued to them for the sugars they had sold to the corporation; this excess, as the account was first made up, being about $055,- 000. Subsequently it was found that hve cargoes of sugar, which had been sold by the bankrupts to the corporation, and for which they had been credited, and for which they had received the notes of the corporation, could not be obiained. They had been pledged by the bankrupts to Alex. I3ra',vu & Sons, the bankers, for their fuU value. The amounts credited to the bankrupts for these five cargoes being deducted, and other corrections being made, the account was made up as now presented, and it is this account, now amounting to $1,027, 794. 9-i, which the trustees of the corporation are seeking to have allowed as a claim against the bankrupts' estate. �One item in this account is for the sum of about $G4,000, paid by said trustees, being dividcnds amounting to 50-|- per cent, paid by them on a claim l'or about $127,000, proved by Alex. Brown & Sons against the estate of the corporation for guarantees by the corporation of letters of credit issued by the bankers to the bankrupts. �The assignee of the bankrupts bas petitioned the court not ��� �