Page:Federal Reporter, 1st Series, Volume 2.djvu/32

 COMBINATION TE0ST 00. V, WEBD. 35 �that amount over $2,000 as commissions and for other de- mands, and had made various other gains and profits from the transaction, and that, as president, heoccupied sueh a fidu- ciary relation to the corporation that hewas bound toaccotint for the sums so retained before proceeding to sell the collat- eral. A five days' injunction was granted by the state court, which -was af terwards continued ' urttil f urther order. The cause was afterwards removed to the United States circuit court, where respondent filed an answer alleging that he did not make the loan, but that at the request of the corporation he procured it from one Adams, by agreeing to give to Adams his individual indorsement upon the corporation notes, and that the loan was made in his own name, in order that he might indorse to Adams the notes given therefor; that with the consent of the corporation he had retained $1,000 for •commissions, and $1,000 for a debt due him from the corpo- ration, and that the corporation had received and spent the remaining $8,000. The motion was arguedupon bill, answer and af&davits. �Angelo T. Freedley and William Henry Rawle, for com- plainants. �Thomas TIart, Jr., and James E. Gowen, for respondents. �BuTLËB, D. J. The bill, we think, presents a case within tho equitable oognizance of the court. The defendant Weed, as president of the corporation plaintiff, occupies a position of trust and confidence, and is liable to be called upon to account for and make restitution of any part of the property confided to his management and care which he bas improp- erly applied to his own use. Jackson v. Liidenling, 21 Wall. 616; OU Co. V. Manhery, 1 Otto, 587; Kochler v. Iron Co. 2 Elack, 721; Dniry v. Cross, 2 Wall. 299; Luxemhurg R. Co. T. Maquay, 25 Beav. 586; Cumherland Coal Co. v. Sherman, 30 Barb. 553 ; Dodge y. Wolsey, 18 How. 331; Hill v. Frazer, 10 Har. 324; Ashurst's Appcal, 10 P. P. Smith, 314; Angel & Ames on Corp. § 312, (p. 329 of lOth Ed.) In addition to this a part of the property in controversy passed into his hands upon an express trust set out in the transfer under which he received it ; and a trust is acknowledged, as respecta ����