Page:Federal Reporter, 1st Series, Volume 2.djvu/327

 320 FEDERAL REPORTER. �proofs of debts relieves these mattera of some objections of a technical nature which otherwise might perhaps occasion doubt. In that case tae wife of a bankrupt had loaned her husband money, and claimed to prove for the same against his estate, although by the laws of Massachusetts she could not sustain an action at law for its recovery. Judge Lowell there held that equitable claims were within the scope of the bankrupt act, and that it was the intent of the act to give al] creditors an equal share of the assets without regard to the mode in which their rights might have been enforced if there had been no bankruptcy ; that as to both debtors and creditors the act is highly remediai, and the district court is vested with most ample equitable powers to enable it to work out full remedies toallpersons; that, although the twenty-fourth sec- tion provided, on appeal, the ordinary remedy by a suit at law, the circuit court might take such order in relation to appeals not f uUy provided for by section 24 as may be necessary to con- form the proceedings to the nature of the case. James, L. J., in Ex parte Adamson, L. E. 8 Ch. Div. 820, states the law as follows: "It being the established rule in bankruptcy that every debt which a person could, either in his own name or in the name of any other person, recover at law or in equity was a provable debt in bankruptcy." �Jordan, as the administrator of York's estate, was not authorized to appropriate to the use of Jordan & Blake the funds held by him in that capacity. It was in law a breaoh of his trust as administrator, and, although ;io fraud was intend ed by him, his act was in violation of law. By the entries upon the firm books of the various suma thus paid to the firm his copartner, Blake, became cognizant of the transaction, and the firm thereby became chargeable as trus- tees for the amount thus loaned to the firm by Jordan as administrator. In England there is a uniform current of authorities that when trust funds are thus misappropriated and loaned by an executer or trustee, under a will, to a firm, with the sanction of its members, this amount constitutes a joint and several claim, provable against the firm and the individ- ual members of the firm who have knowledge of the transac- ����