Page:Federal Reporter, 1st Series, Volume 7.djvu/439

 h'OOHB V. CHICAGO, ST. LOUIS & NEW OBLEANS B. CD. 427 �an agreement entered into by the bondholders under said foreclosed mortgage made shprtly before the foreclosure, and which by consent of all the parties to the foreclosure and by order of the court was embodied in and made part of the decree of foreclosure, the cause of action existing, if any, against this plaintiff, by virtue whereof the defendant corpo- ration would otherwise have been entitled to have the bonds held by the plaintiff adjudged void, was released, and said bondholders and this defendant corporation are precluded and estopped to set up against the plaintiff the illegalities and alleged frauds by which in the original bills the vaMity of said bonds is sought to be impeached. �The defendant corporation, or rather another corporation, the Central Mississippi Eailroad Company, which bas, witb still another corporation, been Consolidated into the defend- ant corporation, became the purchaser of the railroad rrom the committee of bondholders who bid off the.property upon its sale in foreclosure, and, for the purpose of this demurrer, may be regarded as having been virtually formed of the bond- holders under said foreclosed mortgage, as claimed by the learned counsel for the plaintiff. The defendant Osbom, who is the president of the defendant corporation, is alleged to have been one of the purchasing committee of bondholders, and is claimed from this circumstance to have been the agent of all the bondholders in the transaction which resulted in the foreclosure, including the Illinois Central Eailroad Com- pany, which was the holder of the largest part of said bonds, and is alleged to have joined in said agreement prior to fore- closure. �The defendant Osbom demurs, on the ground that he is improperly joined as defendant. �The interrogatories put to the defendant Osbom are de- signed to discover what amount of said bonds was held by the minois Central Eailroad Company, and whether that Com- pany, and, if any, what other bondholders, assented to the decree in foreclosure. The demurrer must be sustained. �It is proper for a defendant in a bill in equity, who files a cross-bill, to make defendants of parties not parties to the orig- ��� �