Page:Federal Reporter, 1st Series, Volume 7.djvu/526

 514 FJSDEBAL BEPOBTBB. �bonds upon said western division, etc. Upon August 22, 1877, the receiver made hie eertifioate for the sum of $2,500, payable to William E. Bowes, or his order, in four months from date, with interest at 10 per cent, per annum, payable out of the earnings of the western division of the said rail- road applicable thereto. The certificate recited the sub- stance of the brder, and stated that it was issued by virtue thereof. The receiver handed it to the payee, Mr. Bowes, for the purpose of negotiatieu and sale, but gave him private instructions not to sell for less than par without previously advising him. The certificate was disposed of by Bowes. The receiver was never advised of it, and never received any money on account of it. The petitioner Bilverman, a banker at Chicago, became the owner of the certificate by purchase, in due course of business, on the nineteenth of September, about a month after its issue, of G. H. Lane, for $1,000. It was, when so purchased, indorsed by William E. Bowes, the payee therein named. Lane's name was also indorsed upon it. At the time of the sale, Lane represented himself to be the owner of the certificate. Bef ore purohasing, Silver- man had satisfied himself of the genuineness of Bowes' indorsement. There was no evidence as to the amonnt received by Bowes for the certificate, nor, indeed, whether anything was paid him, nor as to who, if any one, became its holder after Bowes parted with it and before Lane ac- quired it. �Otto Kirchner, for the petitioner. �H. M. Dujield, H. H. Swan, and H. L. Baker, for the receivership. �Bkown, D. J. The certificate in question is not a negotiable instrument. The order under which it was issued gave the receiver no power to make negotiable paper. The certificate contains no express promise to pay, but is a mere acknowl- edgment by the receiver of an indebtedness to Bowes' order, payable out of a particular fund, if it be sufluoient to pay in full all holders of such certificates, or, if it be not sufiicient, then only a pro rata share with other holders. It recites an order limiting the amount of such paper to be issued, and ia ��� �