Beck v. Corinna Trust Co‪.‬

This bill in equity brought by the bank commissioner alleges that the defendant is insolvent and asks that it be enjoined from the further prosecution of its business and that its affairs be wound up and its assets distributed. Subsequently, and after the filing of an answer by the defendant, a petition was filed praying for the appointment of a receiver. After a hearing, the sitting justice entered a decree dismissing the bill and the case is now before us on an appeal by the plaintiff from such ruling. The defendant was organized in 1919 under the general law to do a trust and banking business. On January 13, 1930, in accordance with the terms of an agreement with the Merrill Trust Company, another banking institution, the defendant ceased to carry on its businesss. This agreement consummated negotiations which had been in progress between the two banks, the terms of which were embodied in a letter from the Merrill Trust Company to the defendant of the following tenor: