Nathan Clifford

“ Equity regards the capital stock and property of a corporation as held in trust for the payment of the debts of the corporation, and recognizes the right of creditors to pursue such properties into whosesoever possession the same may be transferred, unless the stock or property has passed into the hands of a bona fide purchaser; and the rule is well settled, that stockholders are not entitled to any share of the capital stock nor to any dividend of the profits until all the debts of the corporation are paid. ”

“ Such an indebtedness constitutes an exception to the rule, that, where there are mutual debts, 'one debt may be set against the other,' as originally provided by act of Parliament; or perhaps it would be more accurate to say that the rule does not apply where it appears that the debts are not in the same right as well as mutual. ”

“ Throughout the lifetime of the company, the complainant insured many and valuable properties in the company, and paid to the proper officers of the same large sums of money as premiums for such policies of insurance. ”