The newest listing however situation falls out then white towards impounded loans

Within the an extra cross-claim registered from the Relationship may twenty-eight, 1948, it alleged that in making the fresh new developments out of told you $6,3 hundred,100 to Ammann given that supposed Conservator to possess Organization, San francisco Lender or any other mix-defendants “were utilizing completely or perhaps in region, money, loans, and you will property, which they know was in fact belonging to, the house or property off, and you will belonging to the Federal Home loan Financial off Los angeles [or belonging to its stockholders] and that said currency, finance and property have been obtained because of the mix-defendants of the fraudulent and you can destructive seizure and you can confiscation of said Los Angeles Lender * * *.”

Further white was shed with the some says by the an argument off counsel getting La built in courtroom in the main circumstances for the July 29, 1948. He mentioned:

A formal carrying of your own Court are your shareholders out of Organization (Mallonee) have been estopped, while the Relationship would be, from challenging the fresh new terms of Act, Domestic Owners’ Financing Work regarding 1933, and this authorized this new Board so you’re able to prescribe new conditions and terms less than and this good conservator ed, 332 You

“We [La Financial] was asserting claims to brand new $six,three hundred,100 value of cards with the deposit on registry of your own court, carried out from the Ammann while the Conservator, and is also all of our declare that the funds used to build these finance, into the large region, was financing of the Los angeles Bank.”