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TRADE DEVELOPMENT BANK v. CONTINENTAL INSURANCE CO.

No. 811, Docket 72-1189.

469 F.2d 35 (1972)

TRADE DEVELOPMENT BANK, Plaintiff-Appellee, v. The CONTINENTAL INSURANCE COMPANY, Defendant-Appellant.

United States Court of Appeals, Second Circuit.

Decided October 10, 1972.

Attorney(s) appearing for the Case

Jack Hart, New York City (Hart & Hume, William Hart, New York City, of counsel), for defendant-appellant.

Charles C. Parlin, Jr., New York City (Shearman & Sterling, Leo Kayser, III, J. Ernest Baird, New York City, of counsel), for plaintiff-appellee.

Before MANSFIELD and TIMBERS, Circuit Judges, and GURFEIN, District Judge.

MANSFIELD, Circuit Judge:

Invoking diversity jurisdiction, Trade Development Bank (the "Bank" herein), a Swiss bank, sued The Continental Insurance Company (the "Insurer" herein) upon a fidelity bond for recovery of losses due to dishonesty on the part of the Bank's employees. The fidelity bond, issued by the Insurer in 1968, obligated it to indemnify the Bank up to the sum of $5,000,000 against

"Any loss through any dishonest, fraudulent or criminal act...

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