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BANK OF MULBERRY v. FIREMAN'S FUND INS. CO.

No. 82-2536.

720 F.2d 501 (1983)

BANK OF MULBERRY, Appellant, v. FIREMAN'S FUND INSURANCE COMPANY, Appellee, v. Joe A. ARNOLD.

United States Court of Appeals, Eighth Circuit.

Decided November 3, 1983.

Attorney(s) appearing for the Case

David E. Smith, Boswell & Smith, Bryant, Ark., for appellant.

Davis, Cox & Wright, Fayetteville, Ark., for appellee, Fireman's Fund Ins. Co.

Before LAY, Chief Judge, HENLEY, Senior Circuit Judge, and McMILLIAN, Circuit Judge.

HENLEY, Senior Circuit Judge.

The Bank of Mulberry was insured by Fireman's Fund Insurance Company against losses incurred by the fraud of its employees. The Bank sued Fireman's to recover for losses incurred by the fraud of the Bank's former president, Joe A. Arnold. The Bank sought recovery for losses sustained by three separate events: a $100,000.00 loan, a $42,000.00 theft, and a $142,000.00 loan. The district court

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