White v. Knox, supra; Kershaw v. Jenkins, supra; Anderson v. Missouri State Life Ins. Co. (C.C.A.) 69 F.2d 794; Richman v. First Methodist Episcopal Church (C.C.A.) 76 F.2d 344; Pinckney v. Wylie (C.C.A.) 86 F.2d 541; American Nat. Bank v. Williams (C.C.A.) 101 F. 943. And that rule applies to a claim for a deposit secured by pledged collateral. Interest cannot be paid on such a claim whether it be public money deposited pursuant to the provisions of law, Douglass v. Thurston County (C.C.A.) 86 F.2d 899; In re American Bank Trust Co. of Ardmore, 176 Okla. 202, 55 P.2d 470; or money of an individual deposited voluntarily, Gamble v. Wimberly (C.C.A.) 44 F.2d 329. Some courts have suggested that where a receiver is unreasonable or vexatious in resisting a claim, interest may be allowed during the delay thus occasioned. Leach v. Sanborn State Bank, 210 Iowa 613, 231 N.W. 497, 69 A.L.R. 1206; Bank of America Nat. T. S. Ass'n v. California S. C. Bank, 218 Cal. 261, 22 P.2d 704. It likewise has been intimated that interest may be awarded if the receiver is otherwise at fault in administering the trust.
We will consider these arguments in order. (A) The commissioner recognizes that in the cases of In re American Bank Trust Co. of Ardmore, 176 Okla. 202, 55 P.2d 470, and In re Farmers State Bank of Garber, 185 Okla. 336, 91 P.2d 749, this Court has stated the general rule that depositors and creditors of a failed state bank are not entitled to interest on their claims, unless assets are sufficient to pay all depositors and creditors. In two other cases we stated such a rule in connection with an insolvent trust company and an insolvent savings and loan association.
Legal interest on general noninterest-bearing commercial deposits, Dorman, Banking Commissioner v. Adams, 247 Ky. 678, 57 S.W.2d 534, 536, cited supra notes 5 and 18; Federal Deposit Ins. Corporation v. Leggett, 164 S.W.2d 882 (Ark. 1942); Southwest Nat. Bank v. Underwood, 295 S.W. 253, 254 (Tex. Civ. App.). Legal interest on interest-bearing commercial deposits, In re American Bank Trust Co. of Ardmore, 55 P.2d 470, 471 (Okla. 1936). Legal interest on interest-bearing certificates of deposit, Bank v. Bank et al., 15 N.D. 594, 603; Trustees v. Merchants National Bank, 139 Minn. 80, 165 N.W. 491, 494; Barnes v. Arnold, 51 N.Y.S. 1109, 1118, aff'd 61 N.Y.S. 85; id. 169 N.Y. 611, 62 N.E. 1093.
Since the insolvency of a debtor, or the appointment of a receiver for his assets, is an important element in determining the interest-drawing period on his creditors' claims, there appears to be some basis for the foregoing argument. In re American Bank Trust Co., 176 Okla. 202, 55 P.2d 470. In that case the court followed the majority rule to the effect that interest on claims against an insolvent debtor is calculated only to the date of suspension of business and the vesting of title to the assets in the receiver, unless it is shown that a surplus of assets will exist after payment of all indebtedness. See 39 A. L. R. 457, note.
Interest accruing after an insolvency as a general rule is not allowed when the claims of all the creditors are of the same class and the assets are less than the liabilities of the estate. American Iron Steel Manfg. Co. v. Railway, 233 U.S. 261 ( 34 Sup. Ct. 502); New York Security Trust Co. v. Lombard Investment Co., 73 Fed. 537; Taylor v. Corning Bank Trust Co., 185 Ark. 691 ( 48 S.W. [2d] 1102); Ledford v. Skinner, 156 Ore. 651 ( 69 Pac. [2d] 519); In re American Bank Trust Co. of Ardmore, 176 Okla. 202 (55 Pac. [2d] 470). Different reasons have been assigned for this rule, but the most compelling reason is that equality in the treatment of these claims is equity. "The principle, Equality is equity, or Equity delighteth in equality, is of very wide and general application."
Unless sufficient funds are available to pay interest to all unsecured creditors, including all depositors, no interest should be allowed or paid to Ehly. The allowance of interest was recently before this court in the case of In re American Bank Trust Co. of Ardmore, 176 Okla. 202, 55 P.2d 470, in which this court said in part: "The assets of the bank at the time of its failure are a trust fund to be held for the benefit of all of its creditors.
Examination of the authorities cited by both parties on the question will disclose that the general rule of law supports the contention of plaintiff in error herein. The question appears to be settled in this jurisdiction in Re American Bank Trust Co. of Ardmore, 176 Okla. 202, 55 P.2d 470. Therein the general rule is recognized as being: "As against the assets of insolvent bank, generally interest on a claim is calculated only to the date of suspension and the vesting of title of the assets in the receiver, unless there are surplus assets after paying the indebtedness.