22 U.S. 738
PROCEDURAL POSTURE: Defendants, a state auditor and treasurer and their successors and agents, appealed a judgment of the United States Circuit Court for the District of Ohio, ordering them to restore to complainant Bank of the United States a sum forcibly removed from complainant by defendants under authority of a state statute levying a tax on complainant and authorizing seizure of the tax.
- The State of Ohio enacted a statute providing that complainant, the Bank of the United States, was pursuing its operations contrary to state law.
-The State levied a tax on the bank and authorized the state auditor to seize the levied tax.
-Despite an injunction obtained by complainant, the auditor's agent forcibly removed from complainant a sum of money and delivered it to the state treasurer.
-Complainant sued to enjoin defendants from paying away the money and to require them to restore the money.
-The state court directed defendants to repay the amount seized with interest, and defendants appealed.
-The Unites States Supreme Court affirmed.
The clause in complainant's act of incorporation, enabling complainant to sue in the courts of the United States, was consistent with the Constitution.
-The creation of complainant was constitutional under the Necessary and Proper Clause, and because the state law imposing the tax on complainant was unconstitutional and void, the circuit court correctly directed defendants to repay the money being held in the state treasury, regardless of the fact that they were authorized by state law to seize the money.
OUTCOME: The Court affirmed. The Court held that complainant's articles of incorporation, enabling it to sue in federal court, were consistent with the Constitution, and that because the state law authorizing defendants to seize the money was unconstitutional and void, the circuit court correctly ordered defendants to repay the money with interest.
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