Anyone with ideas: A consumer borrower pledges stock certificates (delivers originals w/stock powers). Loan goes in default (bank does not know, but borrower passed away). Stock certificates are presented but companies say they issued replacement shares based on lost shares affidavit f/estate executor. Company says we are out of luck with the company; we have to pursue executor or bond issued. Does this sound right? Why doesn't the company have to pony up, and they go after executor or bond? Thanks for thoughts.

Unless there was collusion, the company probably acted in good faith and re-issued the certificates based on the affidavit, so there may be little gained in pursuing them. I'd get counsel involved. The bank may have been defrauded. A demand should be made of the executor and the estate to restore the bank's position. And consider filing a SAR.