Held: Yes. The contention of Henley is correct.

Title may be vested in the transferee

only by delivery of the indorsed certificate of stock

The Supreme Court has uniformly held that for a valid transfer of stocks, strict
compliance with requirements must observed. The requirements are: There must be
delivery of the stock certificate; The certificate must be endorsed by the owner or his
attorney-in-fact or other persons authorized to make the transfer; and to be valid
against third parties, the transfer must be recorded in the books of the corporation.

In this case the compliance with the said requirements has not been clearly
shown. The said assignment was not sufficient to effect the transfer of shares since
there was no endorsement of the certificates of stock by the owners, their attorneys-in-
fact or any other person authorized to make the transfer. There was no delivery of
stock certificate. Failure to comply with these requirements is a fatal defect.

Based on the foregoing, Henley is still a stockholder of the petitioner‘s bank