New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1852-11-09


Lehigb regions to be only 27 491 tuns The increase
from all the anthracite regions will swell the increased
supply I'D 10 400 600 10000 tuns at the close Of the
shirping season all Of which viii be required and will
kaye the market In healthy state at the opening OF
Sbe trade next spring.
A new Bank has been instituted at Castle
Non. Vermont. under the General Banking Law, and
with capital Of s65,OOO. The notes, we believe, are
secured by yirgina State Stocks The following are
the Directors: Hon. w. c. Kitredge Presidents j.
Sheldon Jr 8. Field, H. stannard H. r. Cooley, L. 8.
Howard, A. A. Rsnsern o. II. Harris, J. Perkins, T. J.
HalIock, y. Parker, II. Answorth T. w Rice Vice
President; and 8 d. Root, Cashier
We reprint from The Erening Post the i'm
portont decision In the North American Trust case upon
which the late speculation in that stock was based
JUDGE GARDENERS OPINION IN THE NEW. YORK
LIFE AND TRUST CASE.
IN THE COURT or APPEALsI
The Sac Of Ohio, q al rtspondents, D. Ddr.a Leaea'
Receiver Of me ~ A. 4. and H. Co., aud FerT" PeI
end Mary Asn his wifs, appellants -,
GARDIEER 1.-The defendants, Pell and wife,
object to the validity Of the bond and mortgage IN con
Goyersy. ,
First upon the ground Of usury second upon that Of
fraud upon the part OF the Association.
There Is foundation for the fret objection IN the
pleadines. Nor for the second in the proof.
Thecsse shows Pe intended to exchange, aud did OK
change, his bond and mortgage for the socko he Con
eight conts upon the dollar that he has disposed OF 1t
according 10 The purpose stated by him in hs answer,
and has received and appropriated the avsils to hs
The defcnfe II successful would give him $4,000 in
the stock Of the Association it, proceeds without con
alteration and enable him TO pass upon the creditors
and bona fde stockholders OF the Company the loss
ATking from hh own improyidence.
II tEeee defendants at liberty 10 insist upon the
fraud Of the original subscribers In bar Of this SUIT
susston upon which we express opinion, the fraud
bo pVfi has no AS
agreed upon the rt argument, and nothing has been
shown upon the prefen hearing 10 change that opinion
Assuming the validity ofthc bond and mortgage The on
ly remaining question viii be whether the State oil Ohlo
through the agreement and assignment stated IN the 0
obtained such title 10 the securities will be rccog
nised and enforced in Court OF Equity TIE deter
ninaion Of this question Involves consideration of the
nature and extent of the powers conferred upon the As
sooiaton by the Act OF 1893 ITO authorize the business
Of Banking
And fret this association was n corporation, aud
r,oneyed corporation This wac, 10 effect decided IN
Giloti CO. Moody, in this Court @ Come, 49, aud m
previous clsos 10 which reference is there made In
she language OF Judge bronson hey are not corpora
sons within the intent and meaning Of particular stat
ute but are corporations TO all intents and purposes
In the second place. the association In n banking cor
poraton IL was organized under IAN act 10 authorize
the business of banking not an act for tina, and oiher
purposee The 18th section Of the statute provides t1st
"such association shall have power TO carry out the
buness Of banking by the exercise Of the express pow
ers there enumerated and Of each Incidental power as
shan be necessary to carry such business.' This
provision Is merely decaratory OF the doctrine OF the
modern decions that e all corporations possess such
powers specifically granted by the act OF ncorpo
ration such necessary for the purpose OF carry
sg into effect the powers expressly granted and no 9th
ers" g Kents Com, 29S; Wheat, 6j6; Hill 4i3(
In the third place this nssociatonss banking corpo
Doration subject TO all general laws relating 10 that
class Of coporaons except IN 50 far az those lava
some OF them in particular PROVISIONS have been mod
sed suspended by the act of 1893 under which this
institution organized and by subsequent statutes
1hG proposition Is the necessary result OF the decision
in the Supervisors OF Niagara County the People,
Jim, 800 and Gilett Moody in this Court
II banks organized under this law subject to taxa
tor and the act to prevent the insolvency of monied
corporations, settled by these adjudcaions, no rca
Is perceived why they are not bound by all general
laws relating moneyed corporations, not in conflict
with the under which they were created IT, was
argued that TO look og their attributes powers
and responsibilities exclusively TO the law Of 1893 aud
10 the laws amcndngi subsequently passed and that
"the authority TO associate upon the terms and coz
dions and subject To the liabilities prescribed by tue
act exprsly provided by the 18th section, excludes
any reference to or liability under former ststutes'
This argument proves too much since the pi1nclpie
which il rests would apply with The same proprety
10 the common law TO legislative cnacsnen's and
these associations would consequently be exempted
from responsibility 10 any law not recognized by this
psrte ular statute The 18th section merely airms that
The terms and conditions imposed by the law OF 1888
obligatory upon all associations thereafter TO be or
Ysnized in pursuance Of It's provisions.
IL does not by any frat implication exclude the obga
ton of any other law applicable 10 the seme subject
and consistent with those terms and condlt0aS
Again. II the Legislature intended 10 authorize the
fon Of banking corporations, we cannot suppose that
they designed to provide for privileged class by
cxemptng them from restrictions imposed upon all
others and deemed necessary protect the public and
stockholders against the fraud improyidence of the
agents who controlled them nthey had no such inten-
on a. the coSnsel for the complainant insists the law
then existing In reference 20 moneyed corporations
would have application 10 these associations OF
course an exemption from their operation In terms
would be superuous, If not absurd Il ought not to be
implied from the provisions OF the 18Th section
Assuming this 20 be the character Of this Association
and these the obligations imposed upon II by the stat
ues Of the Stste the question presented whether s
oeers in issuing the certificates Of deposit mentioned
mthe hill, and in assigning the bond and mortgage as
security for their payment or in the transaction and
agreement leading 10 that assignment violated the pro
Visions OF any statute obligatory upon them, or tran
ssended the powers given them by law or tho articles
ixed
The transaction which resulted in the issuing of the
ceiuncses, aud the assignment of the bond and mort
psse N controversy, WAS IN substance follows The
DAM nsa previously purchased for the purpose OF sale
sssoreing to the testimony Of the President sQOoO of
cs,~. ~ S nons Tor which they had given their ces
sscs ~ oepcsif payable AZ different periods OF this
ss, ss.@vo ren,sned due and unpsid prior "a ana ON
nc "a on nov isSS. This sum the Compsny were nm. |
NEW 10 nso,ss ,Sa sesthesses msturod and with the
Wv ~ ene means CT payment or in order IN
extend the time q credit n neyotiatson - w. ~
WIN the eonhsssioners OF the State OF Ohia s,r re-
fsSe " ''-'' ''0'' redecnab'e in
These bonds were TO remain in the hands Of IN. 49,.
of that Stste 10 be sold, pan in EnglAnd ana ss1
this country, account OF the Company and ~
ceeds 90 be applied in payment Of the ola deh, P
part execution of this Arrangement the sgr,omer, &C
Nov - 1859 was executed BY which Ohio stinuls.,
30 cell and the bank purchase $4,000 Of said bonds
Ohio 10 receive In psytncnt certificates OK depost O,
the Company payable 1t future day to the slnoant Of
eessOOQ as therein described To secure the payment
OF the certificates they respectively fell due the bond
and mortgage mentioned in the bill with others in the
aggregate amounting s9 600 wss 10 be assigned TO
trustees and guaranteed BY the Association, the secu
rites 20 be enforced upon failure Of the Compsny topy
the certificates, any Of them a. they nafarcd
Rejecting particulars not important IN this litigation,
The aparchase Of stock BY the bank up
On their notes or cer6csto payable at future day. the
ssck 10 b sold b. As esses Of ONO 90 account end