Litchfield enquirer., 1858-09-16


 bank only about an hour. and in the course of half an hour afterwards was served with an order to appear as one of the directors. I went down with him as far as Bridgeport Saturday went on oo New York on Monday, according to appointment, and remained until four Q clock but saw nothing of Mr. Moves.
 Some two weeks before the injunction, Messrs. Noble and Clarke visited us made very thorough satisfied
 The arrangements in regard to our New York mortgages were that Mir Hazlcton should finish one building at time sell it and place the proceeds in the bank.
 We have now enough good Connecticut notes to redeem all our circulation, and the public are in no danger from the bank. if it is allowed to go on. do not know of single person who is interested in the bank who wishes it to stop. Stockholders are good
 Ltchfeld Bank charter that MT. Seth P. Beers had a prepared charter of bank to be called the Ltcbfeld Bank.
 believe Dr. Bcckwith could hold 100 shares of bank stock investment
 There was a large petition for the bank, numer- ously signed by the citizens of Litchfield Mir Webb Mir Beers, myself and others would have taken stock but on looking at the subscription book, we
 Mir Peet came to Htshfeld to see if the citizens wanted hank Do not think he engineered it through the Legislature Think Mr. Graves did that. first became connected with the bank about
 
 per discounted before went into the hank. re- member endorsing some paper before the stock was taken mp. Didn't know what it for. When went into the bank paid in all the money could get I could hardly get money enough to hire horse at that time. gave my note for about fifty per cent on my stock of fifty shares. I paid in $500. I suppose that actually there had been no subscriptions paid in. and paid for my stock di- rectly tO the hank. The witness went into long statement in regard to the Beenan debt and other matters that have been fully covered by other wit nexses. E. r. H6ughton-Our funds in the hands of Dun- l ham, Nesmith and Lansing entirely at my con i trol although they have dishonored my draft upon them. The witness explained with regard to the discrepancy between his statement of afairs to Mr. Noyes at the bank and his statement in court. The discrepancy of S24000 is made good by an item ot sl5.a37 .35, due from hanks and bankers not given to Mir Moves and some S8 GOO at that time its way to the Suffolk Bank, Boston. Sdh ?. Btrs T know the stockholders of the itchfeld Bank should think the lit good as that of any bank in the State. l consider the list of directors good that of any bank in the State. think the public is in no danger from the continuance of the bank, and that here is need for an injunction. G'eorye IT. NobIe.-I made official visit to the in. stitutiun till the 17th of last August. A few days after the organization of the bank Mr. Durham and myself were in Ltchfed to examine the branch of the Phoenix Bank. We had suspicious of the new bank thought it was bogus thought so because Mir. Rumsey and other outside parties interest ed in it. Could not sec why from New York should wish to come up into Connecticut. In Au- gust last. went to Litchied with Mir. Clark to look into the affair. In the meantime, an entire change had been made in the direction. The first thing that noticed that struck me as wrong their statement for the first of August of deposits which were put at $.0.s56, ,3O Upon enquiry of the cashier found that slis sum repre- scnted loans fem the Hurlburt and other banks
 Their circulation on the 1st f August was $33,- In inc of w TGav had about S6 900 in specie at that time. The checks and cash items on the lst of August $3, ,594 S1 600 consisted in plates of the bank It is the habit of cashiers to put in these things in various places. to make up their balance sheet I had no doubt that they had enough assets to take up all their currency. Then came to the Beeman paper. The cashier told me that no reliance placed on the notes. but that it secured by bonds and mortgages. or these know nothing except what Dr. Beckwith told me- I asked .he Dr. if he did not know that this large loan out of the State was unlawful He said that he supposed it was, but that the necessity of the required it. Thinking that there was danger to any other persons than the stockhold- ers-the currency being safe-Mr Clark and myself concluded that there was no present necessity for an injunction the bank. We found it in a bet | ter condition than it previously had been, though not goHl wished it to be. I think it bad time just now, when they doing the best they to get the matter clear to stop them. thought. l.st July when the bills were thrown out of the | Park bunk. and they were still refeeming their pa per over the counter, that they were in condition 10 go on. The first that heard of this injunction, Tread of it in the New Haven papers and was perfectly thunder struck If m Injunction were to have leen put on at all, think it should have been done last spring winter instead of at this time when it will be ruiiious to the new stockholders who have recently come in
 wes consulted at about the time of the change fin the management of the bank in regard to getting in the subscriptions. and told them that there would be no objection to discountng to the stock holders immediately after they should pay in their subscriptions
 do not think that the mere violation of the law is sufficient grounl for an injunction. If it were, most of the banks in the State would be enjoined.
 told the directors at the time of my visit, that T thought it would be udicious to change the cash fer for Connecticut man ; who would feel more identified in interest with the State Cross Ernn'i@ation. The witness read two letters from Mir Moves, written just before he (witness) went to Litclfeld in which Mir. Moves stated that there would be necessity of going to Litch6eld as he lNoyes) had, at some expense and trouble, worked out the secret history of the bank. This closed the evidence for the bank, and the case was adjourned to two o'clock.
 AFTERNOON SESSION. In few brief remarks. Mir. Peck claimed that his had been proven, but hoped that in its de- cision the court would do nothing to injure those new stockholders who had recently come in in good faith.
 Mr. Foster said (only speaking for three minutes) that it had been shown that the citizens of Litch field county had come forward to preserve the hon. CT of the county that great improvements were being made in the management of the bank which would soon place it upon sound foundation.
 Judge Ellsworth said that two considerations en- tered into the decision of this matter The first was to do no injury to bank chartered by the le- gislature any injury that should affect those who had come into it in perfect good faith to resusci tate it, he was convinced that there was material for such good standing. The second consideration was, that the charter should in no way be abused. He was convinced that the bank had never been le- gally and properly organized. He did not think that the stock had ever been properly subscribed To dismiss this complaint at the present tme would be to leave the institution in exceedingly crip-