Litchfield enquirer., 1858-09-16


 in relation to the Htchfed Bank It is matter in whicn all who take note of the are interested have seen the testimony as reported to the Hart lord Conrant, and If you will excuse me for saving SOL think your " editorial' does not give fair representation of the facts reported. although VIII own that you do not go into it very fully You represent Dr. Beckwith, MT Houghton, and others as ' testifying for the Bank" Now if I understand language. MT Houghton, by his testimony. showed most fully that from it's early start to the time that the control passed out of his and his associates hands, it wasa most "scaly concern" and should have been enjoined long bcfore-fnlly justying the Bank Commissioners in the course they pursued
 Another thing that came out in the trial, should have been pulslesl here, and, if from no other mo- tive. to give Mir Hollister the opportunity to deny here the gross charge that is made against him by one of the witnesses refer to Sturges, who test fes substantially that he (sturgs was employed to sell e Charter to parties in New York for SIP OCO by MT. Hollister and Pcet of Canaan, and his commits sion was to be S1000-tlat he did sell it to Rumsev Houghton. &c that he did not get his commission paid lin full, and las iEfer) turned traitor Now this is pretty gross charge against two of pro- minent lawyers and many will believe it true they do not contradict it. and will naturally ask the questions How came Mir H. & P. to o~n the char ter?' What right had they to selL act of Le gislature passed the petition of many and if they had the right to sell, why not divide the spoils a. mongst the petitioners? I am disposed to give all credit to Dr. and others for their audable efforts to bring "order out of confnsion, but there are dark spots (accordng to the testimony on the finan cial honesty of some still connected with the Bank that should cause other removals than the Cashier He should not be tho scape-goat for the whole con- ccrn. ONE OF THE PETITIONERS,
 We hardly think our correspondent justified in saying that there was anything unfair in our notice of the proceedings before Judge Ellsworth in rela- tion to the Etchfeld Bank. We briefly stated the charges against the bank and gave the decision of the Judge in the case, with the additional remark (made on high authority that the officers of the Bank were already doing just what the Judge has re quired. We are not in the habit of publishing the testimony in notice of cases before the Courts but simply the claims of parties and the finding of Judges and Jurics. As however this Bank case ex- cites unusual interest have concluded to copy the testimony entire find it reported in the Hart ford Courant. After statements from counsel wit nesses were called as follows:
 EdVard [. Houghtcm, Cashicr.-My con- nection with the Bank commenced in July or August, 1857. First heard of the charter in July. 1857, in the city of New York, from MT. Rumsey. He was to furnish the banking mo- ney, and was to be cashier. Iwent to Litch- field in August lS57 Five thousand dollars were borrowed of Mr. Richardson. of Falls Village, security being given him in Western railroad bonds $5,OOO was borrowed of the Iron Bank, MT. Rumsey's note being given as security $500 were given MT. Richardson as bonus. l endorsed the Richardson note. I was elected cashier in October 1851. (The witness here gave list q the origipal stock holders, including hssef down for*l0O shares and his wife, "J. 5. Houshton," 100 shares At the time my wife and I subscribed for S2OOoO worth of the stock, we were worth nothing. received $1O,oOO from the Presi- dent ot the Bank in November, when I com menced as cashier l have seen Mir. Rrmseys receipt. My w'f''s stock does not now stand in her name. It has all been paid in in full. I signed the first bills ever signed. I nor the Bank ever gave power of attorney to any person to sign those hills There was not a dollar of the money signed till November. Mir. Rumsey bought the books for the bank. Il took the s2O, 900 of stock to pay me for being cashier. Expected my friends to pay for it, Have owned the Ocean Bank, of New Jersey, the Bank of Bainbridge, and two other Banks, all of which were wound up in the regular way, with their bills fully secured. The first install. ment was paid in about the 4th of August the third, about the 4th of November. We discounted some portion of the money paid in directly back to the stockholders. A portion of all the stock subscribed was paid in by the 18th of April last. think at that date there was $l ,O00 paid in on my own and wife's shares at that time. The whole amount of MT. A Roberts and some other stockholders subecrip- tIons was immediately discounted back to them. Cannot tell how much money had been actual ly paid in by the 9th of April. (At this date. it has been claimed, $5O,OOO, or one half the stock, had heen actually paid in.) Do not know the responsibility of A. N. Bennett of New York, whose note for $l,G50, endorsed by J. T. Ryder and secured by bond and mort gage, was recently due and unpaid.
 | (Ihe counsel went on to gather from MT. Houghton his knowledge of the drawers and endorsers of some $40, 900 in notes. Mir. Hough- ton didn't know much about these persons, generally.)
 Hazeton, of Grand Rapids, and Ball, of De- troit, own $37,000 of stock in the bank. We have about $37, 1000 in bond and mortgage as- sets. Mr. Warren Becman cane to the bank in February last. Mr. J. w. Rumsey brought him. The bank has $2,O0O in specie in it's vaults. About $l0,O on deposit in the suf- folk Bank. At the time of the injunction we had at the Suffolk Bank, and on it's way here. about $lS,00o. We had less than $iOO on deposit ill the Park Bank, New York. About $l, 900 in draft on Durham, Nesnith & Lansing. New York, and about $1OU in other places. The Suffolk Bank telegraphed to me after l Thursdau that thex had ohont &e snn .f