The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1869-01-06

| terest OF the Fire Loan Donds, payable IN Gae
| United States.
8. To the redemption of the outstanding
notes hitherto issued by said bank.
After the passage OF this act, which appro-
priated,' virtually, all the assets Of the bank
| Tits banking capital) to the payment OF the
Fire Loan bonds "a debt Of the State), the
holders of the bills Of the bauk issued prior to
the war felt themselves aggrieved, claiming
that the bank, being insolvent, its assets
should be first devoted to the payment of their
bills.
To secure these rights, claimed by the bill
holders, the suit Of Dabney, Morgan & Co., and
others, against the bank, was instituted. Their
bill in equity was filed in Charleston County on
tho thirtieth of October, 1867. The bank an
swered February 8, 1868. The Earrings. repre-
senting the Fire Loan bondholders IN Europe,
came in to enforce their claim and answered
on the twenty-sixth OF May, 1863. Maria Sim
ous and others, representing tho Fro Loan
stockholders in America, for the same purpose
came in and answered on the fifteenth day OF
April, 1865 The AHorney-Genoral Governor
Orr says without his sancrion-see message),
on behalf of the State, answered on the third
of April, 1868.
On the third day of March, 1858, Chancellor
Carroll made the following erdoi in the cause ::
STATE OF SOUTH CAROLINA, CHARLESTON DIS
TRICT-IN CHANcERY.-DETwEEN DABNEY, NOR
GAN & COMPANY AND THE PRESIDENT AND d.
RECToRS OF THE BANK OF THE STATE OF SOUTH
CAROLINA, ET AL.-DEcRErAL ORDERS
Upon hearing the bill and answer in this
case, and upon motion of Magrath Lowndes,
complainants' solicitors, and with consent Of
Hnyne Son, solicitors of the president and
directors OF the Bank OF the State of South Car
olina, and OF Barring Brothers & Company, and
of I. W. Hayae and j. B. Campbell, solicitors
for Maria Simons asd Jane V. Bowly, execu-
trix of Jane V. Howard, and Thomas 7. Sim
oas, solicitor of Arnoldus Vanderhorst Daw-
SON, holders Of State FIRE Loan stock, it is
Ordered, That the bill be amended By r1aking
the Attorney General, in behalf Of tie State Of
South Carolina, he being now in court and con-
senting party defendant, for the purpose Of
sustaining the validity OF the act OF 1865, re-
ferred to in the pleadlngs, and also by making
parties defendant the firm OF Barring Brothers
& Company, who have obtained leave to a.
swer as such, as also Arnoldus Vanderhorsr
Dawson, Maria Simons, June v. Bowly, OK
ecutrix Of Jaae Y. Howard, holders OF
Fire Loan stock, payable within tho United
States, and as representing that class OF
creditors, and that upon the coming in Of the
answers OF the Attorney General in behalf OF
the State Of South Carolina, and OF Barring.
Brothers & Co., and Of the aforesaid holders OF
the fire loan stock. made parties defendant, or
an order obtained that the bill be taken pro
confessc against them, the case at and after
the first day Of June next bo referred to MIR.
Tupper, one OF the masters, to inquire into
and report on the matters set forth IN TIE
pleadings, and to take such evidence as the
parties may offer in support OF the matter
charged in the bill or denied in the answers,
with leave to report special matter
Q. That tho said master, BY public ADVERTISE
ment in one or more leading newspapers in
the cities Of Charleston, Cincinnati, New Or
leans, New York and Augusta, cail'in any per-
son or persons claiming to be creditors holding
blis or notes of the corporation known as the
President and Directors Of the Bank OF the
State of South Carolina, to make proof OF their
claims On or before the first day of June next
ensuing; also notifying by said advertisement
all creditors residing in the United States
holding State stock foe which said corporation
has been made liable by law. said stock being
described in the pleadings as 'iFire Loan bonds
owned in the United States" to make proof of
the same within the same period.
8. In all cases Of persons claiming, whether
said claims consist OF bonds, Fire Loan stock
or bank notes, due notice OF the application to
make proof shall be given to the parties to the
bill and answers in those proceedings, OF their
solicitors. And in oil such cases where parties
claiming shall hold or be possessed OF any Sc
ourities given and accepted as securities Tor
the claims by him or them made, such party
or parties shall, on presentation OF said claims,
make q statement OF such securities and their
probable value; and also statement OF the
tnee when the claim or claims presented came
sideration paid therefor, that the same may be
considered by this court in determining the
amount OF such claims and the disposition OF
such securities. :,
i. T,s further ordered, That upon the COM
ing in of the answers Of tho Attorney-G
in behalf of the State Of South Carolina, OF Ba-
ring Brothers & Company. and OF such parties
in the United States holding Fire Loan stock
as shall have answered in this case, on or be-
fore the first day of June next, or upon order
obtained against any Of such last mentioned
parties that the bill be taken as confessed after
service of process to answer, then the said
"the president and directors Of the Bank OF the
State Of South Carolina" Charles M. Furman,
president, and Thomas r. Waring, cashier OF
the said bank, do account before Mr. Tupper,
one of the masters, for the capital, properly
and assets Of said corporation IN tnelr naaas
or under their control (under such Iesulauons
as the said master shall prescribe), to the end
that the case may, as speedily as possible, DO
prepared for o hearing.
5. IL is further ordered, That to avoid null.
tiplicity of suits. and waste OF tne fund Until
such hearing c3h be had, and o decree render
ed III this case, nll creditors OF the said corpo-
ration, whether blllholuers, honahoiders @ OF
claimants in any other form, ara enJolned from
all proceedings in law or equity against SAID
CORPORATION, its property or assets, except rs
parties to these proseedines.
6. u is t,trtlser ordered, That in consdera-
ton of The said injunction Of the creditors OF
said corporation fIom bringing suit against
the same, the said corporation, and said
Charles NJ. Furrnan and Thomas r. Warins are
hereby eujoinel, until the said hearing shall
be had and rendered, from paying over any
portion of the assets (monics deposited since
December, 1866, alono excepted) OF said cor
peration, except for current expenses, lnclud-
Ing counsel fees foc conducting the defence OF
this snit, to any creditors OF the same, unless
by special order of the court, without prcju-
dice, however, to the right of these parties to
collect dcbte Of the corporation, and to change
the form OF assets in possession.
7. 10 is further ordered, That the par
ties TO thcso proceedings new before
the court, au;l those who may hereafter bo
made parties, llavc leave to apply to this court
for any additional orders, which may become
necessary in the PROCESS OF the cause, the
above orders not being intended to conclude or
in any way prcjudgo tae rights OF equities OF
tho parties to this suit.
Filed March 8. 1868. 81 March, 1865
Thus the cause stood, when the General AS
scmbIy, on the 18th day OF September, 1868,
passed the Act to close the operations OF the
Bank of the State of South Carolina"
This act provided 'that the Governor OF the
State is hereby authorized and required. ior
and on behalf of the State, to take possession
of all the real and personal estate, assets,
chooses in action and books of accounts OF the
CORPORATION known as the President and Dlrec-
tors OF the Bank of tue State OF South Carolina,
in whose hi nds soever found and sell at pub