Clarksville chronicle. (Clarksville, Tenn.) 186?-1872, 1872-02-10
BANK OF TENN ESSEE AFFAIRS
status OF Its Law Suits.

The following statement of the
suits in which the Bank of Tennessee
is concerned, will be of interest to
the public. The State of Tennessee
is concerned in these suits, and mas
much Us the amount involved Is quite
large, and the work required in the
investigation of the subject matter
quite Intricate, and the suits some
what complicated, the State has en-
ployed two attorneys, Messrs. Quarles
and Thompson, to cooperate with
Attorney Gen. Heiskell in the wind
ing up of the affairs OF the Bank of
Tennessee. The cases of Importance
now pending, are i'm the Supreme
Court of this State, and are as fol-
lows: State, and Watson, trustee OF
the Bank of Tennessee, VS.. the cred
itors of the Bank, was petition filed
several years ago for the purpose of
winding up the affairs of the Bank.
Childress ct ais have also filed bill
in the Chancery Court, here attack
ing the trust deed made by the direc-
tors to Samuel Watson, trustee, ask
ing in said bill that the said deed be
set aside. The Bank gained the case,
and the opposite party appealed to
the Supreme Court.
Humphreys and Lindsey i'm be-
half of the depositors of the Bank
filed cross bill, in which they set
forth that they are depOsitOrs in the
Bank of Tennessee, and that they
should have priority of payment over
the School Fund, in the assets of the
Bank. They accordingly attached
$50, 600 of the School Fund in the
hands of the Treasurer, which had
been invested in 7-30 bonds, claiming
that the School Fund was part OF
the capital of the Bank and that
they have a right 20 look to it in pay
ment of their deposits inasmuch rs
they have put their money in the
Bank on the faith of the capital, part
or nearly all Of which was the school
fund. TO this bill the State by its
attorneys demur, which demurrer
we have already published i'm this
paper.
There are also the two following
suits relative to Tennessee money
now pending in the Supreme Court
of this State. One is that of Weems,
of Dickson county, against the Bank
Bank against Jamison, of Maury
county. Weems in the court below
pleaded tender and decree was enter
ed for the Bank.
In the case of Jamison the decree
was against the bank which appealed.
The question here involved is
whether or not the Bank shall take
the Torbett issue In payment of its
debts. The attorneys for the State
are directed, so far rs the State OF Ten
nessee l. concerned, to carry the eases
to the Supreme Court of the United
States, in the event of an effort be-
ing made to compel the State to re-
ceiVe this issue for taxes. The Objec-
ton urged 10y these attorneys, Is that
this money was issued i'm aid of the
rebellion, by n fiscal agent of the
State, while in open rebellion against
the Government, and no more can
be paid or taken than Confederate
money, under the fourteenth amend
ment of the Constitution OF the Uni
ted States.
This question is one of much mag
nitIle and of great Importance to the
people, especially the taxpayers, OF
IcnntSStt. foI llSlc ~ ytt outStaiiu'
ling about $500, 900 of the old issue %
the Bank of Tennessee, and about
81, SOC, 200 of the Torbett issue.
The progress of these suits, involv'
ing much of legal disquisition, anc
fraught with SO much consequence
will he keenly watched by the people
generally. The demurrer to tbo eros
bill of Messrs. Humphreys & Linds
ley as well rs the other suits Will a
To their adjudication settle much thai
is as yet but i'll comprehended, anC
vaguely set forth and defined unde
our laws. The lawyers for the Stat,
claim that note holders being prefer
red creditors, both in the charter o
the Bank and under the trust deed
aud the State having redeemed 1
large amount OF the notes for take