The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1873-01-23

In his once The case came up on an order "a
show cause why the injunction should not be
at the prior stage in the case Mr. Anthony X.
Dyett representing M. Foley, and Messrs ex.Judge
behalf OF the CITY Chamberlain.
THE COMPLAINT IN THE CASE.
Mr.. Dyett opened the battle. Holding in his
hands the v0lumin0us complaint OF Mr. Foley a
document OF sufficient length to strike terror into
the hearts OF any litigant he SAID that His Honor
through ITS presentation when the temporary IN
junction was granted.
Judge Blrrett-I remember it WELL
Mr.. Dyett-l presume 1t Is only necessary TO con-
Judge Barrett-you need not read it, for 1t is fair
to presume that the opposing counsel haXe already
made themselves familiar with Its contents
Mr.; Dyett-Well then, before proceeding further,
Mr.. Lawrence said they had only two papers to
read, an aflldavt OF Mr.. Pamer's and some cor.
r rpo between Mr. Palmer and the Comp
troler He proceeded to read the same
AFFIDAVIT OF CHAMBERLAIN PALMER.
s Ne being duly that ns
the have been paid las as the Brond
EaS S !. sa Ba9f sSss y he Tenn SaISas
na s 0r sSsh Ss n s as
which those s0 co np pay
s City a the orpe s BY @
San s ETY. p has through his
yepnr was sSilss o Which, having been aepOsssd
n,sre %s saye earned for the
power conferred him by the act Of 1866 he had not
.s ii IN. Of the aaE AZ
'sf Inv has and 1Si ste ha
Sn or a Se ns 2h day q Noyemb
fs :'ss
sn his Warrant as
OF the sum h OF - Sso which was promptly met aud
pau " '' ''''' 'A''AA' DANA '"Gsn &f PALMER.
TIE OBSERVATION-DISCLOSURES CORRESPONDENT oE
The letters referred to in the above affidavit
have already been published. The Comptroller
gives In his letter certain alleged facts and figures
upon which he claims that the Tenth National
Bank was not a proper depository OF city and
county funds and, therefore, requesting that sucn
funds in deposit in that bank be transferred to
some bank "of recognized standing ana MEANS"
The City Chamberlans reply sets forth the ground.
lessness OF the COmptrOer's claim, and encloses
warrant for sl,S5O,0OO on the bank, and at the
same time states that he does not waive his right
to exclusive discretion IN regard to the custody
and deposit OF the public moneys
ARGUMENT UPON THE CASE.
Judge Edmonds said that they represented only
the Chamberlain and the Broadway and Tenth Ma
sent the Comptroller or the Corporation or the
Mayor. He did not know why these parties did not
demurrer to the complaint of Mr. Foley but mean.
time they considered the interests of the city safe
as to its funds on deposit in the various banks
lected as Its repositories, and were willing to let
the temporary Injunction remain, II modified far
as to allow the banks to pay to the chamberlain so
much OF the interest accruing on the deposits as
Sufliced to pay the salaries the clerks and other
employees in his oflce
Mr.. Lawrence-This litigation is likely to last a
long time, and meantime, it is not fair to cut these
men OF from receiving their pay. The laborer is
worthy of his hire.
genously cunning device. He could not consent
to 1t. BY and by these banks II allowed to pay the
expenses of the Chamberlain's office, will claim
that they should be relieved from paying interest
on the city deposits. His Honor would observe
that there was not single denial made Of any OF
the allegations contained in Mr.. Foey's COM
plant. The banks derived In 1868 some $500, 900
some $1,000 for expenses of the Chanberain's
office. They had since agreed to pay four per cent,
but the interest was not added to the principal,
but was kept in a separate fund.
Judge Edmonds-What Is 1t you wantf
Mr.. Dyett i am getting at it, Mr. Palmer comes
no obligation to account Tor the interest on city
deposits and that the banks are not obliged to pay
four per cent interest.
Judge Barrett-I don't see the point.
MIR. Dyett-They ask modification of the injunc.
ton, so as to give color to objections to be inter-
posed hereafter. !
case. would suggest that 1t would be better to
accept the proposed modification OF the Injunction
and let 1t stand thus till the merits of the case can
be passed upon.
Mr.. Dyett-But understand that the Board OF
Apportionment have already made provision for
expenses of the Chamberlain's office.
Judge Barrett-It is obviously better to have
these expenses paid out OF the interest city de-
pOsits which the other side are willing to have
done, than that they should come out OF the tax.
payers All the modification the other side ask is
to permit the banks to pay out of the interest on
city funds in their hands the expenses OF the
Chamberlain's office.
Mr.. Dyett said he had no objection to the clerks
being paid, and he finally accepted the modification
proposed.
There was lively discussion as to the form OF
accordance with the proposed modification and
the order thus drawn directed to stand until the
first settlement OF the action.