The weekly Elko independent. [volume] (Elko, Nev.) 1872-1887, 1876-01-22
a FLcOD uIS Light.

The New York san recently publish
cd q lengthy letter from San Francisco,
under date Of December 9th, 1876,
from which VIC take the following cx-
tract:
Burling Brothers in this city recent
~ commenced proceedings against the
Trustees OF the Bank of California,
charging them with negligence md
misconduct in the management OF
the Bank such rs to render them indiv-
idually liable. Among
THE MATERIAL ALLEGATIONS
Which it contained. were the following:
That Ralston fruudulcntly over-issued
mud rc-issucd certificates that should
have been Cancelled to tho amount of
over 1000 shares Of the stock OF the
Bank that Rhlston loaned 10 W. ii. l..
Barnes without security $l57, 900; TINT
he loaned without security to William
NJ: Stewart, Of Nevada, lately n Senator
Of the United States, $500, 900; that he
loaned TO John Mccullough, actor,
S75,000; that he loaned to the Kimball
Manufacturing Company, Of which he
was chief stakeholder, S51S, 900; that he
loaned the Mission Wooden Mills. of
which he also was chef stakeholder,
$1,000, 900; that he lonncd TO the Mont.
gomcry Real Estate Association, of
which no was sole owner, S20U. 900;
that besides the above he appropriated
to his own uSo funds Uf the Bank
amounting to Si,50O,000, and yet dur
ing the three years in which this deple-
tioI was going on the Bank paid in
dividends $ 1880. GOO.
WHAT BuILISG BROS. SAY.
Burliug Bros, who nre alleged as
having been complninnnts in the suit,
state that they had IL controversy with
the Bank Of California, which was salts
lactorily adjusted by William Sharon
without my legal proceedings being
taken: that there was II distinct under
standing between all parties Interested
nt the time, and nh amicablc settlement
WIS effected; no publicity whatever
should be given 10 the affair; that they
have preserved the s~trictest secrecy con-
corning il and cnnuot account for the
leak unless it was accomplished through
IN of the compOsitors who worked on
the complaint. Further information
Mr.. Burling WAS unwilling to impart.
A.DASK STOCKHOLDERS STATEMENT.
r. From n stakeholder Of the Bank Of
California tho following information
Is obtained concerning tho matter:
Iurling Bros. intended to commence
suit against the Directors of the Bunk
for tho recovery Of something over
$1,000, 900, which had been borrowed
by them for Ialston from various par
ties, they giving their note and secur-
ing it with stock Of the bank; thnt such
q suit was III contemplation was Il cur
rent topin Of conversation ut tho Pacific
Club where McAllister spoke Of il, and
on the streets where the Burling
Bros. were free i'll their expressions
concerning It. c.. Adolph Low loaned
Burling Brothers on account of Raj
ston the SUN Of 500, QUO, taking their
note md Bank stock rs security. Geo.
Z. johnson & Co. loaned another $780,
O0O for he Same purpose, taking the
Same security, and tho Security Savings
Bank loaned another 500, UOU, taking
the same security.
HOW THE CLAIM WAS COMPROMISED.
Tho claim Of Burling Brothers was
compromised by Sharon paying Is cents
on the dollar, which was accepted by
Low. johnson and Durling Brothers,
the Security Savings Bank received
North Bloomfield Manufacturing Com
pnny stock in satisfaction OF their
claim.