The Portland daily press., 1876-03-07
BANK OF PORTLAND.
Judge Fox's Opinion Vindicates MIR.
Clements.

At the coming IN of the u S. District Court
yesterday morning, Judge Fox delivered his
opinion in the Bank of Portland case. The
following is an abstract of the opinion. The
Judge first recites the facts that VIM. N. Goold
commenced business in the name of the Bank
of Portland, June "a, 1872, and continued until
May 4, 1875, when he failed aud was afterward
adjudged bankrupt, and f. j. Rollins APP
pointed assignee. Moses B. Clements was a
depostor in the Bank of Portland from Dec.
20, 1873 till Dec. 81, 1874 at which date his de.
posits amounted to $32,9S4 II, nothing having
at any time been withdrawn In April, 1874,
Clements opened another account designated
special against which he Drew from time to
time, having balance to his credit at the time
OF his failure of $2,968 40. Both of these ac-
counts were proved against the estate of Goold,
and the assignee has petitioned to the court to
disallow the claims on two grounds: l. That
Clements was partner in the business of the
Bank of Portland. 2. That he had withdrawn
from the bank more than $40, 900, which should
be allowed in offset of his claims. The parties
entered into written stipulation, that the de-
cision OF the court should be final, waving the
right of appeal.
With regard to the alleged partnership, Goold
testified before the Register in Bankruptcy, that
IN December, 1873, Clements promised to take
ohS ihooeOi Iuoo OOuSlucIdbiOu1 tLdb dG u SeCOuu
interview Clements stated that within SIX
months he could withdraw from his other BUSH
ness about $4,000, and it was agreed that he
SHOULD make the bank his headquarters, and in
two or three months if he was satisfied and the
terms of the partnership could be satisfactorily
arranged, the transaction should be effected.
His deposits meanwhile were to be protected
by collaterals. In May, 1874, Goold says these
collaterals were surrendered, upon an agree
ment that Clements should furnish $4,000 new
capital to the bank, becoming thereby an eq ual
partner. The execution of the partnership pa
pers was delayed on various representations by
elements, until the time of the failure and the
agreement was never formally concluded.
elements states on the other baud that no
such agreement was made; that he was 10 have
the privilege OF withdrawing his deposit at any
time. and was to have per cent interest upon
it, If no partnership was formed: that the col
iateras were notes which had been discounted
by the bank, and were gradually withdrawn by
Goold, as they matured and not replaced, as
agreed; and finally, that in January, 1875, it
was definitely settled that he would not be a
partner, the business appearing to be INSULT
Gent for two. In February GooId gave as
reason for not making good the collateIals, that
he was temporarily using good macy notes at
the Everett Bank in Boston, Clements left his
principal deposit undisturbed having confA
dence in Goods honesty and not wishing to
embarrass him.
According to Goods statement the partner
ship was formed in May 1874, and continued
until the failure in May 1876 The capital, af-
ter the FORMATION OF this partnership, should