The Russellville Democrat., 1876-03-30

, sI
 They then brought the case b.
 fore the Supreme Court, an
 Judges Dickinson and Lacy d,
 cided that the assignmeimsr
 was both valid and expedien'
 Judge Rlngo dissented from thi
 opinion.
 Governor Yell had motio
 made that the case should be re
 considered. But this produce,
 nothing but flourish from Judg,
 Dickinson (himself a debtor t,
 the bank about the virtue ane
 independence of the judiciary.
 ''In this way was an assign
 ment made by debtors to them
 selves, for their own benefit, con
 firmed, and parties most deeply
 interested in it's good manage
 ment, deprived of all share il
 the trust.
 'sWhen the legislature met or
 the 7th of November, 1S42, Gov. ernor Yell, in his message to them denounced the whole banking sys. tem of the state as productive ol nothing but evil; and as the Real Estate bank had .been guilty of willful and palpable violation of it's chartered privileges, he sug- gestcd the propriety of revoking it's charter, if that could be con additionally effected. "The effect upon the state under the assign ment, is" he said, ito place the assetts and management of the bank beyond her control, and to throw the whole responsibility upon the state to pay the interest on the bonds now due" To the same legislature the trustees pre- sented memorial in which they stated that they were willing 10 surrender their charter, so far as related to banking privileges, and proposed that board of commits sioners should be appointed by the legislature with all the powers necessary to be exercised by a board of visitation and inspec. tion. Also, that the powers of a corporation should be given them to wind mp the affairs of the bank.
 "The Assembly passed, and the Governor approved, January 3lst, 1S43, An act to settle and liquid. ate the affairs of the Real Estate bank of Arkansas" This act gave a sanction to all the impor- tant provisions of the deed of as signment, and granted the trus- tees all the additional powers they had asked for. But it pro. vided that instead of fifteen self appointed trustees there should be ten elected by the stockhold- CTS and five by the general assem- ply.
 1t does not appear from the minutes that the trustees even so much as took the act into consid- eration. Rather than give up their self-constituted trust, they chose to forfeit the charter of the bank, which was accordingly done by a decree of the Supreme Court, July 29th, lS44. It was further provided that if the stockholders should not accept of the liquida- tion act, the Circuit Court of Pu- laski county should appoint ten trustees who, with five elected by the General Assembly, should wind uI the affairs Of the bank. And, also, that the Governor should cause. the several prosecu- ting attorneys for the state to sue every stockholder on his stock bond and mortgage. The General Assembly elected five trustees, but through some unexplained reason, the other provisions of the law were never carried into effect; and the self-appointed trustees to act as if no such law had been passed. In April, 1S44, they chose five of their own num- Der for rcsiduary trustees, and to them the whole management of the trust.
 "At each successive session, from lS42 onwads, the attention of the Legislature was called to the Real Estate bank, by the gov ernor and committees were from tune to time, appointed to inquire into its affairs, but there was no further legislative action on the subject till the l2th of January, 1858, when an act was passed, directing the attorney genera. to file a bill in chancery to divest the trustees of the Real Estate bank of the assets of that insti- tution." This was followed by an act passed January 18th, 1855, ito aid in bringing to light the true condition of the state of Ar kansas," and, again, by another passed on the same day ito estab- fish separate court of chancery at tue seat of government, so that the causes of State, including that against the trustees and off eers of the Real Estate bank, and those of individuals may be de- termined as early as practicable"
 "Under proceedings instituted under these acts, decree was rendered in the court of chancery on the 20th of April, 1875. by