, 1877-10-07
TIE BROKEN BANKS.

THE BROKEN BANKS.
Appo1sTlSG APPRAISERS.
The petition of Dr.. Turpiu, Receiver Of tt
Fidelity Savings Bank, to have three experts q
pointed to appraise the value OF the bank's re
estate was again up before Judge Moore yestc
day morning, the Receiver being represented /
his counsel, Mr. Dupcc, the bank officers BY N
Jewctt, and certain Of the depositors by n
Gregory.
Mr.. Dupcc opened The proceedings by agai
urging upon the Court the reasonablcncss
the petition, and expressing the hope that tt
Court would graft the prayer.
Mr. Gregory urged the same objections to th
| petition that lie brought forward last week.
Mr. Jewett objected to the appraiscmcnt o
the ground that it was unnecessary, and q bul
deu on the estate. The cost OF the valuation
lie believed, would not be far from $25, coo, al,
after it was made what had the Receiver rot
N"thn! reliable, nothing that would Tx tn
value oi tllr property for tho purposes OF cor
version. If the Receive. wanted consultation
| or advice, SD that the expense would com
within Il few hundred dollars, he slou
not have the slightest objection to allo"in:
him that privilege The Da.lk officers protcste
I against i minute investigation Of the nature O
these securities by means of all expensive ap
| ,praisencnt.
The Court called the attorneys attention tt
the fact that spectators were buying up thu
| dcbositors' books, aud asked If It would not bt
desirable to get at something like reliable in
! formation in regard to the value Of the assets
including the real estate securities in order thai
tcpositors might bc put on their guard against
| disposng of their books.
Mr. Jcwctt said lie thought that would be
accomplished just Us we'll by the method lie
suggested. Ii the Receiver obtained the
| services OF three rral-estate men, he would be
in danger Of having one Or two Of them Of the
visionary, enthusiastic sort, while the other
~f..1
| values down to the lowest notch. Altogether,
| he thought the Receiver could gain as much BY
means OF consultation, and at much less ex-
| pcnsc, instead OF employing men to do the
| whole work of appraising themselves.
MIR. DGpEE WAS WILLING
to limit the expense to s., 500. and remarked
that it was far preferable for the Receiver TO do
the appraisin5 than to have QUE, or dozen. or
fifty OF the tltpositors do it on their own hook.
The Court did not think the expense should
amount to more than $500.
Mr.. Jcwctt cOillvidcs with the Court.
Mr.. Gregory was in favor Of voluntary com.
nliIt:c picked out of thu depositors, who would
be interested in the appraisen1eut, and who
would therefore do the work for nothing.
Mr.. Dupee was willing that The expense
should be limited to $500. but lie had no infor-
nation to warrant him IN believing voluntary
committee would ass1lElc the work.
The Court asked il it was net possible for the
Receiver to return his information to the Court
i'll such a way that the sncclnators could not
profit by it, and that the depusitors would be
protected. II the information we're spread on
the records it would be very much to the ad-
vantage Of sharpcrs anxious to pick up bargains
in real estate.
alr. Dupet had no objection to striking out
the clause III the order requiring the Receiver
to report to the Court at once, leaving it to the
discretion OF tho Court when he should return
his report.
The Court said his idea was that the deposit
ors could 20 to the Receiver and obtain
information as to the actual value
Of the assets. The Court could not
be blinded IL the fact that there were sharpers
who were trying to get these dcpositors' books
valuation made SO high that the depositors
would be deceived hereafter. Tie desired to
avoid eli her extreme, go the depositors might
get 1T the actual value Of tue assets. As to the
expense, that could be cut down even lower
than $500 by suInmoning three gentlemen as
witnesses. [Laughter.].
The order SO amended as to grant the
prayer aud authorize the Receiver to employ
QUO Or more suitable persons. skilled In the
value Of rea1 estate and other property, to ap-
praise any and all Of the real estate aud other
property in the Receivers hands, and to pay
such persons q reasonable compensation, and
report their names to .Lc Court the expense
not to exceed $500 The order was satisfactory
to all the parties III interest.
Mr.. Jewett said that certain creditors had
already instituted suits against some OF the
stockholders, ore OF the latter class, who had
the misfortune to own only e. 500 of the stock,
having pecn made defendant in some fifteen
suits. 1t seemed to him that it might be posi-
ble for bill to be filed by the Receiver against
all these stockholuers, SO that the assets result
ing from that liability might be asset in the
hands OF the Court, to be administered |
to all the dcpostors alike, instead of being
doletl out to the different depositors us they
might get pr,orit:cs By suit in Judgment
Mr.. Uupee said he lad prepared such bill, |
and would file it during the day.
Some oi the heavy dcpositors in the Fid elty |
dcciucd Friday to call meeting in Farwell Hall |
Monday night for the purpose OF taking up that |
scheme, but, owing to internal |
dissensions the meeting has been given up.
THE STATE.
John VI. Whitman filed an Intervening pcti- |
ton yesterday in the State Savings Bank case,
setting forth that III August last he had |
s ,0062S in the bank that lis cashier, Isaac &;
posted 10 shares Of the Chicago 81 Pacific Elc-
yator Company collateral security. Before |
the note fell due, Ogden, with Wlitman's con-
sent, made all agreement with D. u. Spencer, |
tho President, that if the note was not renewed |
when it fell due Aug, Is it should be paid out !
Of tho amount to Whitman's credit. When /
the note fell due, however, it was not re-
ncwcd, AMI Whitman was out Of town
and did not return until after the bank failed.
Had he been in the CITY, Whitman says he would |
have drawn check for $500 against lis account,
aud paid Ogden's note. Re therefore asked
That the agreement made with Spencer be car
ried out, and that the debt of Ogden might be
set oil against $500 OF his whit 7ari's) ac-
count. Judge Williams, however, refused TO
allow the compromise to be made,