The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1883-03-13
ILLINOIS.
Important Ruling Concerning Responsibility
of Bank Directors.
Sneciai TO the IndiananO Lonrnal.

of Bank Directors.
Special to the Indianapolis Journal
SPRINGFIELD. March 12-The points of an
important decision rendered by the Circuit
Court of Macoupin county have just been
received here. few days ago bank at
Bunker Hill, ILL.,, failed, and subsequent
examination showed that, owing to pecula-
lions of the cashier, it had long been in
solvent. Gordon Case, wealthy resident of
Bunker Hill, heavy depositor in the failed
institution, seeing no prospect of
recovering his deposits directly from
the assets of the bank, decided
to bring suit TO test the liability of the direct
ors. The suit was instituted, Judge Henry
s. Green and F. w. Burnett, of this city, APP
pearing for the plaintiff, and Ex-Governor
John NJ. Palmer and General John 1. Rim
aker for the defendant directors.
The case was deliberately argued on both
sides, two days being devoted to it. The
court decides that the directors are PERSONAL
ly responsible to the depositors for money de-
posted after the bank had become insolvent
that it is the duty of directors to keep them
selves informed as to the condition of the
banks affairs, and that ignorance
in that respect is no excuse
if diligence would have disclosed the
truth; and that, failing to keep themselves
so informed, they are liable to depositors
upon common law principles in the absence
of a statutory provision.
The question is believed to be a new one.
In the numerous bank failures that have oc.
CURED in the past, generally no effort has
been made to hold the directors personally
responsible. The only case of the kind
seems to be one recently begun at Rochester
N Y, to test the same question. Comp
trelief of the Currency Knox was asked for
information on the question about the time
the Bunker Hill case was instituted, and re-
piled that it presented an entirely new issue,
and one which. in his opinion, would have to
be decided against the directors. The Bunker
Hill case will go to the higher courts
A Visiting Committee in Search of Infor-
nation.
Special to the Indianapolis Journal.
BLooMINGToN, March ia committee
consisting of twelve or fifteen leading citi-
zens of Jacksonville, including Mayor Wild
meyer six or seven aldermen the city en-
gineer and others, arrived here to-day, and
spent the day in examining the pavements
of the city and various city improvements.
Jacksonville is about to invest in pavements,
and this committee has been appointed by
the city to investigate various methods
They were especially well pleased with
Bloomington's brick payements, which have
been adopted by this city as the best and
most economical. They viewed the water
works, the fire department and the Chicago
d Alton shops in company with Mayor Trot-
Ter and other city officials.
Farm House Robbed-Pursuit and Capture
of the Thief.
Special to the Indianapolis Journal
BLooMINGroN, March 12.-Yesterday a
burglar entered the residence of D. w. Brit
ton, farmer living near Hopedale, in Taze-
well county while all the occupants were in
the fields at work and stole 500 in cash.
The loss was soon discovered, and the thief
pursued and arrested. He gave back all the
money, digging up part of it from cornfield
IN which he had hidden it while escaping.
lie gave his name as William J. Britton, aged
twenty, and said he was beating his way from
Chicago to Kansas City and had been put of
a train at Hopedale He was taken to Pekin
aud lodged in Jail. Such depredations are
becoming quite common hereabout.
q Few Facts Concerning "The Prairie City
Equitable Life and Aid Association"
psnviile Commercial.
The Prairie City Equitable Life and Aid
Association" is modelled after the regulation
graveyard" plan. 1t requires no examna-
ton of those whose lives it seeks to insure.
The older the person the better the risk.
Policies are issued to anybody who can claim
relationship with the person to be insured,
and the person insured need not know that
his ambitious offspring have him Ensured"
for Sc, 600 or less. who are very nervous for
fear that the company will die first.
The same persons proposing to operate q
graveyard concern here are already running