Arizona weekly citizen., 1884-06-07
SII2,S lI

aNl ~ Fer committee ststement.------------ SS,ei0 SJ The difference Of-------------.-----sli2 .,55 q represents the aggregate of overdrafts the collection of which the committee considers questionable and those con sidered worthless. Amrng the ques- tIunable overdrAfts, which amount to s59,704.02, are found Sl ,664 66 connected with the same Railroad concern; $IS,- l47.57 with the Southern Belle Mining company. snl S3l,6i6 Is with the Gun eight company. Referring to these ex- cessiye oyerdrafts 1t Is clearly evideDt that the manager of Hudson & C.. in reality was endeavoring to carry on the busiDess of m ming with bank money; and gloss 1t over as they may. We con- si1er 1t criminal ignorance for a local banker to advance such sums to mining coTpo- atious organized and with prin. pal offices ID other states, and not do ing business to make security perft ct We take II for granted, also, that every man of reasonable judgment in a min- Ing community knows that a company with legltim ate resources aud of stand ing does not ever find 1t necessary tC seek sCch accommodation for any ex. tended time aud m such large amounts While your committee Is not prepared to say that there was any violation ol trust in allowing these drafts, other than the ignoraDcs mentioned, still We be lIeve self-prOtec,ion demands that the | closest investigation be made to ascer. tain what became of all th money, and wEo was actually benefited by it.
 Of the oyerlrafts coDsidered worth. less, are S4,O67 .35 by Chas. Hudson and S6,U5j S3 by hls SOD, Edward Hudson m fact the Hudson family aud its con n-ctions seem to have mad pretty good tEing in this family bank.
 So far as the committees investiga. tion extended 1t does not anywhere or al any time appear that James II. Toole ILe partner iU the firm of Hudson X Co has benefited himself especially out ol | the bank.
 There is a further overdraft of s.. ! 6l6.S7 by J. M. Wilkins. Regarding 1 tnis matter We have to say that Mir. Will. dins oyerdr9ft did amount to Sl7, ,6l6o7 and that on the last day the bank dId l business he deposited his note for SlO,. 00J, secured by Tucson Electro Light stock, assessment No. 6, fifty cents q share, delinquent May 27, as a partial l offset; and tIat on May l9, ten days after tue bauk made the assignment, he transferred hIs commercial business ID Tucson and GunsIsbt to his father-iu- law, R. c. Pearson. Thus are the cred itOrs' interests looked after.
 There Is also an overdraft of Sl4, jl4 S2 standing ID tue name of John ODOugh- erty. This overdralt comes out of Q oeei contract with Tu ly, Ochoa q Co , had with the United States, and on which the bank advanced money at the time. This overiraft added to the notes of Tally, OchCa X Co. heretofore referred to, makes total Uf S,3GSG99l due from sad firm, and which of course tLey would pay had they the means: but hs hey are well known to be unable to llquIdate their indebt1 dness, and are in fact, If not m law, m -Ulveni, there seems 70 be no chance to obtain this money.
 The difference m the amount due the Anglo California bank and the amoUut stated by the assignee, Is accounted for Dy drafts in transit. As they have not Us yrt received any statement from out sid banks, it Is impossible at present 70 ascertain the amount of unpaid ex- change.
 The committee found the only way to ascertain If any systematic swIn1le had been carried on, would bs to check the entire sci. whIca would take some time, and thus trace each trans .ctiUn through and to the advi.sbIiiiy of this We wouli call your sPt cial notice.
 We further found, put aside and marked as of no value, a nOle for Sl0,- O 0, made by Charles Hudson and en- dorsei by James II. TOele, A. F. k. Saf. iord acd John WassOn. This was Charles Huisou's capital m the bank. The note, We are advised, has not be- .ome outlawei, and some of the endur- -ers are we'll known to be gocd and
 ----A~s~. E'---ss-~s Vssl,LOu n laIGiI-cIi d lawyer, aud having another lawyer m NIT. Goodr;cb, his TOmbstone agent. the assignee seems tp ind 1t necessary to have four other lawyers of Tucson as his a lvIscrs, and, of course, their fees must c me ont of tue already small amount iefs to pay creditors.
 Regarding the $40 lg1 (and accumu- lated interest of s 726 SSl m securities ID the han Is Of J. McC E.lirtt, treasure. Df Pima county, as security for deposit Dt S36,2JS, the best information We could )btaIn Was that these securities were turned over by Charles Hudson to his | son Edward, 10 be given t1 tue represen- .atives of the treasurer, just before the | assignment was effected, but after MT. | Stiles was asked to act for the bank. It | IDpears to have been a friendly act of | Ilr HadsOn's, as the treasurer's account | y-s an open and current one, and there appears no satisfactory reason why Pima ounty should thus have been made a 'reterr, d ana secured creditor. We EeTe further advised that, late in the light, some of the securities thus given Eere returned aud exchanged for mote Ones-much to the de.riment 4 creditors, and clearly unfair.
 There were various other matters into Tnlch the committee desired to look. but he u1settled character of the books, he total lack ofinvestigation of by anyone n tucson, aud the current idea of value with local property, coupled -i'h lack of time, prevented further in- uiry. While expressing the highest appre- la'IOn for the personal integrity of Mr. tll- s, tue assignee, still, m the light Of ur investigation. both m Tombstone nd Tucson, and the unfortunate results } creditors ID various transactions re- ,rred to, We sincerely trust that the realtors wlll see the propriety of at nee considering VI ether or not our in- rests demand that action be taken to ake more secure than in the past what I tile Is left out of our deposits.
 Respectfully submitted, t
 J. B. SoUTHARD. a
 A. T. JoSEs,
 W. K. MEADE,
 CAsPER TAYLOR,
 W. J. FEE, [
 J. R. FARRELL, [
 l.. W. BLINN.
 ----- | E OUR people should, and We believe t ey do, appreciate the enterprise of the s cal journals in furnishing to th, m the 2,