Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1885-05-13
SENSATION In NORFOLK.
ARREST OF PROMINENT xEN,
An Interesting Case -Judsss waite. Bond.
and Hughes on the Beaeh-A reiitseai

An Interesting Case JUDGES waite. Bond,
and Hughes on the Beseh-A reiiueaI
snarf.
Correspondence ofthe Richmond Dispatch.l
NORFOLK, May l2, 1885.
A large crowd had gathered in the
United States Courtroom this morning,
when the injunction suit of w. II. Pc
tcrs, receiver Of the Exchange Bank,
against the trustees Of Balm 4 Brother
was called. Chief-Justice Waite, Judge
Bond, and Judge Hughes were on the
bench. The bill filed by the plaintiff
charges that the deed of assignment Of
Balm & Brother. by which the deposit
tors in their bank are preferred over the
claims ofthe Exchange Bank, was drawn
up with view to delay, hinder, and
defraud the Exchange Bank.
The argument was opened by Judge
Theo. S. Garnett for the plaintiff. He
was followed by Messrs. Richard
Wake, j. Alfred Jones, and Leigh r..
Page for the respondents. District
Attorney Waddill then followed with
an argument for the plaintiff. The
plaintiffs counsel charged that the
assets Of Balm & Brother were obtained
largely from the Exchange Bank, and
that the trustees knew this when they
received conveyance from Balm 4
Brother; that the property was cor.
yeyed without valuable consideration !;
that the deed, while it purports to in
clude the plaintiff in the creditors Of the
first and second class, in fact include it
in neither; that the trustees are EN-
powered to cultivate certain lands and
pay the expenses out Of the assets Of
Balm L Brother, &c.
The respondents publish long an
swer, which deals with the questions
of law from a technical standpoint.
As to the personal charge against Mr..
W. W. Old, one Of the trustees, that
he was legal adviser of Pain & Brother,
and knowing the condition Of the Ex-
change Bank, and the fact that Balm &
Brother were also directors in that
bank, and that he consummated their
fraudulent intent by drawing up the
deed of trust, Mr.. Old says it is not
true that he was ever legal adviser of
Balm Il Brother in regard to any of their
matters in connection with the Exchange
Bank, or that he ever had any indi-
vidual knowledge or intimation Of the
same prior to April 2, 1885; nor did
he know anything of the affairs of Balm
& Brother.
After hearing the argument the court
took recess of an hour.
The court denied the application for
a receiver, but directed the trustees not
to pay out money to the creditors of
Balm & Brother without the consent Of
the court, and directed the trustees to
make monthly reports to the court.
j. b. Whitehead, president; George
NJ. Balm, cashier, and II. 7. X. Balm
and j. G.. Balm, directors, were arrested
to-day and put under bond Of $40, 900
for their appearance at the United
States Court at Norfolk in July. The
arrest was made under the instructions
of Attorney-General Garland, and
caused some little excitement.
W. L. Royal, indicted in Richmond
under the charge Of practicing in cou-
pom cases and dealing in coupons with
out license, as required under the
coupon-killer acts, applied to the United
States Court for a release under ha-
Jeds corpus, but the application was
denied and the case dismissed.
Our political folks are having some
little trouble here. The Pioneer Club
was organized some time ago with a
membership Of some three hundred.
Several nights ago a city convention
was held to nominate candidate for
City Treasurer, and Mr.. A. A..
Power was nominated. But it was
claimed that the convention was
packed and manipulated by the Pioneer
Club, and some of the delegates bolted.
Great dissatisfaction was expressed on
the part of the anti-club men, not to
Mr.. Power, but to the manner in which
he was nominated, and he has declined
TO run. ELLA,