Evening journal. [volume] (Wilmington, Del.) 1888-1932, 1888-10-16
CIRCUIT COURT.
Trying the Case Of State Of Delaware vs.
First National Bank for Tax-Minor
Cares to Try.

Trying the Case Of St;ita @f Delaware w.
First National Bank for Tax-Minor
Cares to Try.
The October term of the United States
Circuit Court for the district Of Delaware
convened this morning in the United
States court room in the custom house
Judge w. McKennon of the Circuit Court
and Judge l.. +. Wales of the District
Court were on the bench. Justice Brad
ley OF the Supreme Court was not pres
ent.
The roll Of the grand jury was called
and the jury sent out with three bills to
act upon. One against John Smith for
breaking into building occupied in part
as post Office in Midway, Sussex county.
He is now serving a term of six months
Imprisonment In Sussex county for VIC
lating the State law against larceny.
detainer will be filed TO bring him before
the United States Court after the term of
Imprisonment he is now serving is ended.
There are two other cases, violations of
the revenue laws which the grand jury
are acting upon.
After the grand jury went out the case
of the state Of Delaware vs.. the ri rst
National Bank % this city was taken up.
This case Is one Of great Importance to
! the.banks, involving the payment Of
! 800, 600 to the state and OF 1926, 600 an
nually hereafter.
The case has been postponed several
/ times Benjamin Nields, Esq, is counsel
for the bank and Levi 9. Bird, Andrew
+. Sanborn and Attorney General Biggs,
Esqs, counsel for the state.
The action is upon an injunction asked
for by the First National Bank, restrain
ing the state treasurer from collecting
tax Of one-fourth of one per cent on the
cash value Of the shares of stock on the
ground Of the unequal rate of taxation
which liscriminates against bank stock.
The arguments are upon the injunction
which involves all the merits Of the
case.
Benjamin Nields, ESQ.,, opened for this
bank with long statement of the facts
Of the case. Andrew 4. Sanborn, ESQ.
then began to read the answer OF William
Herbert, the state treasurer, but judge
McKennon did not think this necessary
as it was a general denial Of the state
ment read by Mr.. Nields Mr.. Nield
then began his argument. He stated tn
law and statutes which bore on the case
He then stated that the stat
had no inherent right TO Ia
national banks and can only do so within
the limits prescribed by Congress. Tha
: bank stock should be includedin persona
property. He showed, that the law OF thu
state provided that bank stock could b'
included or excluded from personal prop
erty. He accused the state eof singlein
J out bank stocks to. put thi
| tax on The Federal statute provide
! thst.the tax was not. to be greater thai
+ on other moneyed capital He cited tn
definition given to moueyed capital IN tn
e case Of the Mercantile Bank vs. the Stat
e of New York. He argued that such
4 tar, was not within the power conferre
> bv Congress on the states, to tax, Hell
q that the case came under the act Of Cor
i press abolishing the tax on all companie
n incorporated by the United States
National banks we're Incorporated by I'll
United States, so they were exempt. Il
then argued at length the definition {
moneyed capital and read decisions bea
i ing on the Ease, holding that money il
+. vested in bank shares is the same as TIN
invested in any misunderstanding or re
4 estate corporation, and should not be di
q eliminated against. He held TIL
. railroad was not moneyed corporatiC
, their business was to run railroa
Z. Court took recess at / clock until
Z o'clock this afternoon. Mr.. Nields hi
J. not concluded his argument, and Il
e meaning Of moneysd capital, when 8
II adjournment was made
x 1.-THE grand jury finished their work II
morning and were discharged TIT
u found an indictment against John Smi
4 for breaking into the post Office
! Midway, Sussex county and indictmeH
= against the two yiolators of the rsven
laws