The Redwood gazette. [volume] (Redwood Falls, Minn.) 1873-1940, 1893-01-05
IN A RECEIVERS HANDS.
Great Excitement Over the Fairfax
Bank Failure.
President Beard and Cashier GRAY
Under Arrest.
Trey Claim That They VIII Be Ao|e
to Liguidate.

Ihe affairs of the Bank of Fairfax.
which closed its doors a week ago last
Tuesday as stated.in the GAZETTE, are
becoming more complicated day by
day, and rumors Of all sorts are being
foafed regarding the condition of the
! pank. The failure itself created con-
siderable surprise, amounting almost
to assensation, and is said to have been
brought about by judgments in the
hands Of the Mulford Elevator Com
pany.
Immediately after the suspension
President J. A. Beard and Cashier F.
A. Gray came up to this city and en-
deayored to borrow money to enable
them to reopen the bank.
Previous to the failure the Citizens
Bank in this city had been called upr
on and in response sent $500 by ex-
press, but before the package was de-
hvered 9 representative of the Citizens
overlook and recovered it, so that, SO
far as is known none of the banks in
this city are losers on account of the
failure.
On last Saturday night affairs took
another turn when the sheriff of Rem
vile county arrived here with war
rant for the arrest Of Messrs. Gray
and Beard which had been sworn out
by one George Brand, charging them
with fraud for receiving deposits when
they knew that the bank was insolv-
ent, be having deposited a consider
able sum, said to be 500, in the bank
on Monday, the day preceding the
failure This move seems to have
been entirely unexpected by the of.
fcers Of the defunct bank, who had
made no effort to keep out of the way
or conceal their whereabouts, and
when the sheriff arrived about nine
O'Clock at night they we're easily found
and placed under arrest. Legal ad.
vice was denied them at the time aud
they were hurried away in the blind
ing snow storm and taken to Morton
and afterwards to Fairfax, where the
preliminary examination will be held
tomorrow.
Judge Baldwin returned home
from Fairfax yesterday, and in an in.
terview, stated that Messrs. Beard
and Gray were still under arrest. and
that the assignee, Lawyer Brown
was working to secure $4,000 bonds
as assignee. Mr.. Baldwin was of the
opinion that when the claims of two
or three depositors were adjusted
both MIR. Beard and Mr.. Gray would
be released, and all criminal proceed
ings dropped, notwithstanding that
excitement was still at fever heighth in
Fairfax and an occasional threat
heard. As to the assessts and liabilities
he could make no statement as he,
together, with the receiver. had been
refused admittance into the bank.
Mr.. Baldwin was of the opinion that
lfthe assessts We're judiciously handled
it would more than cover the liabili-
ties.
The Renville county authorities re-
fused to allow Mr.. Baldwin to see his
clients. Such a thing has never been
heard of before, and Judge Webber
should take the authorities to task for
this breach of legal etiquette. Per
sons under arrest are not convicted. and
until that time, and even afterwards,
their attorneys should be permitted to
, see them at any reasonable hour.
| 1t is rumored that the liabilities
will come to very nearly $4,000, and
that the expert of the Muford Eleva
tor Co., it is rumored, declares the
bank $4,000 short.