New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-12-07
TO SUE THE DIRECTORS.
\ MOTION BY ME- NEUTRALITY-SUSPICIOUS. MEET
AND DECIDE 10 LAY TIE MATTEr. lie.

MoIloN EY ME- NEUTRALITY-SUSPICIOUS. MEET
AND DECIDE 10 LAY TIE MATTER BE
FORE THE DIsTEICr.ArroENNY.
preliminary motion by the receiver. Mr.. Dyk-
man. for leave t. the directors OF the late Com
mercial Bank for dividends declared in June. 1882.
January. 1885, and June. 1893. has been made. and
papers have been served upon the Attorney-General
and the directors Mr.. Dykman says that the law
as amended in May. 1892 made the directors Of a
bank liable for all unlawful dividends subsequently
declared. In this the directors had failed TO
deduct from the assets certain debts more than
year due and which interest had been paid.
The amount involved is S2.9G5
The dopOsitors organization OF the Commercial
Bank held another meeting last evening at No. 800
Classon-ave.. ana adopted a resolution authorizing
the appointment Of committee of ten 10 present
the matter OF the bank TO the District-Aitorney.
G. \. Haviland presided and in opening the meet
ing said that 1t true that the organization had
moved slowly but it had nothing to regret. But
others had much TO regret. \ man who had tried
to serve two masters one, and an attorney who
had tried to induce the depositors 10 aid in resur-
recting insolvent institution was another. The
Governor who promised to investigate and then
had forgotten all his promises and left a country
politician in charge of the Banking Department Of
the State also had much 10 regret g., a., -,
nothing 10 regret except that a lot OF scamps.
with the aid of negligent and inefficient Banking
a time. And we shall have nothing 10 regret In
the future. unless We fail to discharge our duty
10 this community
The Executive Committee OF the organization
presented a full statement of what had been done
in regard TO the affairs OF the bank since its sus-
pension in August. including the statements based
upon the eXamna ton by expert accountant
which showed that the institution was bankrupt
over and over again Ii shown that the HasSell
indebtedness of 6s2S} worthless and that
the Grcnng loans of over 100000 were equally
worthless but had been carried along Tor years as
available assets The report ended ps follows:
.'It is common talk that the receiver promises n
quick receivership. and rumor says that the Judg,
th.
be early disposed of at auction. while the same iate
is promised the Grening second mortgages Now
this organization must not forget that this always
ends with makers of the notes getting them back
very cheapy. and for the second mortgages an
auction sale might cover up lots or interesting
facts There seems TO be sufficient evidence ais.
closed TO Justify immediate action ana counsel tha
has been acting for and with this organization Wll
presently advise you to the statutes governing
the direction of State banks which statutes appear
to come much in conflict v.th the late management
of the Commercial Bank. ,, A.. to-,
After the report he'd been received the legal
bearings of the matter were explained py horace
Graves counsel for the depostors.
President Havand appointed the following com
nlittee TO lay the matter before the District-At-
torney: The Rev. DR.. 5. p Halsey. Samuel Peden
Louis Wanke Thomas J. French, DR.. n Morton
DR. c. Sanford John Zipp, Bertram Fish, Louis
Duvinage and Horace Graves.