The morning call., 1893-09-06

requirements Of a proceeding wherein
a petition in voluntary insolvency
had been filed. We have got
The petitioners hemmed in between the
devil and the deep blue sea- and | am sat-
isfied the decision OF Judge Levy will not
DO disturbed in so far as jur>diction is
concerned. All laws in this State shall
have a general operation, ard the insolv-
ency law Is not singled ont as being sub
lect TO special legislation. The cOnstruc-
ton Mr.. Baggett has placed upon the law
is inhibited by constitutional clause.
The Bank Examiners shall examine and
report, and L presume they wouldn't give
a license TO a bank unless il was a good
one. They have a right tn drop in and in
spect bank whenever they want to, but
not less than once a year. They are
TO inspect and make report of their fnd-
ings to the Attorney General. EXamina-
tion and report are all that S implied and
there Is not. so far. any mention the
function of a statutory Tecelvership. The
Bank Commissioners have no right 10 be-
come petulant and make arbitrary de-
mands upon the bank officers, other than
as applies 10 the furn iShiDg of records and
Information.
''In section IL Of the bank act there is a
clause upon which the other side evident
ly rests its claim. If any banking institu-
ton is conducting its affairs in an unsafe
manner they may direct a discOntinuance
VI SuCI Irregular pEaCIc6S anu insist upon
direct compliance with the law and the
terms of the charter That's all, only
they must notify the Attorney-General,
and he Is sup Osed to make his appear
ance upon the financial stage of the insti-
tuition. If the AttoTney-General is con-
Vnced OF the accuracy OF the Com
stonerS' suspicious he NAV apply for an
Injunction, and the Commissioners shall
thereafter take such action as may be de-
termined-by whom? BY the court? No.
BY the AttOrney-Genera.? No. By the
Commissioners? No But such action as
shall be decided by the creditors" tr-
umphantly exclaimed the barrister as he
thumped the stack of books on the table.
Under the bank act the bank must suS-
pend all transactions and a final account
must be rendered within four years" con-
tinued Mr.. Dunno. ''Bnt this set of Bank
Commissioners does not even possess the
power to appoint man to sweep out the
presidents Office. They can simply tell
the assignee how much time he has To ful-
hll his duties, but that ends their actual
province IN so faT rs suspended or lnSolY-
eDt banks are concerned"
Attorney-Generai Hart defined the term
bank as appl!eI to savings and cOmmerci al
institutions. saying; II contend that under
section OF the act all savings banks are
expressly excepted from the operations Of
the insolvency law, because the very ma
ture OF the law of deposits demands that
particular Difference must be uaid 10 that
class OF deposits known and defined as saw
IngS. 1t is not part OF the duties of such
corporation to 90 into insolvency. Its
function Is to receive deposits and Judi
clousiy perform such other duties as are
provided in the charter. There its duty
ends. aud when that is lily performed the
Commissioners will intervene. The as
sets OF this bank are shown to be $500, 900,
and upon this the receiver would be en-
titled to S136. 600. and IS that the spirit of
the law contemplated by the men who
framed measure for the protection of
creditors? The law says that the Bank
Commissioners must act in manner that
viii render speedy adjudication both eco
nOnical and eXped ditiOus, but if receiver is
in charge Of what value would their sng-
geStions be? When Mcdonald came into
court he had right to defend, but he had
no authority TO make a confession and
compromise the PacIfi" Bank"
AT this point the Attorney General was
interrupted by the court announcing that
an adjournment would be taken until 10
O'Clock this morning.