The morning call., 1893-12-21
BATTLING BANKS.
The Peoples Against the
Pacific.
1T DESIRES A RECEIVER.
A Deed Which Is Declared to Be
Mortgage.
TO SELL THE PACIFIC BANK.
A Foreclosure Suit Brought for the
Protection of the Property of
the Plaintiff.

The latest development in the complica-
tions of the Pacific Bank is a suit brought
against it and certain co-defendants yester-
day by the Peoples Home Savings Bank.
The Pacific Bank has been declared in
solvent and the Bank Commissioners have
reported to the Attorney General that the
Peoples Home Savings Bank is, in their
opinion. an unsafe corporation. The At
torney- General, however. has not as yet
taken any action on this report, being still
engaged on an investigation into the
value Of the banks assets.
The suit now brought sets forth that on
January q, 1898, the Peoples Home Sav-
iDgs Bank deposited 100000 in the Pacific
Bank. obtaining therefor two certificates
of deposit for 100000 each, and that to
these certificates have accrued dividend
coupons aggregatiDg S2749 SO, making the
otal Indebtedness at present S102, 749 49,
Boin certificates were indorsed: Secured
by deed to lot and improvements ON north
west corner Of Pine and SansOme streets
Pacific Bank premises.
The amount alleged to be due is made
up of the amount OF the first certificate.
plus one dividend coupon and five dividend
coupons on the second certificate. The
amount of the second certificate aud two
dividend coupons thereon, aggregating
500. GIG &c, will, it is claimed. become due
on January q, 1894.
The complaint further alleges that on
June 10 eight days before the Pacific
Bank closed its DOORS the Peoples Home
Savings Bank obtained from The Pacific
Bank deed to the property, securing the
certificates of deposit according to indorse-
ment.
Now, while this deed was apparently
conveyed in fee simple absolute, the plain
tiff bank declares that it was intended to
be a mortgage on the Pacific Bank
premises.
Now, therefore," substantially says the
complaint, ''as the Pacific Bank is insol-
vent and in liquidation; as the property is
being injured for lack of care; as the
property is insufficient to discharge the
mortgage debt; as others Gncluding John
Doe, Richard Roe and Ferdinand Smith,
co-defendants) are interested in the prem
ises, which cannot without injury be di-
divided, now therefore the plaintiff bank
praYs the court:
First-That it be adjudged that the plaintiff Is
owed Sl02.799 9S.
Second-rhat the deed In question be de-
clared mortgage and security of the two de-
pOsit certificates with their coupons.
Tnird-That the court decree reasonable
counsel fees.
Four h-That the court decree foreclosure
OF mortgage, |. e., that The Pacific Bans prem.
ises be sold and the proceeds applied to the
payment OF the SI02,749 % claimed with
costs and attorneys fees, and balance to be ap-
piled TO the payment Of all further indebtedness
arising prior TO the final decree on the second
certificate or deposit.
Fifth-That all persons claiming under said
plaintiff subsequent to the execution OF said
mortgage either as purchasers, incumbrancers,
Judgment creditors or otherwise may be barred
and foreclosed OF all right claim or equity of
redemption in said premises and hat plaintiff
may have judgment and execution against said
Pacific Bank for any deficiency which may re-
main after applying all the proceeds OF sale
properly applicable 10 the satisfaction of said
judgment; that plaintiff or any parties 10 the
suit may become purchasers.
SiXth-That receiver be appointed to take
possession OF the property In question and take
full charge thereof.
The suit was filed by the attorneys,
Frank b. Stone and Dorm & Dorm, who
state that 10 per cent of the amount
ella med is q reasonab BILE compensation for
their services In declaring the deed a
mortgage and foreclosing the same. The
complaint is verified by Columbus Water
house, president of the Peoples Home
Savings Bank.
The case has been assigned to Depart
ment Z, Judge Sanderson. and an order
has been issued, returnable tomorrow, to
show cause why a receiver should not be
appointed under the circumstances.