The morning call., 1893-08-16
IT'S THE SHERIFF.
MCDade Receiver for the
Pacific Bark.
A MIDNIGHT CONFERENCE.
Attorney-General Hart Will at Once
Move to Set Aside the Whole
Proceedings.
A MIDNIGHT CONFERENCE

Levy yesterday.
At an early hour in the morning the
McDonGlds eoafessed themselves TO be in
solvent, and the at, orneys for the creditors
LOST &c time "a Tous'ug McDade from
ais slumbsVs and weird mysterious meet
ing Vas held. Tbs hc 0naIds were pres
emit 3. this conferences. and they agreed to
sign stipulation contsssing Judgment in
the Insolvency suit anG acqulesCing IN the
spT2in ement Of a receiver.
Nothing more could De dOne at taaf hour.
bu ss tie clock struek 10 yesterday morn
ing tbs manage inert OK the Pacific Bank
went betors PresiGing Judge CARRIER aad
asked tbab 8 receiver 10 appoiated Judge
CARRIER had q time - hear the petition so
tie transferred tbe case 30 Judge Levy.
The Judge postpo 80 other business and
look The hearing 10 at once. & few nin-
scene with Ioore attorneys and asked for
the appointment VI General Wiley as Re
ceiyer.
The Sheriff, nlgeVer, carried tue dav.
and Judge Lew Iade ths following order
WHEREAS. the facific Bank having omitted
its Insolvency by verified answer 10 80 cred
TORS petition on file herei0, is is declared tI2i
the Pacific Bank 10 an insoiyent Debtor, ard
mat The said bank. within thirty DAYS from
date shall file in This court Il sche0aie aBa !u
ventOry, which schedule shall contain a iuii
and true statement OF all its debts and liahili-
ties exhibiting 10 The best OF lis knowledge O.
belief To whom debts are due. the place OF rest
denee OF its creditors and the sum due TO each,
the nature of the Indebtedness accrued, and
statement of any existing pledge, lien or mort
gage, Judgment or other security for the pay
meut of the sane, and which said inventory shall
contain an accurate description OF ali the estate.
both real and personal, OF the bank, all the
property exempt by law from execution and
where the same Is situated, all membranes
thereon. and further orders that John j. Nc.
Dade. the Sheriff of the city and county OF San
Francisco, he appointed receiver Of the prop
erty to'taKe charge OF all The estate, zeal and
personal, Of the bank, except such as may be by
law exemptfrOm execution, and OF all its deeds,
vouchers, books of account and papers, and TO
Keep and: care for ana dispose OF the same
until the appointment of an assignee. upon eX-
ecuting. in undertaking TO the people OF the
Stale of California in the sum of 100000, TO
be approved by the Judge OF said court. -
= 1t is further ordered that all the creditors of
SAID debtor be~and appear before the Hon.
Walter II. Levy, Judge of the Superior Court of
the said city and c0upty of San Francisco, De
partment: 10, on the 18th day of november,
1898 at 10 O'Clock A. NJ. OF said day. to prove
their debts and choose one OF more assisnees or
the e-Late: or said debI0r.
1t Is further: ordered that all prOcee dngs
against this iusolyent be. and the same are
Hereby stayed. -. -
AjfGustI5, 1893. =. -:
Tile SherIff's bonds were fixed at 500, 0OO,
to be approved by Judge Levy. He aftei--
ward accepted r. f. Nolan and james l..
Flood as Sureties IN the sum of $780, COO
each. 80. -: 49,.
The appointment. of course. is merely
temporary one, holding good for ninety
days from date, during which time the
bank directors will have ample OppOrtu-
~IIity to examine all the affairs of the bank
and decide upon a course 10 pursue in the
future = -.
During the periUd th6t n Nv llley.has
oeeu in fae Pacific Bauk ..as< Deputy Bang
Cor 3jsslonet; bills ..feceigubl0 10 '-the
Gf" - ~ hAEG. been -p1iG .1 ever
tae cGud4et. Ganerai Wilsg ta0x the
moCsy as 1t came In. ana IL is still in MS
e0Esassjop.
~ MADE demand upon General Wiley
for tnr $4,000. said. Sheriff McDade last
night, "but lie Tefusedto turnit over to me.
1t is not clear by what right the Bank
Commissioners, whose duties are TO super
wise and: examine the books. should take
the money At ALL much less retain it, as
against the receiver appointed by the
court: Tomorrow L shall commence to
take an. inventory Of all the property and
appnrten ances OF the bauk and learn its:
true condition. L have been in possession.
here since the closing of the bank, under.
attachments levied at :thattime."
NJ. l. Sullivan, attorney for the Sheriff..
was also seen and stated that under the
court order the Sheriff would serve as re-
ceiver until the assignee was appointed.
His appointment will expire in sixty days,
and then an: assignee must be elected by
the depositOrs. -
ItwRs openly stated yesterday that the.
Bank Commissioners appointed Wiley r
deputy to train him for the receivership OF
the bank.
. "The Bank Commissioners are alto
gether wrong in their retention of the
S25,000." said Attorney Sullivan. "In the
first nlQpa fhaU hQVp N 70 mi
deputy. So Wiley had no more right to
touch that money than a. stranger. The
work of the Commissioners is concluded
They have examined the Pacific Bank and
have pronounced 1t solvent, although, as a
matter of fact, it is not solvent. Any
bank, other than a savings bank. that re-
fuses for forty days to pay depositors after
demand is insolvent and subject to the
proceedings Of the insolvency law. $780,.
THE duties of the Commissioners during
the period Of their examination gave them
no right to take the bank money and
secrete 1t or carry it off. They should
have noted the amounts and turned them
over to the bank. If General Wiley per-
sists in his refusal to turn over the money
in his possession to the Sheriff, we will
get an order from court requiring him to
disgorge. Should he still refuse, he would
make himself liable to criminal proceed
ings, and he would be obliged to defend
himself IN such an action.
'Mr. X. II. Mcdonald Jr. stated that
the Pacific Bank advanced money to paw
Willey's services as Deputy Commissioner
on warrants drawn bv the Commissioners
against the State. Willey's appointment
being illegal the charges against the State
for his services are improper also. The
Controller has no right to pay warrants
drawn for Willey's services, and | don't
believe he will do so. In refusing to paw
over the $4,000 of the Pacific Bank funds
the Commissioners say that they are act
ing under the advice of Attorney-GeneIa
Hart If this officials position is in the
hope of nominating receiver he is day
after the fair. At an earlier stage in the
proceedings before the insolvency of the
bank was declared the Attorney General
might have had the court appoint re-
ceiyer. At this juncture. however, the
Sheriff Is the only man who can legally act
In that capacity"
Mr.. Mcdonald expressed his gratifica-
ton at McDade's appointment. Apart
from his official position" said Mr. Nc
Donald, ":he Sheriff is personally the best
man VINO could have been selected to per-
form the duties of receiver. majority
OF the Stockholders and all OF the directors
desired MS appointment. which gives salts
iacilon 10 the great majority of the share