Iowa County democrat. [volume] (Mineral Point, Wis.) 1877-1938, 1893-08-11


L. Mitchell was at the Wisconsin
Marine and Fire Insurance Company
bank Saturday morning for about two
hours and then he left the city for
Washington to attend the special SEES
sion of congress. Mr.. Mitchell looked
careworn and weary and in eNplana
ton of his appearance he said that
since the failure of his bank he had
worried himself sick. Il will be glad
when all this business comes to an
end he remarked Don't ask me to
talk about the suit brought against
me by my mother, because on THAI
subject l will not talk. My case is
in the hands of my attorneys, who
will look out for my interests while |
am away" He was equally reticent
concerning the suit against him to
recover for the bank on his notes
given May 26 and representing $780,
600 brought by Receiver Becker. He
said he would not talk about matters
| relating to the bank under any con-
SideratiOn.
EN-Cashier John Johnston spent the
whole morning with Receiver Becker.
He was very talllative regarding the
suits brought by the receiver. The
fact that the notes of Messrs. Mitchell,
Ferguson and Johnston were given
away back in May to secure the
Schlesinger and other worthless paper,
was pointed out to him as leaving
the impression with depositorS that
at the time the notes were given the
officials of the bank knew it was in
solvent Mr.. Johnston said such an
impression was entirely wrong and
did the officers of the bank a great in
justice.
AT that time," said he, I'VE thought
the bank perfectly sound and none of
us had the least idea that it would be
forced Il month later to suspend. We
were afraid about the time the notes
We're given that some of the firms
whose paper we were carrying would
fail. We knew the paper was worth
less and that Il failure would involve
the bank unless we secured it. Had
we closed the bank then the people
would have denounced us, 50 we de-
cided to protect the depoSitorS by
taking up the worthless paper and
placing in it's stead our notes, which
are assets worth 100 cents on the dol
| lar
'All this hue and cry about dis
honesty amounts to nothing and / am
paying no attention to it. / defy amy
body to prove crooked act on the
! part Of the officials of the bank and as
| have already said if there has been
anything done by us pointing to the
mismana gemelt of the bank it was an
error in Judgment on our part. The
bank is perfectly solvent today and
was when we gave the notes against
which the receiver has brought suit
THE statement is made that you
withdrew from the bank knowing
that it was only a question of time
when it must fail, and you preferred
! to be out when that time came"
This is untrue. Had that been
true l hardly think l would have so
readily come to the front with my
property and my money to do my
part towards securing the creditors
against loss. | trust the creditors Of
! the bank and the people of Milwaukee
will give us credit for doing what we
| have towards securing our creditors
against loss"
Receiver Washington Becker, Of the
| Wisconsin Marine bank was generally
! supposed to be second vice-president
Of that institution, although in the
strict letter of the law he was not an
officer at all, but merely a stakeholder.
This relieves him from any RESPONSE
bility in the management of the bank,
and if the grand jury attempts to in
yestigate him, it will find him bur
dened with proof that he was not an
officer of the bank
About two months ago when Mr..
! Becker took stock in the bank the
Office of second vice-president was
created by the directors for him and
| he was also elected to membership ON
the board of directors. Afterwards
it was found by consulting the arti-
cles Of association of the bank that
they contained no provision for the
office of second ice-president and that
directors to which Mr.. Becker could
succeed This made his election as
second vice-president null and void,
so it was decided that pending an
amendment to the articles of associa-
ton creating the office of second vice
president and providing for another
member in the directory, Mr.. Becker
should act in the bank simply as an
advisor. 1t has been the intention of
the directory to arrange for Mr..
| Becker's accommodation at q meeting
which should have been held the day
following the failure Of the bank. OF
course this meeting was never held SO
Mr. Becker very fortunately slid very
gently away from danger.
Receiver Becker would not talk at
length about Judge Wallber's special
! call for another grand jury. Il know"
he said, that the banks that have
suspended since the last grand jury
will be the subject for the coming
body. As to how the Wisconsin
Marine and Fire will be affected /
cannot say
Samuel Howard. attorney for Mrs.
Jno. l.. Mitchell, said that his client
was simply claiming her rights under
the will of her husband, the late Alex
ander Mitchell He refused to discuss
the matter further than to say he did
not know whether the old homestead
| on Grand avnnT1o would fio11ra in tho