The morning call. [volume] (San Francisco [Calif.]) 1878-1895, 1894-06-09

of them should be taken up first. Eventu-
ally it was decided to pruceed with the
motion to modify the Injunction, taking up
the demurrer to the original suit en- route.
Henry +. Highton went through the
form of reading the papers in the case.
He read the demurrers of Hiram T. Graves.
a. /. jenkins and Charles Montgomery
to the original complaint brought by the
people, in which Il was claimed that no
cause of action lay therein.
There was some objection made bv
Attorney General Hart to the reading of
Graves Gffidavit in answer te the suit on
tae ground that II would be necessary for
Mr.. BightOn to quote number OF letters
that were at best only hearsay testimony.
Mr.. HightOn. however, was permitted to
proceed.
The affidavits of both Graves and Jen-
kIns showed that they were perfectly will
ing to resign their trusts as directors of
the bank, since 1t was the will of tie de-
positors, the real creditors of the bank.
that they should do so. Montgomery, no W
ever, in his affidavit. showed that be did
lot participate in the decision reached by
his brother directors. Montgomery had
decided that while q criminal indictment
hung over his head lie would not resign
from the board. Now Mr.. Righton had TO
propose that the injun elton be SO modified
as to permit thUse directors who wished to
resign to do so.
At the conclusion of Mr. Highton's
opening remarks John H. burst, repre-
senting Dr. BOushey, president of the
bank, read an affidavit sworn to by his
client that morning in which a CORE
spondence was reclted that had passed be-
tween himself ana ii. W. hutton, chair
man of a committee OF depostors. In this
DR.. 30 ushey described himself as n OF only
willing put anxious to resign on the dis
tinet understanding that the other direct
Ors did the same.
But in his affidavit DR.. Boushey very
strongly objected to the retiring directors
being permitted to select their own sue
ceSsOrs. 1t would not do. he thought, TO
permit majority of the board to resign
If such further permission were accorded
them. And attention was called TO the fact
that Graves, Jenkins and Montgomery had
denied the right of any one to dictate &c
them what persons they SHAH select as d.
rectors in their place.
Before proceeding Attorney General
Hart expressed a desire TO question Mr..
Hutton concerning tue number of depos-
sent. Accordingly Mr.. Hutton took the
stand.
How many depositors do you repre-
sent ?"
Fifteen hundred and thirty-six in all.
Fifteen hundred and twelve signed the roll
themselves"
What amount do they representa-"
Between $3.50, coo and $500, 0OO.'
Mr. Hutton was then questioned upon
his committee of seven and upon their
correspondence with Dir. Boushey. The
witness stated that DR.. Boushey had given
his letter to the papers before il reached
the committee, and so the committee mad
dene the same with their reply.
burst asked the witness In what shape
his authorizations were. Mr.. Hutton at
once produced them. Receiver Sheehan
was in Court. but had not with him his de-
positors' book. lie said, however, that
there were 10000 lepositors in all, repre-
sentlng $1.600,0OO IN deposits.
Mr.. Hutton, can you state on behalf
OF the deposltors you represent what their
wishes are with regard to this injunc-
ton ?" asked the Attorney-General.
Yes; their desire IS that those direct
ors who wish to resign should be per-
United 10 do scr
James A!va Watt, representing the re-
ceiver. said he understood there was
another depOsitOrs' committee in court
VINO were not legally represented. 1t was
known that Mr.. HuttOn's committee stood
outside the Peoples Bank all day and
forced all corners to sign the roll. Now,
this other committee represent ed $500, 600
worth II deposits, and they wanted their
say. They too wanted the directors to re-
sign.
Il agree" suddenly exclaimed Hart
jumping up. Here's two committees of
depositoTs and The directors themselves all
wanting the same thing. Let 'em resign.
| for one am sorry hey were ever elected
But let their successors be elected by the
stockholders In some way satisfactory TO
all parties. That's all have to saw"
Mr.. Hutton was commencing to say that
he knew nothing at all about any de-
DOsitOrS' committee but that OF which ne
was chairman when ne was interrupted
by the Judge, who said he would try no
issues a. between two rival committees OF
depOsitors. That was not the point at all.
Mr.. HightOn then obtained perm ssion
to read TWO further affidavits of Graves
and jenkins, filed that morning, in which
a way cut OF the difficulty was suggested.
The affidavit set forth that the atlantis
had received no money from the bank, but
a very small salary, that after very brief