The morning call., 1894-04-04
BANK STOCKHOLDERS MEET.
By Legal Advice They Elect
Directors.
captain JIM' THE PRESIDENT.
New Board Chosen for the Pacific
Bank and a Set of Officers
Selected.


meeting. and acting upon the advice OF
the attorneys of the Institution. the stock
holders OF the Pacific Bank met at II
O'Clock yesterday morning and elected
directors. The new directors are Captain
~ j. M. Mcdonald DR.. r. II. Mcdonald, Dr.
S. F. Long, DIR. J. L. Cogswell, Uriaf
Wood, Z. Il. McAlester, J. o. JephsOn, d,
g. Meyer and j. j. Brown.
The board of directors organized by the
election of Captain J. NJ. Mcdonald as
president of the Pacific Bank, DIR. s. F,
Long as vice-president and o. f. Minor as
secretary and treasurer.
The newly elected president, Captain j.
NJ. Mcdonald. made the following state
ment when seen at the bank yesterday
afternoon.
'"Our meeting disregarded the order OF
the -courT, and we are liable in cOnseQue nee
10 become defendants IN contempt pre-
ceedings. These facts we fully under
stood, hut the in tereSts OF the hank are so
momentOus-we have been bafflsd so many
times, no les5 than four injunction suits
having been brought against us-and as
there was something more than thu ee-
fourths of the BANKS stock REPRESENTED,
wet unanimously decided to hOld the meet
ing and reorganiZe. When the time comes
we will present the facts to the court, in
the hone that we shall be eXOnerated from
any Willful contempt of court other than a
compulsory one for the protection of the
bank and its creditors. There are many
creditors whose interests are snfferin z
from factiOnal opposition on the part of
men who have little or DO interest in the
bank. 1t is this faction which has made
US so much trouble in trying 10 settle the
affairs OF the bank.
"Dr. r. Fl. Mcdonald gave me full
power of Attorney" continued Captain
Mcdonald. ''and he has uni Ormly and
without wavering authorized and directed
. me to go on with the affairs of the bank.
There will be no change in policy. There
: is but one policy, which is to collect
moneys due the bank and to pay Off the
depositOrs as rapidly as possible. This
course we shall endeavor 10 adhere to.
cannot formulate the plans for the future
until the Supreme Cours decides whether
the Bank Commissioners or the directors
OF the bank have the power TO settle It's
affairs. Whichever way it may be decided
there will be no friction. for so far as l can
learn perfect harmony exists betA cen the
Bank Commissioners and the present
board of directors. The meeting to-day
was perfectly unanimous.
Attorney II. c. McPike of the firm of
Dunno & McPike. counsel for the Pacific
Bank, who advised the holding of the
out of total of 10000 shares were repre-
scented at the meeting. After the election
Of officers the directors adjourned, subject
to the call of the chair. The next regular
meeting will take place on Monday,
April 9.
IAN injunction issued by Judge Trout
on the complaint Of c, T. Rea was served
on Captain j. NJ. Mcdonald, DR.. j. l..
Cogswell and DR.. s. T. Long few mo-
ments before the meeting assembled"
said Mr.. McPike. 'Ihe old injunction
issued by Judge Levy did not bear upon
this meeting, and The decree of Judge
He bbard had no relation TO it. In disre-
garding the injunction the stockholders
who met, and we, the attorneys for the
bank. make ourselves liable to proceedings
in contempt, the punishment for which, if
found guilty, is imprisnnment for six
months and fine of $500
A report of the Bank Commissioners
was submitted to the directory just chosen.
1t shows the amount Of money collected
and disbursed since November 8, and re-
cites the litigation which has been brought
during that period. The report shows
that nearly $4,000 is on hand in the bank.
The expenses have been about 500
month. Judgments against the bank ag-
gregatiDg about $4,000 have been obtained
during this period.
. In the injunction issued by Judge
Trout, with which it was sought to re-
strain the stockholders from meeting, c.
T. Rea appeared as plaintiff with the fol-
lowing defendants:
M. Burnett administrator, Charles Bar
bieri. Nj. Burnett. Sarah 6. Burnett. R.
Bruml, Margaret A. Burnett, c. W. Brey-
fogle guardian of '. n. CahIl, minor, c.
W.Bregfogle Grustee). j. J. Bowen. John o.
Colt. j. l.. Cugswel. Helen A. Carter, E. NJ,
Cogswel. Florence E. Cogswell. L. Dimant,
IL II
(trusteel c. F. Lott. NJ. Nj. Lini-
kan, Emma a. Levanseler, R. Fl. Nc
Donald, j. NJ. Mcdonald, ]. NJ.
Mcdonald (attorney-in-fact Of and for r.
Il. McDonaldl F. V. Mcdonald. F.
V. Mcdonald (rustee), Mabel Mcdonald,
Paul E; Mabury. Stewart McDenald,
F. Page, d. w. Peterson, Mr>.L. Il. Ry-
land, NJ. Il. Sherman, A. c. Ryand. A. K.
Stevens, John TORI, j. NJ. Wallace, Mrs.
r. J. Wallace. c. Waterhouse. Urfah
Wood. Uriah Wood (trustee), S. F. Long.
William F. MeAester, n. w. Spaulding,
James Wainwright.
The complaint gives something of the
history of the organization of the Pacific
Bank and then cites the following passage
from the bylaws of the corporation from
article l relating to annual meetings:
The regular annual meeting OF the stock
holders of the Pacific Bang for the election of
directors shall be held at its banking house in
the city and county of San Francisco on the
second Monday OF January in each year, of
which notice shall be given by publication for
two weeks in a daily news aU published in
the ely ana county of San Francisco Article
2 OF which is as follows: Election of directors.
The annual election OF directors of this bank
shall be held al the annual meeting of stock
holders and shall be by ballot and conducted
By two or more inspectors to be appointed Dv
Tire president. The difec ors shall he voted for
by ballot and the persons who shall have the
greatest number of votes shall be lie directors
elected, or if ii should happen al any election
that he whole number of directors should not
be elected because of two or more persons re-
ceiving an equal number Of voles, or from any
other cause, then the stockholders shall urO-
ceed TO another ballot for such number OF per-
sons as shall be required 10 complete the whole
number of directors and shall continue TO ballot
IRON day 10 day until the whole number be
p. elected.
Quite q number of statements are set
forth to substantiate the claim that the
meeting of the stockholders was not called
in accordance with the bylaws.
The plaintiff then asked OF the court:
First-That said defendants and each of them
be restrained from meeting as stockholders at
said Pacific Bank for tile purpose OF electing
directors of said bank or for any purpose.
Second That IN the meantime and until the
final determination OF this cause upon its mer-
its said defendants and each of them be Tempo
rarlly enjoned and restrained from holding
said or any meeting for the election Of direct