The Mt. Sterling advocate. (Mt. Sterling, Ky.) 1890-current, 1895-04-02

| atisuSu tuo sun vas his'ohS'
i cannot believe il was intended by
the statute that the Secretary of State
be authorized to claim the exclusive
or superior right to apply for a re-
| ceiver after bank has made an as
signment or has applied to court for
the appointment of a receiver. 1t is
more reasonable TO contend that the
Secretary of State is only authorized
to proceed against bank or corpora
ton, when satisfied that 1t is insol-
vent, etc, while it is proposing to do
| business and may deceive depositors
and stockholders as to its condition,
1t is certainly clear that the Secretary
of State has no duty to perform after
he has applied to the court for the APP
pointment of receiver and in order
that he may not do injustice to any
bank or corporation he is restrained
by the requirement that he shall OBJ
tain the approval of the Attorney
General,
Some time after the judgment had
been rendered i'm the Montgomery
Circuit Court received from the
Circuit Clerk by mail an invoice of
charges, tor certifying records,
amounting to $9S.90. According to
the understanding it did not appear
to be r.y duty to pay it. However,
Mr. Reid Rogers explained to me that
he had directed the work to be done
and that the Attorney General had
approved it as they had taken an APP
peal from the decision of the Circuit
Court. He said it was their purpose
to have the statute construed by the
Court of Appeals as to my authority
under section GIG. and he urged that
l should see the Chief Justice and
endeavor to get the case advanced |
on the docket. This / declined TO do.
| informed him that had not au-
thorized the expense nor the appeal,
but that / would confer with the At
torney General on the subject the first
favorable opportunity. 1 aiterward
went TO your Office and reported the
matter to you in person when you in
formed me that you had authorized |
the account for the copying the rec
ord and the appeal for the reason that
you considered it best to have the
statute construed. l did not agree
with you about it, but acted upon
your advice as Attorney General, and
paid the account of the Circuit Clerk
of Montgomery county. l presumed
at the time, from the course you had
taken, that perhaps it was within the
authority of the Attorney General TO
take charge of the case. But l have
never felt satisfied abont the appeal
After a good deal of thought on the
subject it has seemed proper that /
should make the foregoing statement
and communicate to you my conClu-
sions as to the position of the Secreta-
ry of State in relation 20 Il suit of this
character.
l think you will agree with me that
this is not proceeding on behalf of the
but that it is pro-
ceeding by which the Secretary of
State undertakes to perform minis
teral duty in regard to a corporation
in one Of the counties of the State
under the statute relating to private
corporations, which gives to that of
fetal supervision Of banks, trust COM
panies and building and loan associa-
lions.
You will observe that the Attorney
General is charged with no duty in the
premises under Sec GIG. He simply
must approve of the proposed proceed
ings against bank before the Secre-
tary of State can apply to the Circuit
Court of any county for the appoint
ment OF a receiver. The Secretary of
State after obtaining the approval of
the Attorney General in such cases
is then authorized to employ counsel
and incur expenses as may be neces-
essary in performing his duty. And
such expenses are payable out of the
special fund in the Treasury to the
credit Of the corporation department
of the Secretary Of States Office, as
provided in section S7S, Kentucky
Statutes, which reads as follows: /
"All fees collected by the Secretary
of State under this chapter shall be
covered by him as soon as collected in