The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1896-07-02

OF the courts.
The hearing on the petition for the
appointment of a receiver for the ap-
pointment of a receiver for the Bank
of Salt Lake was resumed yesterday
morning at 9 o'clock before Judge
Street with C. C. Dey appearing for
the plaintiff, the Geyser Mining COM
pany, c. S. Narian and E. D. r.
Thompson for the intervenors and
Colonel Ellis, Messrs. Lee & Gray,
Judge Henderson and Judge Judd for
j. H. Bacon and the assignee Mr.. Ross.
The proceedings opened with further
cross examination of Mr.. Ross, witness
for the petitioners. There was moth
ing of any Importance further elected
from Mr.. Ross. He admitted that the
vault had been opened several times
since the assignment was made for the
purpose of allowing people to have
access to their safe deposit boxes.
Mr.. Varian asked the witness
whether he was here to defend his own
personal reputation against the charges
that had been made or implied or to
enforce his position as assignee, TO
which Mr.. Ross replied that ne was
here solely in the interest of his own
personal reputation and did not care
whether he remained as assignee or
not.
L. J. CARTER NOT A PARTNER.
E. J. Carter was examined as to his
connection with the Mercur branch of
the institution. He denied that he was
or ever had been a partner in the
bank, but had dealt with it as a GUS
toner only.
j. w. Neal said that on June IS, he
bought two drafts at the bank in favor
of Colorado parties payable in New
York in the sum of S1,S60.75. One of
these for 81, 500 had been since returned
to him unpaid. Neither of the drafts
appeared on the statement of assets
and liabilities. The witness was per-
sonally a creditor of the bank and so
was his firm.
c. K. Moon was examined apparently
with a view of showing that the bank
had been hard up for some time be-
fore 1t stopped payment. He said he
applied for a loan of 5000 few days
before the assignment was made, but
did not succeed in negotiating it. He
was a creditor of the bank to the ex-
tent of 1882.
L. c. Trent also testified that about
three weeks ago he applied for loan
OF $1,000. Mr.. Bacon told him to come
back the following day and see about
II, but witness did not return and the
loan was not made. He had a personal
account with the bank which was
somewhat overdrawn but the over
draft was offset by a deposit in his
wife's name.
SOMETHING OF A SQUABBLE.
A. c. Ellis, jr, of the law firm of
Dickson, Ellis & Ellis, testified that
he had drawn up the assignment. Mr.
Narian put some questions to the wit
ness intending to elicit whether Judge
Judd and Mr.. Sells had been secretly
secured at the time the assignment
was drawn.
When were their names put on the
list of creditors?" asked counsel, to
which witness replied that it was either
on the night the assignment was drawn
or on the following morning.
Was any money brought from the
bank to your office on the night of the
assignment?'
None but the fees for drawing the
deed" said the witness.
Judge Henderson then moved that
this testimony be stricken out for the
reason that it was in the relation of con-
hdential matters between attorney and
client. The motion was overruled.
Then followed a long squabble be-
tween the attorneys, Judge Dey sug-
costing that a receiver be appointed
by the consent of all parties. Mr..
Varian wanted the assignment set
aside as we'll and Judge Henderson
seemed inclined to consent to a receiver
being appointed. In the middle of the
discussion court adjourned for luncheon
and it looked like as if during the
recess the parties would come to an
understanding. but they didn't. and
after the recess the hearing was re-
sumed.
GLAD HE GOT THE SECURITY.
Judge Judd said the $4,000 put down
in the statement of the bank as owing
to the witness was his own money
and not Mrs. Judd's. The claim was
secured by stock of the Dalton & Lark
Mining company. Witness did not
know exactly when the security was
given, but had been informed that it
was. on the morning the assignment
was made or or the previous evening.
Other debts of the bank were also Sc
cured by Dalton & Lark stock. Wit
ness thought these debts amounted TO
SlS5,000. Witness didn't ask for his
debt to be secured, didn't know that
it had been secured until after the
failure of the bank. Witness was one
of the attorneys for the bank when it
was known as the American National
bank, but this transaction had nothing
whatever to dc with his relations to
the bank as its attorney He didn't
ask for the mining stock, but was very
glad he had got it.
Here another attempt was made to
effect an agreement and end the hear
ing but it again failed.
MR.. SCHENK ON THE STAND.
jeremiah Schenls said, IN reply to
Mr.. Varian, that he was the holder of
100000 shares IF Dalton & Lark stock
to secure an Indebtedness of the bank
to him Of s107, 000 The stock was hy-
to him on June 10 by j. H.
Bacon and II. NJ. Bacon. Witness said
on the day prior to the assignment he |
checked out of the bank $6,S74, about |
S. 900 of this was on account of the /
Dalton & Lark company which witness
ard the balance was his |
own personal account. On the day on |
which he drew the. $6,S74 there was |
about $4,000 to the credit of the Dalton /
& Lark company on deposit account |
On stock account the bank owed the |
Dalton & Lark $23, S29.S0 and for stock |
held by Mr.. Bacon and not paid for
s75, 900.