The Redwood gazette., 1897-05-06


from June 10. 1896, back to 1892 with
the intention of determining the SOL
vency of the bank. He was asked
what the condition was. This was OBJ
jected to and the objection was sus-
tained. Mr.. Hewlett stated that he
collected $7,32O.24 on the collateral
placed in his hands while agent for
the Trust Co., assignee of the bank.
He told how he attempted to collect
on the collateral, giving notices and
employing an agent to force the pay
ments. H. F. Buechner was the col
lecting agent.
On cross-examination the witness
stated that he did not know the face
values of notes held by different par
ties for collection for the bank, but he
held the bulk of the notes. On being
asked how many times he went out to
enforce collection he said once-had a
nice drive-was out for his health, in
fact, and only saw one man.
Asked whether he knew very much
about the bank, he said that he knew
more than he wished to know.
eve know more about you than we
wished we knew" put in Mr.. Somer-
vile.
Mr.. Hewlett objected to telling what
became of the money and here a re-
cess was taken.
At the opening of the afternoon ses-
sion Mr.. Philbrick was recalled and tes-
titled that there was no material change
in the financial condition Of the bank
between May II and Is. No extension
was asked for from creditors between
1898 and until after the bank closed in
May, 1895. The funds were low in
February, 1895, but all demands were
being met by the bank. The assess
ment of March l, 1895, Oh stockholders,
was made on account of the bank be-
ing in need of money. This assess
ment was 80 per cent. of the stock, OF
which only 10 per cent. was paid in.
The liabilities when the bank failed
were about $4,000.
On cross-examination the witness
stated that the liabilities of the bank on
March L. 1895, were $4,000 and the as
sets $780, There was no material
change in the condition of the bank
when it closed. About S., 900 was paid
in on. the assessment. The bank was
considered perfectly solvent on March
l, 1895, and III fact, up to it's suspension
on May 11-assets considered at their
full value.
On redirect examination the county
attorney brought out the fact that a
large number of borrowers were unable
to take up their notes when the bank
became insolvent, among them notes
amounting to $25, 900 of o. B. Turrell.
On a re-cross examination Mr.. Phil
brick stated that these notes were Sc
cured by real estate mortgages, etc.,
worth more than $4,000. On re-
direct it was brought out this was a
second mortgage on the land, the first
being for about $6, 500.
J. III. Bowers was called and gave
testimony in regard to the collateral Sc
curity of the bank, not different from
Mr.. Philbrick's. He collected for the
assignee altogether over $4,000.
H. F. Buechner testified to being a
collector for Mr.. Hewlett. He testified
to $4,000 Of the banks paper having
been placed in his hands for collection,
of which about LOO had been paid.
Since then $1,000 more had been
placed in his hands and he had col
lected in all about 81, 800.
n. V. R. Hunter, present assignee Of
the bank, was called but the first ques.
ton put to him was objected to and
turned down. Mr.. Hunter left the wit
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O. w. Mcmillan was recalled and
said that a check had been presented
before the bank became insolvent. He
was not allowed to state the amount o1
the check and with this the State
rested.
Mr.. Somerville moved to dismiss the
case on the ground that the States own
evidence showed that the bank was
solvent on May IL, 1895, when the Pol.
lard deposit was received. Mr.. Clague
contended that he had shown that the
bank was insolvent on May IL, 1895, by
the books, testimony of witnesses, etc
After more or less argument Judge
Webber said:
II don't believe that the evidence
can ever sustain a conviction"
Mr.. Clague then asked that the case
be opened until the State could get il
more evidence. This was assented tt
by the Court and Mr.. Clague called Mr.
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