Omaha daily bee., 1898-04-21
SUSTAINS JOHNSONS' PLEA
Judge slabaugh Passes on the Midland
State Bank Matter.
PROSECUTION IS NOT PROPERLY BEGUN
Court Rules that q District Judge
Cannot SIT an an Examining
Magistrate-Full Investiga.
tiOn In Directed.

Unless a new information s filed and un-
.ess the case Is prosecuted along the regular
lines. Frank B. Johnson, william H. johnson
and Charles A. Sharp, officers OF the defunct
Midland State bank, will not be tried on the
charge OF fraudulent banking. Such was the
decision OF Judge Slabaugh handed down
yesterday afternoon.
The Midland State bank closed Its doors
come years ago and 1t is charged that on the
day before the failure Of the concern, the
officers received deposits, well knowing that
the bank was insolvent During the vacation
preceding the February term Of the district
court Just closed, William McKenna ap-
peared before Judge Scott Of the equity d.
vision Of the district court and swOre to an
information charging the two Johnsons and
Sharp with the crime Of fraudulent banking.
He also alleged that on the day OF the fail
ura Of the bank the officers received his de-
posits. The Johnsons and Sharp were given
q preliminary hearing before Judge Scott
and were held to answer before the Judge
Of the criminal section OF the district court
The attorneys for the bank officials filed a
plea in abatement contendng that judge
OF the district court had no Jurisdiction as
an examining magistrate. To this plea the
attorney for Mckenna demurred, alleging
tnat the plea IN dDateIueHt ulu not constitute
a defense. The questions raised by these
pleadings were argued before Judge Sla-
baugh some time ago and a decision handed
down yesterday.
SUSTAINS THE PLEA
In passing upon the case Judge Slabaugh
reviewed the law at some length, citing
cases and reading from the decisions OF the
courts Of Nebraska and other states. He
said he was firmly convinced that prior to
tha %
upon the judges of the district court author
ity and power to sit as examining magis-
trates. At the session OF the legislature Of
that year the law was repealed and the
power taken away. Taking this view Of the
lsiw Judge Slabaugh said he would overrule
the demurrer and sustain the plea In abate-
ment.
The action Of Judge Slabaugh throws the
case out OF court but 1t does not end
the litigation for in handing down his decis-
ion. he stated that he had directed the count, !,
attorney to make a thorough investigation
OF the charges alleged by McKenna II that
official finds them to be true. the Judge will
order vigorous prosecution. III suit is
brought, he said he wanted II flstituted and
Ocniucted along the regular lines, the same
as other criminal causes. In pointing out
the course to follow, Judge Slabaugh said
there Is the county judge, the police judge
and numerous justices OF the peace. all OF
whom have waauestloned jurisdiction as ex-
amning magistrates and before whom the
action can be brought IL the county attorney
believed there Is sufficient cause to justify
the filing OF an information. He said over
ruling the demurrer ard sustaining the plea
in abatement will not delay the final hear
ing OF the case In the least, as the prelimi-
nary steps can be takeo and the trial had
At the May term OF court.
TvERM ADJOURNS.
The February term OF the district court
has been adjourned. The order was catered
yesterday afternoon by Judge Slabaugh,
after he had passed on the case Of the State
against johnson and others. All OF the other
Judges quit business some days ago Judge
SlahauRh was MT readv nj that time owing