The record-union., 1899-07-16
BANK STOCK ASSESSMENTS.
A HOLDER TAKES ISSUE WITH
THE ASSESSOR.
dwight HI. Miller Procures a Tenn
porary Injunction-Allega
Of the Complaint.

dwight H. Miller has brought suit
AGAINST Assessor Berkey and the Ma
elonal Bank of D. o. Mills & Co., a
corporation, and prays for a decree de-
caring that certain alleged assessments
On snares OF, plaintiff and other share
holders of the capital stock of the bank
IN question are partial, discriminative,
UNJUST, invalid and Illegal
Ihe plaintiff also prays that no legal
right exists to assess such shares, or to
coilect taxes thereon in the manner and
form and at the rate of valuation, as
sessment and taxation which is being
made use of by the Assessor; nor by
any special plan or system, or any
plan or system provided by sections OF
the Political Code enacted in 1899; nor
by any system discriminating or unjust,
or which is different from or at 4
greater rate than that made use OF in
the assessment and collection of taxes
upon other monied capital in the hands
OF individual citizens.
The plaintiff further prays that the
Assessor be enjoined and restrained
from collecting or attempting to col
lect the alleged taxes, or from enforc-
ing or attempting to enforce the al
legged assessment.
Also that it be decreed that the Ma
tional Bank of D. o. Mills & Co. has
no right to pay said alleged taxes on
it's shares and charge the same against
and collect the same from the plaintiff,
nor any of it's shareholders; that it be
enjoined from making such payment.
and that the plaintiff recover costs of
suit.
Judge Johnson yesterday issued in
functions as per the prayer of the petit
toner.
The undertaking on the injunction
was fixed at $4,000, with Frank Miller
and Charles F. Dillman as sureties.
The plaintiff sets forth in the petition
that the National Bank of D. o. Mills
& Co. has always paid to the United
States all duties required to be paid
by it pursuant to the provisions of the
National Bank Act, and that such
duties We're SO exacted and paid in lieu
of all existing taxes on it's property,
and that by reason of that Act of Con-
gress it is not liable for any taxes of
any kind for State and county pur-
poses.
1t is further recited that Assessor
Berkey, under and by virtue of an Act
to amend the Political Code of Cali
fornia, relating to the general revenue
of the State and to property liable to
& taxation made the alleged assessment.
The plaintiff asserts that the Act in
question did not become a law until
March II, 1899, and contends that be-
. cause of there having been no law in
existence for the taxation of the shares
at noon on the first Monday in March,
1899, and by reason of their hav-
ing been exempt from taxation at
that time, no tax is collectable
on the shares for State and county pur-
poses, ard that the alleged assessment
is without foundation and absolutely
void; that the stock is not, nor is any
of his property, liable for the taxes at
tempted to be assessed on the shares.
1t is further alleged that the Act Of
the Legislature under which the at,
tempted assessment was made for the
collection of taxes is special legislation
in that it provides a plan and system
by which taxes would not be equal and
uniform, and that the Act is partial,
discriminating, unfair and invalid and
in violation of the Constitution and
Section 5,219 of the Revised Statutes
of the United Sites, which provides
that the taxation of shares of a Ma
tional banking association shall not be
at a greater rate than is assessed on
other monied capital in the hands of in
dividual citizens.
In this connection it is stated that
the shares were assessed by the Asses
sor at $64 each, while the capital stock
of the institution was but $500, 900, or
500 per share.
A similar suit to restrain Assessor
Berkey from collecting taxes from the
stock has been brought by the bank
itself, and as in the preceding case.
Judge Johnson granted the injunction,
with Messrs. Miller and Dillman as
sureties on the undertaking. White &
Seymour are the attorneys for plaintiff.