The record-union., 1899-06-02

plaintiff, and none of said shares Were
then or are now, or were at any time
owned or held by plaintiff. That said
assessment complained of herein is not
| upon or against said shares or any OF
them and plaintiff ayers that said
| shares represent and stand for all and
every kind of property of plaintiff, in
GLIDING the said personal property; and
they were on the first Monday Of March
1888, the only property liable to as
| sessment or taxation within the State
of California because of the ownership
by plaintiff of the personal property
hereinbefore mentioned; and plaintiff
further alleges that it has and did at
every and all times pay to the United
States all the duties required by the
provisions of the National Bank Act
aforesaid; and that the said duties so
exacted of plaintiff by the United
States We're SO exacted and paid in lieu
Of all existing taxes upon any property,
including said personal property SO as
sessed, and other than the real estate
belonging to plaintiff.
VII.
That the defendant claims and al
leges that the said taxes so assessed on
said personal property are valid, and
that lien exists for the collection
thereof upon the real estate Of plain
tiff herefnbefore described; and defend
ant, as such Tax Collector, threatens
to and is about to proceed to advertise
and sell the said real estate for said
| taxes and to make collection thereon,
and will do so unless restrained by the
injunction of this court from so doing.
That 1t does not appear upon the face
OF said assessment book or said delin-
quent list, or in any of the proceed
lngs taken concerning the assessment
and attempted collection of said alleged
taxes, that plaintiff is not liable there
for and not subject to taxation on said
personal property: nor does it appear
from said books and papers that there
is no lien upon the said real estate for
the payment thereof; and if the said
defendant is permitted to proceed to
advertise the said property for sale
and to sell the same, his proceedings
will cause cloud on the title of plain
tiff which will require evidence to re-
| move. That plaintiff has no plain,
speedy or adequate remedy in the prem
ises other than by this proceeding.
Wherefore, plaintiff prays that a de-
cree may be entered herein enjoining
and restraining defendant as such Tax
Collector from selling, or attempting
to sell, or from advertising any sale, or
from taking any proceedings in the di-
rection of selling the said real estate
of plaintiff for said alleged taxes; that
it be further adjudged that the said
assessment was and is illegal. and that
plaintiff is not, nor is its said personal
property, liable to taxation; and that
plaintiff have such other and further
relief as the facts of the case may re-
quire, and recover of defendant its cos. s
of suit.
Dated, May 81, 1899.
Plaintiff contends that the laws of
the United States cover the whole sub
ject and it's attorneys make the follow
ing points:
Section 5,214 of the Revised Statutes
of the United States provides that
Every National Bank in lieu of all ex-
listing taxes shall pay to the Treasurer
of the United States in the months of
January and July duty of one-half of
one per centum each half-year upon
| the average amount of it's notes in cir
culation, and duty of one-quarter of
one per centum each half-year upon
the average amount of it's deposits, and
a duty of one-quarter of one per CEN
tum each ,half-year on the average
amount of its capital stock beyond the
amount invested in United States
| bonds
| Section 5,219 provides that the shares
| of stock of a National Bank may be
taxed against the owners if the State
| or county SO desires, and also provides
that the real property may be taxed
against the bank
| The Supreme Court Of California, on
! December 10, 1898, in the case of the
People, etc, VS.. National Bank of D. o.
Mills & Co., decided that the personal
| assets of a National Bank are exempt
from State taxation. The assessment
from which the present suit arises was
made prior to this decision, and while
the question was in litigation so far as
! the courts of this State are concerned,
but the decision referred to applies
fully to the case brought to-day.
Judge Johnson granted the injunc-
ton asked for, commanding him to alb
solutely refrain and desist, until furth-
er order of the court, from selling, at
tempting to sell and from advertising
for sale, any of the real property of
plaintiff for the taxes assessed against
! its personal property. Collector Bug
hey has receipted for the taxes on real
estate, but demands SS,7509O as still
unpaid, for taxes on the personal prop
erty.