The morning news. [volume] (Savannah, Ga.) 1887-1900, 1899-02-03
COURT ASKED FOR RECEIVER.
THE ATLANTA NATIONAL CASE BE-
FORE JUDGE LUMPKIN.

Plaintiff Has Concluded and the De-
Tense VIII Put in Testimony To-
day-FultOn County Trying to Get
Up Convict TruSt-WiI Pay Only
Half Price for the Use of Them in
Future-TO Reach Eastern Circuit
Monday.
Atlanta. Feb. 2-The hearing of the ap-
plication for receiver for the Atlanta Ma
tional Building and loan tiou, in
which Malcolm Johnson, former attorney
and director Of the company, is the plain
tiff, is now in progress before Judge
Lumpkin of Fulton Superior Court
The plaintiff closed his side of the case
this afternoon and tomorrow the defense
will be heard There is a formidable ar
ray of legal talent on each side the
amount of business involved being very
large. Many sensational allegations are
made by the plaintiff. the result of which
viii undoubtedly greatly damage the pros
poets Of the company, whether the re-
ceiver prayed for is granted or not
The salient features of the bill which
We're supported to-day by the introduction
at the time it was filed. two weeks ago.
Mismanagement Chnrged.
In brief the whole association is alleged
TO be in deplorabie state of financial
trouble, largely due TO the acknowledgement
of J. W. Goldsmith. the secretary. It is
claimed that the bylaws have been flag
rantly violated that loans have been
made whore the security was not near
worth the amount lent, and in the evidence
to-day a number of cases of this kind
were parucularized a schedule eX-
hibited showing the amount lent and the
actual value of the securities on the mar
ket
1t is also alleged that the live member
ship in the association has dwindled from
10000 to 1900 stockholders, and that nu-
merous losses have been sustained on ac-
count of the negligence and mismanage-
ment of the secretary.
Defense Charges Malice.
In reply to these damaging allegations,
the defense viii undertake to show to-
morrow that Johnson, the petitioner is
actuated by a spirit of malice, in bringing
the association into court, because he was
ousted from his place as attorney, which
was a fat one. If there has been any mis-
mana cement, Il will be alleged that John
son, as attorney and director is as much
The alleged condition of the association
Is forcibly remindful of the defunct South
ern Mutual Building and Loan Associa-
ton, which was wrecked by w. G. Hale
the departed financler several years ago.
Secretary Goldsmith and other officers of
The company say that johnson wants to
wreck the Atlanta National with his re-
ownership bill in the hope that ne may
come In for a share of the carcass when it
yers and receivers.
A Trust in COnvicts.
1t has come out that Fulton county is
leading a little movement TO form a con-
Wet trust. That Is to say, Fulton and
several other of the larger counties want
to reduce the price paid for convcts to
other counties.
1t appears that considerable correspond
ence has been had on the subject and an
agreement reached between the county
boards or other county authorities having
the control of the chain-gangs that rates
should be cut half in two. Heretofore
counties like Fulton that take conVicts
off the hands of small counties having
no chaln-gangs, have been paying at the
rate of 81 a month for these convicts
Under the new agreemen, Fulton has an
nounced that she will hereafter pay only
81 a month for able bodied negro convicts
and will give nothing for white convicts
lt is understood that there Is a. general
agreement among the counties that make
a practice of taking convicts from other
counties that have no chain-gangs. The
latter will have 10 submit to the new scale
or establish chain-gangs of their own
which they can hardly afford to do as
some have only one or two men doing time
together.
The excuse of the Fulton county COM
missioners for the cut is that the former
rate was too high in the first place. and
next that the hire thus paid went into the
pockets of the solicitors and was there
fore wrong in principle.
Supreme Court Decisions.
The Supreme Court to-day handed down
decisions in the following cases:
Carter VS. the state. from Wayne coun-
~, affirmed.
Deem ct al, VS.. Tanner from Coffee
reversed The latter is the con-
tested election case in Coffee county. the
effect of it being that Tanner. who was
granted the certificate of election. win
hold his office.
1t was announced that the eastern cir
cult viii moi be called until Monday.
The court also handed down a decision
by which John Stephens, the Macon negro
bartender, who killed James Kershaw. a
white man, viii get another trial on his
first trial the negro was convicted of muir
DER but recommended to mercy. A sec
ond trial resulted in the same way. He
will now have a third chance for life ana
liberty.