Omaha daily bee., 1899-05-05
SOME "REMINISCENCES OF MosHER.
Suit Against Mcdonald, Receiver of
the CapitnI National Bank.


Although the May term of the United
States court convened last Monday morning
the real work did not begin until yesterday,
when the petit jurors arrived. These men
reported at 10 o'clock and half an hour later
they, Judge Munger and the attorneys in
terested were in the midst of the case of
tue State of Nebraska against ]. W. Nc
Donald as receiver for the Capital National
bank of Lincoln.
Before calling the jury in this case Judge
Munger overruled motion to dismiss. The
attorney for the defendant contended that
as one feature is now before the United
States court of appeals unadjudicated the
United States circuit court has no jurisdic-
tion to try the issues involved here AS
soon as the motion was disposed of Jury
was called to the box and the work of ex>
amining the members of the panel as to
their qualifications was commenced This
continued during the entire morning hour
and we'll into the afternoon. All of the
jurors called had heard of the case and
number of them had fixed opinions as to
what the outcome should be. One or two
were depositors in the bank, while several
had known Mosher when he was connected
with the bank as its president. All such
jurors were promptly excused
This case grows out of the failure of the
Capital National bank in January, 1898, and
is brought for the purpose of securing iude,
ment against the receiver that claims against
the stockholders may be enforced The
state seeks to recover the sum of $236, ,361 SO
with interest at the legal rate from January
90 1898.
The history OF the failure is familiar to
most of the people of the state 1t was the
Mosher bank and was the depository for y
large portion of the funds of the stats.
When ]. e. Hill was succeeded by Joseph s
BARLEY as state treasurer in January. 1893
among other things he turned over to him
as property of the state certificates of de.
| posit on this bank aggregating the sum or
$236,S6l.S3. On January IA of that year
BARLEY accepted the certificates and two
| days later he presented them at the bank.
| received the cash and Immediately deposited
| 1t in his own name as state treasurer Four
days later, or on January 20, the bank closed
| its doors.
On May IL, 1893, Bartley, as state treas
| urer, presented the certificates to Kent X.
| Hayden, VINO was then receiver of the bank.
but who has since died, and demanded nav
| ment, which was refused. On June Ia 1905
| another demand for the cash was made bur
! ike the former one, payment was refused.
| Subsequently suit was brought against tho
| receiver.
1t was expected that the case would con-
sumo several days time of the court but it
came to sudden and unexpected termina-
ton during the afternoon, the jury, acting
under instructions from Judge Munger. re-
| turning verdict for the state in the sum
| of S2S6,361S3, the full amount claimed
The state introduced the testimony of j.
T.. HILL ex-state treasurer, who swore to
the amount of the states deposit in the
Capital National bank, and j. B. Meserve,
who testified to certain pass books, after
which 1t rested. The defense did not offer
any testimony, whereupon. after being in
structed by the court. the Jurors elected
Charles Riggs of Beatrice foreman and with
out leaving their seats returned the YER
dict as stated ahnYe