Vernon County censor. [volume] (Viroqua, Wis.) 1865-1955, 1901-02-06
LITIGATION IN CITY BANKING AFFAIRS
Some Unpleasantness Arises from the Recrganira-
tiOnof the Bank Of virocua-A Plain Statement
Of the Case.

The recent reorganization of Viroquas 8
largest financial institution has eau ed
not little unpleasant friction, and
matters have assumed the attitude of
legal proceedings. Concerning the sit
uation of affairs the La Crosse Republi-
can Leader of last Thursday says.
A case of more than usual Importance
| by reason of the question involved and
the prominence of the parties interested
will be argued before Judge Fruitin the
| circuit court. 1t comes from Vernon
! county and involves the validity of the
| recent re-incorporation of the Bank of
| Viroqua which for ten years prior to
| January 8. 1901. was conducted by VIM.
! f. Linoemann and the late Secretary of
| Agriculture Jeremiah NJ. Rusk and
since his death by his estate. Upon the
expiration of its charter on January 8.
1901, VIM. f. Lindemann and his sons
and daughter organized new banking
corporation with capital of $50, 900
under the same name Bank of Viroqua.
This was done as it is asserted, without
the knowledge of those interested in
the Rusk estate. The law gives cor
poration whose charter has expired
three years in which to wind up its old
business but during that time it can do
nO LOW DuSlucsS. ~ lS CldlUlcu Vie
part of the Rusk interest tnat within
these three years no new corporation
can be organized under the same name
and the incorporation of the new b.nk
of Viroqua was an unlawful usurpa lion
of the goed will and that such good will
and name is of great value, etc. 1nis is
denied by the Lindemann side of the
controversy and the contention is that
after the expiration of the charter, the
corporation is essentially dead for all
purposes except to liquidate it's old af
fairs An action has been commenced
by l.. J. Rusk and Mary f. Rusk who
represent the estate of ereiniah M.
Rusk as executors agains. William f.
Lindemann and others of the new bank
for the appointment of receiver TO
wind up the business of the old bank
and to prevent their doing business un-
der the name and incidentally this action
affects the question of the value of the
good will of the old bank. The question
of the appointment of a receiver will be
argued before Judge Fruit The action
does not in any way injure the credit or
involve the resources of the old bank as
its last statement made to the state
treasurer showed surplus of over $60,
000 Financially both Institutions are
upon solid footing.
The argument was begun Saturday
morning and concluded Monday after
noon and Judge FruiG reserves his deci-
sion until next week. The application
was for the appointment of receiver
for the old bank, but the attorney for
the Lindemanns filed demurrer to the
plaintiffs complaint and it was this
demurrer which was argued If the
demurrer is sustained by the court this
will practically do away with the receiv-
ership question. The attorneys who
argued the case are Losey, Woodward 81
Lees of La Crosse and L. J. Rusk of
Chippewa Falls for the plaintiffs and
G. w Graves of this city and E. G. Hig
bic of la Crosse for the defendants
No matter what the outcome in this
affair, there is not the slightest grounds
for uneasiriess on the part of those hav-
ing dealings with the bank. Business is
conducted as formerly and will continue
to be, and the result cannot effect
deoositors.