The Montgomery advertiser., 1906-08-15
COLLATERAL
 WAS STOLEN Depositors to Suffer.
 Heavily. GENUINE NOTE IS FOUND Was Concealed in Home of Fugitive
 President. Court. sof Chicago Get Into sauabble over Reeeivsrship and United states Court Also Gets
 in Litigation.

Chicago, Aug 14.-The belief that large amounts of collateral given as security of notes in the Miiwaukee State Bank have been stolen practicai- ly became a certainty last night when a note for ss.0e0, known to be genu- inc, was found in President StensIand house at Byron Street and Lawndaie Avenue Search was made for the col lateral security but 1t could not pc found.
 The discovery opened up a field for almost unlimited speculation as 10 now far the footing proceeded before stems land disappeared If the real estate and other securities in the bank have been stolen are found to be worthless the amount of money left to pay the depositors probably will pc reauceo 70 as low as 2S per cent.
 The criminal side Of the bank case has been placed in the hands or As sistant Attorney Barbour by MT. Ol- son. who is about to start for New Hampshfre on a vaetion. MT, Barbour will be left in charge of the states Attorneys office pending the return oi Mr. Olson. and States Attorney Healy'
 Mir. Olson was informed yesterday afternoon that Paul o. Stensland has large land holdings in Mexico. and that he may be in the Southern Republic now. The information came in the shape of a letter from an acquaintance of stensland MT Olson said that lt will take only twenty-four hours to run down the clue.
 Clash Batween Courts.
 Interest in the investigation into afr fairs of the suspended Milwaukee Ave- nue State Bank was stimulated today hy anticipation of a clash between the circuit and superior courts of Cook county. Judge John Gibbons of the former tribunal yesterday appointed the Chicago Title and Trust Company receiver for the bank and today preparations were made to oust Re- ceiver John c. Fetzer, acting under au- ahority of Judge Brentano Of tte su-
 Besides this compiications there is stiil to be settled. the status of Re- eeiver W. C Niblack. named by Ref ereA- sn Bankruptcy Eastmen.rt to col feet the personal estate Of President Paul O. stensland The official report of the defunct institution is to be giv- en to the state auditor today, but Bank Examiner C. C. Jones has decided to withhold the contents of the report from the public in Chicago, in order to protect those most vitaiiy interested in the banks affairs. He may, how ever, he says decide to give extracts from the reports.
 Another Warrant for Herring.
 Another warrant against Henry W :. Herring, cashier of the Milwaukee Ave- nue State Bank, charging him with forging a note for $10,00n in the name of Marius S. Kirkeby, was issued to- day by Judge Kersten.
 The warrant was signed by Kirkeby. It was announced today that action in the nature of contempt proceedings. growing out of the receivership com pll sation would be begun before Judge Brentano in the Superior Court this Afternoon.
 Following a conference with Judge Brentano, the attorney for Receiver Fetzer began preparing a petition ask ing that at least one of the lawyers and parties to yesterdays receivership proceedings be punished for contempt of court.
 Judge Bethea, In the United States District Court. today issued a tenn porary restraining order prohibiting all interested parties from interfering in any way with the assets of the Mill waukee Avenue Cooperative Store. the majority of the stock of which Is own ed by President Stensland of the Mill waukee Avenue State Bank. The or- der was issued at the request of coun- sel representing the directors of the store, who maintained that the store was a solvent institution.