The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1907-12-07
DECEIT IS ALLEGED
Said to Have Concealed
knowledge of Impending
Bank Failure
BONDS AND COIN GONE
Trust Officials Accused of
Shipping Securities Out
of California

vi 1AAd
Pending a thorough investigation
into the affairs of the estate of the
late Ellen NJ. Cotton, widow of the
late David D. Cotton, the superior
court of Santa Cruz county yesterday
iseued an order suspending Walter ].
Bartnett, vice president and general
counsel for the California safe deposit
and trust company, as special admins
traitor of that part of the estate which
is in litigation. The order was granted
on petition filed by the lawyers for
Helen M. B. Sacher, granddaughter
of Mrs. Cotton, and contestant of
her will, making allegations against
Bartnett of breach OF trust and at
tempting to deceive the court. These
lawyers are Barclay Henley. j. F..
Riley Benjamin K Knight and Crit
tenden Thornton. According 10 the
petition, Bartnett and ]. Dalzell Brown
are guilty of concealing their knowl
edge of the impending failure of the
California safe. deposit and trust COM
pany for some months before the crash
came. 1t is alleged that they failed
to give notice to the attorneys for the
contestant of the coming trouble. The
petition also recites that, despite the
fact that the court of santa Cruz
county. in which the estate is being
administered. had ordered that the
securities constituting the assets of
the estate should be safeguarded in
the vaults of the safe deposit COM
pany, Bartnett and J. Dalzell Brown
admitted to the bank commissioners
that $4,000 in money had been burned
in the fire and that 100000 in stocks
and bonds had been sent to New York
for safe keeping.
SAFETY of ASSETS
The petition goes on to say that seven
months after the fire Of April IS, 1905,
Bartnett and Brown testified under oath
before the superior court OF Santa Cruz
county that st that time there was de-
POcitEh III AilS NclO1Nc VI tAtS biPOSAA
company the entire amount of the as
sets of the estate, consisting OF approx
imateIy $s25,0o In bonds and stock
and $4,000 in cash or negotiable paper
of various kinds.
At that time the court ordered that
the entire assets of the estate be placed
on deposit with the California safe de-
post and trust company and constituted
that company the official depository for
such stock and bonds and cash as might
come into the hands of Bartnett as spe-
cial administrator The order forbade
the sending of any of such assets from
the state under any pretext whatever.
Following his testimony a TO the dis
position of the funds of the estate,
Bartnett gave bonds of $4,000, with
acting as sureties. Since the suspension
Of the trust company these sureties. so
the petition declares, are each of them
utterly insolvent''
In continuing the charges the order
OF suspension asserts that the said
California safe deposit and trust COM
pany Is likewise insolvent and unable to
pay its debts and that it's officers are
rot in possession of the stock and
bonds as aforesaid receipted for by it,
and that its officers have concealed,
embezzled and transported the said
stock and bonds out of the state of
California, which amounts to a CONVEX
sion Of and an embezzlement of them,
and that its officers have given false
and Inconsistent accounts of the where
abouts of the said stock and bonds. and
that the said Walter ]. Bartnett is lack
ing in integrity as to make him an unfit
person to act as special administrator
of the estate"
TEMPORARILY SUSPENDED
In acting on this petition the court
issued a perfunctory order enjoining
Bartnett TO show cause why his sus-
pension should not be made permanent
and suspending him Until further order
of the court.
The officers of the trust company are
ordered TO appear and show cause why
that company should not be displaced
and. removed from its position as de-
positcry OF the funds of the estate. and
1t is ordered to deliver to the court. or
to to receiver appointed by the court,
a fun accounting of all its actions in
regard to the estate and its affairs.
This action on the part OF the court of
Santa Cruz county scores a strong point
Tor the contestants in the long fight
for the estate Of Mrs. Cotton. which
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