The St. Lucie County tribune. (Fort Pierce, St. Lucie County, Fla.) 1905-1920, 1907-07-26
FA(TS ABOUT
'M|AM|FA|LURE
:, roast Ice Company Heavily
~ ,..oIvpd in Bond Issue.
IMPORTANT DECISIONS
dLk. Mcdonald, Receiver OF
''' ~.,,o,, Bank, to Judge Shelby.
n.,,;,, Of Judges Decisions.

,.,,, AGAINST W. NJ. Brown, former
. " Of the drfunct Fort Dallas
r.tonal bank, of Miami its former
.Ssr, George r, Gomph, the Florida
=, Coast Ice Company, of Miami and
4. Empire Trust Company OF New
~ ba, been begun in the United
F,,,s, court by j. X Mcdonald as re
.;,., Of the Fort Dallas National bank.
ma netition of the compliments al
wa FRAUDULENT transactions, and the
~, IA asked TO declare certain sales
A and void. to order an accounting,
,oooiot special master for this pur-
40 10 enioln the further issuing of
MA, Nv the Florida East Coast Ice
Onvany, to place the ice company IN
hands of receiver, and for such
her relief as the petitioner may be
httled to.
The petitioner is represented by
ItOmeys Hudson 4 Boggs, Of Miami
A COPY Of the petition was placed in
office of Clerk F.. o, Locke Friday.
Nile the original was taken to Birm'
ghsm and presented to Judge Shelby.
viqe j. W. Locke being absent from
\ district.
TX. Mcdonald, as receiver of the
bit Dallas National bank, the defunct
am institution. sets up in his petit
kn the following allegations:
That prior to July 5, 1907, the Fort
AIas National bank was engaged in a
neral banking business, but that on
NJ date it was, by order Of the comp
dlsr Of the treasury of the United
hts, closed, and ON July 10. the APP
intel receiver (McDonald) was or
kdby the comptroller of the treas
to bring this action.
That the respondent, William NJ.
nvn, was a director Of the bank, and
president; that the respondent Geo.
GOmph, was a director Of the bank
It's cashier, and that Brown and
snph, were directors and president
treasurer respectively. Of the Flor
East Coast Ice Company.
Inen comes the allegation, as follows
which the action is primarily based:
mat on May II, 1907, at "a pretended
sung OF the directors of the Fort
was bank, at which it is alleged there
represent William NJ. Brown, Geo.
uomph and II. +. futile, it is
Aged that Brown offered to sell to
OanK bonds of the ice company, to
amount Of $lOO,O0U, as a portion of
issue Of $2OO,OOO alleged by Brown
~ns then ready, or nearly ready
issuance.
'at statement was presented to
saset that the company had earned
y cent on $5Oo,oOo capital stock,
US bonds We're selling at lO5. IS:
mat It was decided to take up POO of
pnds, at their par value. That
.Vl5' 1907, there is entered on
0Ss Of the bank the sum of 500, =
.afged to the account of "other
sno oonds," for 200 bonds of the
~ East Coast lee Company, and
~s proceeds of the said bonds were
! s'ed as follows:
e~ "e 'ndan River State bank, 500, :
~, ~ :. me bank Of Bay Biscayne,
.c N0'' TO note of the Florida East
pV"'pany %,l45; to note of the Flor
n a'' !. Coast 20 Ice Company, $4,000;
n y. ~ VI Florida East Coast Ice Com
IA Soco' to interest account on note
N s ~ SASS; on account of Florida
lr v ~ Ice Company is credited
N Mo- !, making the total of 500, 900.
Hs.' @e petition alleges that there
SssA no issue of bonds and none
NJ Az, me Florida East Coast Ice Com.
~, ass not executed nor delivered
tissue. v" 10 property TO secure
n. =, me said pretended sale OF
kl,ts'a WAS wholly pretended, wrongful
s ~. !, and fraudulent"
S, %e application of the funds OF
Atn"a,N',a was "wrongfully, unlawful,
Al, asu ~ disappointed"