The San Francisco call., 1908-07-28
PROMISES TO
HELP RECEIVER
Attorney for Bank to Secure
Dismissal of Appeal From
Appointment of MOOser
Urges Officers of Institution to
Expedite Settlement by Re-
turning Deposit Books

Oliver Ellsworth, attorney for the
Market street bank officers AID him
self one of the directors of the closed
concern, has had an extended inter
view with Superior Judge Sturtevant
during which he promised TO use his
utmost influence with the officers to
secure a dismissal of the motion for
appeal from the court order appoint
ing II. II. Mooser receiver for the in
stitution. The appeal was to have been
undertaken in the interest and for the
benefit of the Market street securities
company, a corporation organized in
theory 10 save the Market street bank
and in practice TO conduct financial ne
gotiations on the strength Of assigned
claims against the bank in the form
Of pass books and certificates OF de-
posit.
Under the terms of the contract on
assignment. it is said, the transfer of
the bank books becomes void in the
event of the appointment of a receiver.
The receivership matter is now in
statu quo, owing to the pending appeal,
which was filed on a bond of $500.
To perfect that appeal and remove the
receiver a bond OF s245O00 must be
deposited by the officers of the bank
or in their name by the securities COM
pany.
Ellsworth said that he would oppose
the continuance of the appeal proceed
ings and promised Mooser to take up
the matter with the other directors to-
day.
THE interests of the depositors come
first" said Ellsworth. Rather than
keep poor people out of money 1t is
better that the officers of the bank
meet the receiver half way and expe-
dite the settlement OF the affairs of
the bank. The securities company
should give up the books"
Receiver L. H. Mooser of the bank is
positive that there have been viola
tions Of the law both by the officers
OF the Market street bank and of the
Market street securities company. He
viii make an effort TO bring the tangle
10 the attention of the grand jury. AS
sistant District Attorney William HOh
Cook stated last evening that nothing
would be done until charges had been
made to the district attorney and an
expert had investigated for that office.
At the offices OF the Market street
securities company yesterday afternoon
it was said that il was the intention
Of that corporation to give up the
bank books Immediately If the appeal
was dismissed. F. NJ. Meigs. president
of the concern, was not in. To the
best OF the knowledge of those in the
office he was out rounding up the elu-
SlhE -+OsvUo neGOe0 on the appear DOnu.
L. II. MOoser, the receiver of the
bank, and his attorney went deeper
into the Burlingame terrace deal yes
terday and for a while were in con-
ference over the matter with Attor
ney Ellsworth. In the accounts on
the proposition Ellsworth was down
as having received $3.50 Ellsworth
explained that he paid that sum on
behalf Of the bank to Judge Allen,
attorney for the Mutual trust company.
owners of the tract. as part payment
Of loan made by the bank TO the
trust company.
It developed yesterday that the Mar
ket street bank did not really own the
Burlingame terrace tract. Mooser ex
planned the deal in this wise:
The Mutual trust company purchased
the property, paying $30,0 down, and
gave mortgage for $4,000. Then
ii borrowed money on the tract from
the Market street bank and decided
the property 10 F. d. Sylvester. q clerk
in the bank. and agent for the prop
erty. Then Sylvester borrowed $154,
600 in cash from the bank on this
property for which the Mutual trust
company had only paid $4,000. and in
addition 10 the cash paid the bank as
sumed the mortgage of $4,000"
sylvester decided the property to the
bank to protect its interest in the af-
fair should he die, according to Ellis
worth.
The executive committee Of the Mar
ket street bank depositors' protective
association met last evening at 1885
Geary street Committees were ap-
pointed TO negotiate for counsel and to
demand Of the Market street securities
company a return Of the pass books.
Those committees will report back to
the executive committee tonight. Mrs.
c. V Cook was appointed treasurer un-
der $1,000 bond.