The Lee County journal. (Leesburg, Ga.) 1904-19??, 1908-01-03
BANK NAMED
AS RECEIVER
State Of Georgia Turns Over AFT
fairs 81 Broken Neal Concern.
BENEFIT TO DEPOSITORS
Central Bank and Trust Corporation viii
Assume Responsibility Of Winding Up
the Business on Favorable Basis.

BY an order Of Judge ]. T. Pendleton,
issued at Atlanta Tuesday afteroon, the
Central Bank and Trust Company was
appointed receiver Of the Neal bank.
Under the order of the court and
under the act Of 1907. the recently en-
acted banking law, Attorney General
Hart filed the bill for the receiver,
thereby saving to the depositors and
creditors ten per cent on the assets.
In word, the Central Bank and
Trust corporation, of which Asa G..
Gambler is president, has taken over
the affairs Of the Neal bank at p ~ per
cent, as against the 5 per cent allowed
by the last legislature.
The fact that the petition is filed by
the attorney general eliminates the item
Of attorneys fees for the creditors It
is stated that a dividend will be de-
clared to the depositors within the next
ninety days. Just what this dividend
will be is not known. But there will
be a. dividend.
AS soon as the failure of the Neal
bank was made known, Governor Hoke
Smith took an active interest In Its at
fairs. He realized that at this partic-
ular time that, in view OF the legisla-
tive enactment of the last session, the
time was ripe to wind up the affairs
OF the Neal bank in fashion which
would have the greatest possible return
to the depositors.
On Monday he had a lengthy confer
ence with State Treasurer Park and
Tuesday he followed this up with a
long talk with the officials Of the bank.
AS a result, he decided that only one
course was open Ito bring proceedings
against the bank and to have 1t placed
in the hands of a receiver.
The provisions of the new banking
law are, briefly stated, that when the
state bank examiner takes charge ana
is satisfied that the bank cannot re-
sumo business to the best interests of
the depositors, areceiyer shall be APP
pointed.
AT shortly after s o'clock Tuesday
afternoon petition, drawn by Attor-
ney-General Hart, applying for a re-
ceiver, was presented to Judge John +.
endleton and the following court order
was issued:
The foregoing petition read, consid-
cred and ordered filed. 1t Is further or
dered that the receiver hereinafter
named shall take possession Of all Of
the assets of said bank OF whatever
character, including the $192,5O2. 80, as.
serted in the petition to be the property
Of the state subject to the right Of the
state to be paid hereinafter as a pre-
ferred creditor Of the said bank. It is
further ordered that the Central Bank
and Trust corporation be and is hereby
appointed receiver, and that 1t give a
good and sufficient bond and security
Of 100000, to be approved by the clerk
of this court for the faithful perform.
ance of its duty as such receiver; and
upon the further condition that it's com.
pensation shall not exceed ~ per
cent of the amount realized and paid
out from said assets, said 2 ~ per cent
to cover all expenses, including attor-
ney's fees. It is further ordered that
said receiver proceed with all conven.
tent speed to make out and file com.
plete inventory Of all Of the assets and
liabilities Of said bank.
This order is made after considering
the sworn petition and answer, Decem.
Der "a 1907.
J. T. PENDLETON. Judge
This order was accepted by the Cen.
~ !.