Amador ledger., 1908-06-19
SUFFER- CREEK BANK
Hearing on Petition to Gust
Receiver.

Inc hearing on the petition of j. =.
Allen for the removal of the receiver,
Fred Eudey, was had in the superior
court yesterday morning. The petit
TONER, 1. =. Allen, was personally
present, also jackson Dennis, the late
president of the defunot concern. r.
=. Bole appeared as attorney for the
petitioner, and A. Caminetti for the
receiver. A number of Sutter Creek
people, interested in the matter as
denositors or stockholders, we're also
present during the proceedings.
The court proceedings we're brief.
Mr.. Bole read the petition, which set
forth that the petitioner was the
owner of 50 per cent of the liabili-
ties, and also 50 per cent of the
capital stock of the bank. On this
showing it was commended the court
should as matter of equity dis
Charge the receiver, and allow the
petitioner to assume full charge of
the business.
Mr. Caminetti interposed de-
murrer, setting fourth nine or ten
grounds why the petition was in
sufficient to warrant the court in
acting in the premises. The conten-
ton was that there was no authority
i'll law to discharge receiver on the
showing made. The bank had been
judged insolvent, and a receiver had
been appointed to wind up its affairs,
and now proposition was made to
allow it to resume business simply
because 50 per cent of claims and
capital stock had been gathered into
one PERSONS hands.
Mr. Bole wanted the court to with
hold ruling on the demurrer, and
hear the matter on it's merits. He
proposed to show by Mr. Allen that
more than So per cent of Liabilities
and bank shares we're owned by petit
toner.
The court interrupted the counsel
to inquire what right the court had
to remove receiver under the state
of facts ia this case. The court had
taken possession of the bank, and the
receiver was the officer of the court
to protect all parties concerned; to
gather in the assets, and pay out the
money to creditors as soon as sutfi-
cient funds we're in his hands TO pay
a dividend. A receiver could be re-
moved for misconduct on a proper
showing, but nothing of this kind
was alleged in this matter. If one
man had bought up all the Liabilities,
that fact would relieve the receiver
of so much responsibility. But the
showing to the court must be made
through the receiver. The court
plainly intimated that he could not
remove the receiver on any such
grounds as we're presented by the
petition. The decision on the de.
murIer was reserved, to enable the
parties in interest to get together,
and see if some arrangement salts
factory to all parties could not be
made, and thereafter presented to the
court through the receiver.
A. Caminetti stated that as attorney
for the receiver he was perfectly will
ing to step down and out, if by so
doing the depositors could be bene-
fitted. lie had no desire to stand in
the way Of settlement.
In the afternoon the parties having
held a consultation, the court again
convened, and attorney Bole moved
that the present proceedings against
the receiver be dismissed without
prejudice. 1t was so ordered.
1t was stated that some other steps
might he taken to get the bank on its
feet. The same afternoon the assignee
Of the bulk of the depositors, with
his attorney, was engaged in prepar
ing the necessary paper to submit
some definite proposal to the re-
ceiver, and in that shape the matter
stands up to the time of going to
press.
AS preliminary to the proceedings
yesterday, meeting of the depositors
was held in Suffer Greek Wednesday
evening, at which jackson Dennis
and |. Z. Allen we're present. The
latter made an address, outlining the
course proposed, and requesting all
depositors and others interested to
place their interests in his hands. 1t
was assumed that the larger the per-
centage of depositors turning their
accounts over to him the better the
chance of getting the receiver dis,
placed.