The silver state news. [volume] (Winnemucca, Nev.) 1907-1909, 1909-03-20
REPORT OF LECIS-
COMMITTEE

The committee appointed under
joint and concurrent resolution of the
senate and assembly to investigate the
affairs of the State Bank and Trust
company reported TO the two houses as
follows:
10 the senate and assembly of the
state of Nevada:
We, your committee appointed I'M
der and by virtue of substitute for as
sembly joint and concurrent resolution
No. IA, have investigated and made in
quiry into the matters referred to us
by said joint and concurrent resolu-
tion, and beg leave to submit our re
port as follows:
Owing to the exceedingly limited
time given your committee and to the
great mass of work to be performed in
said Investigation, especially that in
relation to the affairs of the State
Bank and Trust company, your com
mittee feels tina. it is unable to report
fully upon the matters referred to it,
and at best the report is very meager
and not such as the committee feels
could be made in the premises, especi-
ally in regard to the manner of con
Quoting the State Bank and Trust com
pany and its administration of affairs,
Under the resolution referred, four
specific questions were submitted to
your committee and we beg leave to
report the facts as nearly as we were
able to find them.
The first question p%ropounded was:
1.-The action of the State Bank Com
mission in connection with closing Of
the State Bank and Trust company
In reply will state that shortly after
the closing of the State Bank and
Trust company, on October %, 1907,
the State Bank Commissioners appoint
ed NJ. II. Miller, Esq, to be bank ex
aminer, and directed him to immediate
ly proceed to investigate the affairs of
the said State Bank and Trust com
pany. On November 16 the said NJ. H.
Miller made his report to the State
Bank Commission and by said report
showed that the State bank ana Trust
company's liabilities exceeded its as
sets in the sum of $2,S73.25, but On ex-
animation before the commission ia
formed them that he was compelled to
guess at some Of the figures.
The report not proving satisfactory
to the commission. they directed him to
further investigate the affairs Of the
/ State Bank and Trust company and
10 report to them. which he did, max
ing his second report March 5. 1908.
That report showed the bank to be sol
vent. and, excluding the liability due
the stockholders. the bank "a be able
to pay off all liability and then have a
surplus of ~s524,575.10 to be applied to
the liability due the stockholders.
The commission took no further
steps after the report, but merely held
the matter in allegiance, awaiting some
steps to be taken upon promises made
them by the reorganization or rehabili-
tating committee of the said State
Bank and Trust company. The reor-
ganizaton committee did not succeed in
carrying out its plans and o. the 23d
day of April, 1908, the bank commits
sion directed that a receiver be apoint-
ed and a Mr.. Frank l.. Wildes was APP
pointed receiver.
In answer to the third question,
Z" Ascertain whether or not said com
mission obeyed the law in regard to
securing the appointment of a re-
cever for the said bank" If the first
report of NJ. II. Miller was correct the
commission did not obey the law. If
we assume the second report made upon
a later investigation to be correct the
commission did obey the law.
nj answer to TIE third question:
"'Whether or not said commission per
mitted the oIheers of said bank to
trade accounts the committee al
swers: Yes.
In answer to your fourth question.
''If so. whether or not said trading