Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1909-09-18
STATE OF MAINE.
Kennebec County. Supreme JUDICIAL
Court. In Equity.

Court, Equitys
william B. Shelton, Bank Examiner We
Wateryille Trust Company.
The petition of Charles F. Johnson and
Harry L. Holmes, Receivers Of the water
Vile Trust COMPANY. respectiuiiy r SHOWS %s,
positors in said Company are also makers
sureties, or endorsers, upon certaii,
promissory notes due and owing TO saia
Waterville Trust Company; and that sad
parties claim that the full amount OF
their deposits Should be allowed by inc
Receivers in set-off to the amount due
upon said notes, whether otner oeposaoiS
are paid in full or not. al,
q It also shows that in accordance win
the well established custom among banks,
checks drawn by certain deposltors upoi,
the said Waterville Trust Company mad
been presented to the Clearing House AS
sociation in Boston, in the state OF Mas
sachusetts. and forwarded by SAID Asso-
ciation to the Watervil!e Trust Company;
said checks had been marked paid ana
charged to the account of the deposltor'
drawing them and draft mad peen
drawn by the Treasurer OF said Maaer-
vile Trust Company on its correspOn-
dent, the First National Bank OF Boston
in favor of the Clearing House Assocla-
ton and forwarded to said Association
before an order was received from the
Court prohibiting the Waterville Trust
Company from transacting any further
business 1t also shows that before said
order was received other checks had been
forwarded to it by said Boston Clearing
House Association for which no draft had
been drawn. 1t also shows that before
said order was received. certain drafts
were drawn by the said Waterville Trust
Company upon the First National Bank
of Boston, The Atlantic National Bank
Of Boston, Massachusetts,, the Liberty
National Bank Of New York City ana the
tCasco NATIONAL Bank of Portland, Maine.
in favor Of certain parties, and SAID
drafts had not been presented for pay
ment at the time said order was received:
8 It also shows that the Treasurer OF
said Waterville Trust Company. and the
cashiers Of. its several branches had
drawn Treasurer's or Cashiers checks
and delivered the same to certain parties
upon their deposits or in cash; and that
these Cashiers checks were unpaid at the
time an order was received from the
Court prohibiting the Waterville Trust
Company from transacting any further
business.
a. 1t further shows that the said Water
vile Trust Company was the trustee
named in certain trust mortgages and
that according to the provisions OF SAID
trust mortgages coupons due upon the
bonds secured by said trust mortgages
were made payable at said Waterviile
payment Of said coupons when they
should fall due the mortgagor company
In said trust mortgages had in some in
stances made a special deposit with the
trustee 'and-that said deposit had not been
applied to the payment Of said coupons
at the time Of the receipt of said order of
the Court
s. 1t also shows that after the close Of
barking hours upon Saturday, May g. 1903,
certain parties gave to the officers or
agents of the said Waterville Trust. Com
prny, at its banking rooms, certain de-
pCsits to be entered upon the books of the
said Waterville Trust Company. to their
credit. at the opening of the bank upon
the following Monday morning, but that
before the Bank was open on said Mon
Il, 4 orIn of Nn TN0tI~ 6
received.
G. 1t also shows that the Waterville
Trust Company had banking rooms at
Waterville. Dexter Newport. Corinna and
Hartland, in the state of Maine, and was
authorized by it's charter to carry on
the business of a trust company in each
of these places; that its principal office
was at Waterville. Maine. and that its
treasurer conducted it's business at its
banking rooms in that city under the di-
rection of its president and board of di-
rectors: that cashiers were appointed by
its board of directors to conduct the bus
mess of said Waterville Trust Company
at its banking rooms in the towns in
this State, above named: that daily re-
ports Of the business transacted were
Maine. by these cashiers, and that all
leans were passed upon by its board OF
dire ctors at WatervilIe, Maine; that GER
tain depositors in what were known as
branches of the Waterville Trust Com
pany in said towns Of Dexter, Newport
Corinna and Hartland, claim that they
should be paid in full whether the assets
pay all depositors. including those at the
Waterville bank in full or not, and that
If the assets should not prove sufficient
to pay all in full, that the loss. should
fall entirely upon depositors In the Wa
tervlle bank.
Z. 1t also shows that A. II. Emery a
few days previous to the receipt of the
cr.er of the court, deposited with the
Vat 1t i.
banking rooms in Corinna Maine, draft
of $60S63 drawn on a certain party in or
near Boston. Massachusetts. This draft
was left for collection and credit and no
ertry was made upon the books of the
Waterville Trust Company other than {.
memorandum that such a draft had been
Boston. which was the Boston correspon-
dent of the Waterville Trust Company.
On May nth. 1909. the said First Nation.
al Bank of Boston received payment of
the same. $6OS63. to the credit of the Wa
terville Trust Company, although the
Waterville Trust Company said date
had been prohibited from receiving or
making payments on account of deposits.
Your petitioners, therefore. as said re-
ceivers, respectfully ask the court to in
struct them:
/. Whether or not they shall allow in
seI-off to the makers, suretfes endorserS
or guarantors, upon notes due and pay
able to said Waterville Trust Company.
the fuil amount of their deposits In said
Waterville Trust Company, where the
amount due upon said obligations or notes
exceeds the amount of said deposits.
g Also whether or not the drafts
drawn by ~fhc treasurer of said Water
vile Trust Company to cover the checks
forwarded from said Boston Clearing
House Association. and the drafts drawn
by the said Waterville Trust Company
upon its correspondents in favor of GER
tain parties as hereinbefore stated shall
be treated by the petitioners as preferred
claims and entitled to priority over 9TH
err claims. Also whether the claim of the
Boston Clearing House Association for
checks presented to it and forwarded to
the Waterville Trust Company and by It
marked paid" and charged to its de-
positors, shall be treated by your petit
TONERS as a preferred claim and entitled
to priority.
g. Also whether or not your petition
ers, as said receivers, shall pay in full!
said treasurer's or cashiers checks. above
described.
4. Also whether or not your petition
ers. as said receivers. shall pay in full
me special deposits made with the said
Nateryille Trust Company as trustees, to
meet the payment OF coupons upon bonds
secured by trust mortgages in which said
Waterville Trust Company is named as
trustee. as stated iris the above petition.
o.. Also whether or not the deposits
made as stated in said petition. with Off
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