Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911, 1909-01-13
WANT CARLSON'S
PLAN ADOPTED
DEP0SIT0RS FAVOR SCHEME
TO FURNISH BOND
COMMITTEE CHOSEN TO WAIT
ON JUDGE JAMES
Resolution Passed Approving Propo-
sition of United States Surety Co.,
Creditors Being Anxious to
Avoid Receivership

When the proceedings instituted by
Attorney General Webb for the ap-
pointment of a receiver for the Con-
Solidated bank are resumed in Judge
James department of the superior
court at 10 o'clock today, a. committee
selected from a majority of the de-
positors of the bank will be on hand
with a resolution adopted last night. 1t
indorses the plan advanced by attor-
neyS representing w. H. Carlson for
the furnishing of a bond by the United
! Surety company to pay depositors in
full, with interest to date Of payment.
Fully fifty depositors were present in
rooms 422-423 Billiard block last night
in response to the call issued by H. H.
Appel, Carlson's attorney. Carlson was
present, but took little part in the pro-
ceedings. Several times he started to
make remarks, but he was either in
terrupted or there was an undisguised
keffort to disregard anything he said.
Attorney Appel explained the pur-
pose of the meeting. The plan, he
said, if approved by the court, would
mean that depositors would receive
their money in sixty days or less, while
if a receiver was appointed and affairs
remained in their present chaotic con-
ditiOn, it might mean a payment of
not more than 20 to 25 cents on the dol
lar.
Adopted Unanimously
The following resolution was adopt
ed: Resolved, by majority of the
depositors of the Consolidated bank Of
Los Angeles, in public meeting assem-
bled, that we hereby indorse and ap-
prove of the plan of the United States
Surety company to pay off depositors in
full, 100 cents on the dollar, plus in
terest to date of payment, and we most
urgently recommend the same be APP
proved by the board of bank commits
sioners, attorney general Of California
and the superior court of Los Angeles
county, under such orders of the court
as may effectually secure to us said
payment"
This resolution was adopted by the
unanimous vote of those present, and
was signed by Otto Roye, named by
the depositors to act in the capacity of
chairman.
A committee, consisting of John F.
Bergman, John Jarku, Mrs. NJ. A. Me-
Donald, Mrs. G. FitzJames, and Dr.
Henry V. Berghall, was appointed to
present the resolution to Judge James
today, and to watch and report on the
court proceedings in the receivership
matter.
Carlson Before Justice
The preliminary examination of w.
g. was resumed before Justice Selph
yesterday, occupying two hours. 1t was
then continued until 2 o'clock today
no afternoon session Of court being
held, owing to the illness of the JUS
tice.
The examination dealt with the
charge of ENFORCEMENT of $4,000 from
the Consolidated bank April 9, 1908, and
only one witness was called. This was
Miss Ida McKittrick, vice president
and cashier of the bank. Her testimony
was for the purpose of establishing the
fact that Carlson was president and
director of the bank This was done,
and just before the noon hour a point
was raised by Carlson's attorneys
which is expected to involve much ar
gument. Attorney Appel contended
that the court was acting without jur-
isdiction, claiming the petition for a
change of name of the bank should
have been filed in the county in which
it was originally Incorporated
The Consolidated bank was incor-
porated in Sacramento county as the
Probate bank. Thence it was trans
ferred to San Francisco, where it was
koWn as the Manhattan Savings bank
and when Carlson purchased the char
ter he removed the institution to Los
Angeles, naming it the Consolidated
bank. The prosecution, meeting the
contention of Carlson's counsel, says
the point raised will have no effect,
as the code provides for the filing Of
petition for change of name in any
county where the property is held.
Deputy District Attorney Ford has
been added to the prosecution, to aid
Deputies Blair and Horton.