The Eureka sentinel. [volume] (Eureka, Nev.) 1902-current, 1912-09-14
SUPREME COURT DECIDES
EUREKA Co. BANK CASES
Smiths and Other officials OF
the Bank Evade Trial I'm
der Banking Laws
Special dispatch to Reno Journal

~ AAANu
others on a writ Of hsbeas corpus
and dismissed q writ Of prohibition
against Judge Moran of the District
COURT for Washoe County forbiddiue
him to hand down an opinion relating
to the same subject.
The court held that the indictments
under which it was sought to try Smith
were invalid because the law under
which they were drawn had been re.
pealed aud superseded. II construed
the law to apply to an officer of any
bank taking deposits when insolvent
only in case that officer was present and
actually participated in receiving the
money. Itreqoired actual knowledge of
the reception of deposits in such man.
ner.
The law Of 1909 relating to the max
Ing OF false statements concerning a
bank was repealed by the Law of 1911
before the indictments were drawn. and
the latter act refers to the publication of
false statements. In this case the court
says any crime claimed should be al.
legged and made triable where the oath
attached to the article published was
taken. The grand jury has Jurisdiction
to indict for only those offenses com.
United within the county.
This case was entitled the State Of
Nevada against o. J. Smith, Harry
Golding, O. II. German and John Han.
cock. The defendants finally got the
matter entirely before the Supreme
Court and the whole controversy was
gone into.
In Reno. Smith was arrested and
sued out a writ of habeas corpus in
the district court before Judge Moran.
Before the decision was handed down
application was made to the Supreme
Court and a writ gotten to prevent hand
ing down the decision. The defendants
filed a paper of dismissal. The Su.
preme Court denies the writ Of prohibit
ton, taking the position that the papers
could not operate as a dismissal.
The entire matter arose ont of the
failure of the Eureka County Bank at
Eureka three years ago. Several prose-
cutions were attempted, but all failed.
In the last hearing Mack. Green, Brown
& Heer and O. r. LEVERS assisted At
torney General Baker and District At.
torney McParlin of Eureka in present
ing the side of the State. James Glynn
Of Reno appeared for the defendants.
History of Above Gases
The Eureka County Bank closed it's
doors on March 90. 1910. owing its de-
p%ositors nearly $500. 900.
Since that time the Bank has paid in
dividends 90 cents on the dollar. or
about SIG 900, which lie about ali that
can be realized, leaving a balance due
depositors of about $4,000.
In April. 1910. a grand jury was
called which found indictments against
Oscar J. Smith, b. L. Smith and w. Z.
Griffin, officers of the bank. These
cases were taken before the Supreme
Court on a writ OF habeas corpus. and
after several months the defendants
were discharged on the grounds that
the indictments were defective.
Late in 1910 warrants we're sworn out
IN the Justice Court of Eureka against
the above defendants, and the warrants
were served in Reno.
In January, 1911, this matter came
before Judge Moran of Reno on a writ
of habeas corpus, and the case was
argued for nearly a month before said
Judge. In April. when about to render
a decision in this matter, q writ OF. pro.
hibltion was sued out in the Supreme
Court restraining him from rendering a
decision. A writ of habeas corpus was
also applied for at the same time.
About this time another grand jury
found indictments against the above
.aed parties and also against y. d..
German, Harry Golding and John Han
cock. ST., who had also been officers OF
OF the bank. These parties were ar
rested by the State Police. and they
also obtained writs of habeas corpus on
these last indictments. These latter
cases we're finally argued and submitted
10 the Supreme Court on September 9,
1911, aud the decision rendered this
week by that court is the outcome OF
matter.
This decision is a sad disappointment
to the people of Eureka County, not only
IN the depositors of the Bank. but TO it's
officials and taxpayers, for the money
expended in endeavoring to bring these
men TO trial.
Is it impossible for the Legislature OF
this State to frame laws that Will cover
Gases like these, that have occurred Ia