The Raymer enterprise., 1912-08-08

could be drawn" :
A light Of cunning came into Egan
Bedford's face. 81 know that" he
said; "but the bank is better than any
mans account. made the bank stand
good for the checks"
"How?" said Stratton, and / thought
there was the faintest shadow Of a /,
smile fitting about the corners Of his
eyes.
Bedford's broad face lighted with
victory. He thrust his hand into the
bosom Of his coat, took out letter
and telegram and spread on the
table. There" he said, ''is the banks
guaranty In black and white and yell
low" Then he added. with sneer.
Il guess your banks not broke; is it,"
The lawyer moved some papers un.
til he found printed statement. "The
bank" he said. has assets valued at
thirty-five millions of dollars; its liza
bilities are some ten millions. That
would be. believe. twenty-five mil.
lions above insolvency"
'Then," said Bedford, II want my
money"
Doubtless" replied Stratton.
Bedford exploded with anger. II am
tired Of this confounded nonsense!"
he shouted. "If the bank won't pay
these checks. will sue It"
Then you will lose" replied the
lawyer quietly.
'Lose!" cried Bedford. "The bank
guaranteed these checks. tell you.
There is the guaranty; don't you see
it," and he pushed the papers across
the table with his fat hand.
Il see It," said the lawyer; but 1t
is not worth filing room"
WHAT" shouted Bedford.
This guaranty of the Fifty.eighth
National bank" continued Stratton,
rs utterly void"
Bedford plunged back on his heels
like man struck violently in the
breast. He waived his fat arm at
his counsel. whom he hitherto had ig- /
nored. Judge" he gurgled. Judge. !
do you hear that?"
Judge Hacker. whose knowledge of
the law Is said to equal that OF any
practitioner in New York, arose and
came over to the table. He nodded to
US. then he spoke quietly to his con-
frere In the law.
"Stratton." he said. give me accu.
rately your position in this matter"
Coleman Stratton touched an elec-
trio button. scribbled a memorandum
on scrap OF paper and handed 1t to
the office boy who entered. Then he
turned to Judge Hacker.
This contract Of the Fifty-eighth
National bank with Egan Bedford &
Co. is one, purely of guaranty. and Is
ultra wires on the part of the bank.
The Revised Statutes Of the United
States give national bank no author
ity to guarantee the debts OF another.
A national bank, as you are aware,
cannot exercise powers in excess Of
those conferred upon it by statute.
Egan Bedford & Co. and. for that, all
persons equally with the bank are
bound to take notice Of the statute.
The guaranty is void and the bank is
not liable"
Judge Hacker listened attentively.
Have you the Revised Statutes?" he
said.
YES" replied stratton, handing
him the volume Section 513S."
Judge Hacker opened the book on
the table and began to read 1t care.
fully. In moment he looked up. DO
you know Of an authority constituting
this statute?" he said.
Mr.. Stratton touched his bell, and
the office boy came in with copy OF
the Federal Reporter" Stratton
handed the book to Judge Hacker.
page $685." he said.
Judge Hacker took the volume to
the window aud went carefully over
the case. Egan Bedford followed him,
peeping nov over and now under his
arm. as though the lawyer were exam.
lining some iucomprehensible Internal
machine. HIS face was tense.
The whole plan Of Randolph Mason
was now laid open. Plain. even to
young Winfield Gerry. He slipped his
hand into mine and wrung 1t.
Presently Judge Hacker closed the
volume and returned 1t to the table.
Then he spoke to Stratton. "You seem
to be right about this" he said. This
decision Of the United States circuit
court Of appeals appears conclusive.
The Fifty-eighth National bank did
not receive this money and conse-
quently It cannot be taken to be In the
position Of obtaining benefit by its
void act This money was paid to
Winfield Gerry and not to the bank"
Then he turned to Egan Bedford. You
will have to look to Mr.. Winfield Ger.
ry for the payment Of these checks"
Bedford raised his arms above his
head and dropped them with hope
less gesture. Sue him. sue that fel.
low!" he cried. 'He is not worth q
tinker's dam. He hasn't dollar!"
Young Gerry took out his purse,
stripped of his rings, unlocked his
pearl pin from the tie and handed
them to Bedford "You ara mista ION