The Mena weekly star., 1912-02-08
M|STRIAL IN THE
LOGAN BANK CASE
Six for Conviction and Six for Ac-
quittal of Ex-senator, Cash
Ter of Grannis Banl-Testi-
m0ny OF Witnesses

Logan, accused of violating the Ar
kansas law by receiving deposits as
cashier of the Bank of Grannis and
tried at DeQueen on change OF
venue from Polk county, resulted
in a mistrial, the jury standing six
to six. A mistrial was entered and
the case continued to the next term
Of court. The Bank Of Grannis was
organized with a capital of $4,000
but it has since been shown that
not one-fifth of the amount was
ever paid in. w. M. pipzin, receiv-
or of the bank, estimates that the
assets of the bank at the time he
took charge were from $4,000 to
$4,000, and the liabilities from
: So. 900 to $4,000
Mr.. pipkin testified that the s.
NJ Cewan notes, first made to Lo-
gan and endorsed to the bank, had
face value of $1,000, and were
actually worth about 500.
Mr.. pipkin estimated the value of
the i7-acre Russell tract at $3.50.
he Sdlu lie tOuHu llldt tHt DdHh
of Grannis had 81 ,29i in a Fort
Smith bank, and owed that same
institution $1,000. IT had Si67 in a
Kansas City bank, and owed the
same bank $1,000.
Among the assets were some JUS
tice of the peace court judgments
for S29a8i, which, in his judgment,
fofx h n
other notes owned by the bank he
considered worthless.
Mr.. Logan's note for s3,775, given
in payment for bank stock, he con-
sidered worth about 1915.
Mr.. Logan's home place, which
he decided TO the bank, he consid-
cred worth about $1,000 and it was
mortgaged for that amount when
decided
The Schooley place of 100 acres,
also decided to the bank by Mr.. Lo-
can. he thought to be worth from
81 200 to $500. 1t was mortgaged
for 81 200.
Undivided one-half interest in
the Coyle lands decided by Mr.. Lo-
gan to the bank, he thought to be
worth $3.50.
The deeds by which the defend
ant and his wife conveyed real
estate TO the bank, stated con-
sideration of $500.
He found two notes executed by
Mr.. Logan, one for $4,000 and one
for $500, both marked paid, but
~ - anl q ronnp1 of thair nov
ment in the loan bank. The real
estate was conveyed by Mr.. Logan
To the bank on the date on which
the notes were marked paid.
On ross-examination Mr.. Pipkin
said Mr.. Logan might not have
drawn the full sum indicated on
The face of the notes. The bank
building was about II or i6 feet
wide: had a concrete floor in part
Of it. An addition had been built.
The building contained vault. Mr..
pipkin estimated the valde Of tho
building at $40 He based his es-
innate of tho value Of the Logan
stock note on what was realized out
OF it in an attachment suit, which
was about 1915.
w. f. Hungate. former presi-
dent Of the bank. estimated MI,
Logan's stock note to be worth not
over 5000.
G. NJ. Smart, cashier OF the Mer-
infants National Bank Of ut. Smith,
prior to the receivership, had sent
IA the Bank Of e;rannis a cash let
ter containing checks for S775.59
He sent the letter by registered
mail and had receipt for same
He never received any returns from
it.
T. w. Kirkwood. auditor OF the
Little Rock Bank Of Commerce,
sent five cash letters to the Bank OF
Grannis. prior to the reccivership
containing checks on the bank for
Il S7i097. Never received any re-
turns. On cross-examination Mr.
Kirkwood said he did not person
allv know The letters letters were either
r mailed or received. Explained the
banks system Of handling such
business.
A number Of witnesses following
4N ltSllUp0 Cliltily DIS W ldhu 'oAoSH
in the vicinity of Grannis.
Miss Myrtle Alison testified thai
3 she was assistant cashier OF ths
q Bank of Grannis prior to the time
it closed said she was authorized
to receive deposits, which authority
s. was not revoked at any lime.
Senator John P. Logan, the de-
81 PENDANT, testified in substance al
follows:
Am now living at Texarkana
Lived at Sloan Springs prior u
going TO Grannis. Bank BUILDING
cost in neighborhood of 5000; 10
cost about $50: an addition to tn
building cost about $3.50. Had thu
property listed as assets at what
cost, $780, Hungate was the frs
president OF the bank; Poe wa
s president later.
In 1908 I was a candidate for IN
senate. When | made The Si-50
Aole was carrying an overdrai
apd made the note as evidence Q
dc Overdrafi. My wife mortgages
Dur home place TO take up tn
overdraft. The bank didn't shoy
aserdrafts on pass books, Do
placed them in vault until deposit
s Here made TO cover them.
! was candidate for president Q
a. faef eanala and haoan a f0rfp