The Dickinson press., 1913-06-21
CRAWFORD
AFFIRMED
Dickinson Gets Bond. Case in
Higher Court. Means About
$500 and Interest for
Two Years.

The supreme court handed down a
decision on the 18th in city bond case
which shows that So. 100 and interest is
to be recovered from the Northern Trust
Co. This affirms the decision of Judge
W. C. Crawford and the syllabus of the
case is as follows:
The City of Dickinson, Muni cipa(
Corporation.
Plaintiff and Respondent,
VS..
j. S. White and The Northern Trust
Company, Corporation,
Defendant and Appellant.
1. In an action by a municipality
upon the official bond of its treasurer
to recover for alleged defalcations a
jury was waived and the trial court
found that during the treasurer's second
term he was short in the sum of $645.-
ii. and that during his third term the
aggregate shortages amounted to more
than the penalty in the bond and he
was allowed a recovery for such short
ages in the sum of So. 900, the penalty
of the bond with interest amply
sufficient to sustain such findings.
2. Plaintiff instead of introducing
the books of the city in evidence for
the purpose of establishing the short
ages alleged, proved the same by intro
ducing in evidence certain receipts
given by its treasurer to the county
treasurer for sums paid by the latter to
the former as the proceeds of taxes COL
lected and belonging to the city, and it
followed this proof by official reports
made by its treasurer to the mayor and
city council wherein lesser amounts
were reported. Sufficient foundation
was laid for the introduction of these
re ceipts and reports, held, the treasurer
and his surety. The prima facie case
thus established is fully corroborated
by the testimony of its ex-treasurer and
other witnesses. Held, that such proof
was competent and amply sufficient to
establish the alleged shortages.
3. The question of the sufficiency of
the complaint to state cause of action
is not challengedby certain assignments
of error merely attacked certain findings
as not supported by the evidence.
4. A shortage shown to exist at
certain time will, in the absence of
proof to the: contrary, be presumed to
have arisen on account of defalcations
occurring during that term of Office and
not to include shortages occurring in
previous terms
5. The evidence discloses that defen-
dant White. the ex-treasurer of the
plaintiff and the principal in the bond
sued upon, was also county auditor of
Stark county, and to cover up:an admit
ted shortage in his account as city
treasurer existing on July 18th, 1909,
he issued fraudulent county warrant
payable to another and endorsed the
payee's name upon the back and on
such date deposited the same in the
First National Bank of Dickinson. such
bank giving him credit as city treasurer
on its books for said amount The trial
court found, and such find is supported
by ample evidence, that the bank re-
ceived such warrant merely for collec-
tion and that thereafter on discovering
the fraudulent character Of the warra mt
they charged such credit off its books
by debiting White as city treasurer
with the amount of such warrant.
Held that the above transaction did
not opera te to liquidate such shortage
so as to exonerate Whites surety on
his official bond.
s. The trial court allowed plaintiff
interest at the rate of per cent per
annum on the amount of such shortage
shown to exist from the expiration of
Whites term in which such shortage
arose.
Held, that such allowances were
oulAACACAIly AoNOldO1S " dppclldIll. 1lC
fact that the recovery. including inter-
est. exceeded the penalty of the bond
does not render the allowance of inter-
| est unwarranted.
(Syllab US by the Court.)
Appeal from district court, Stark
County, Crawford, j.
From judgment in plaintiff 8 favor,
defendant. The Northern Trust Comp
any. appeals.
Affirmed.
Opinion of the Court by Fisk, j.
Pierce. Tenneson & Cupler, Fargo, N.
D., for Appellant.
H. A. Burgeson and T. F. Murtha,
Dickinson. N. D.. for Respondent.