The Bourbon news. [volume] (Paris, Ky.) 1895-19??, 1914-07-14
commissioners Sue Louisville
and Cincinnati Banks
For Notes.
ASSIGNEE FILES
HIS STATEMENT.
DepositorS Hold Second Meet
ing and Perfect Plans
For Action.

Thomas J. Smith, of Frankfort,
State Banking Commissioners, and
Buckner Woodford, of Paris, Special
Deputy Banking Commissioner, who
are winding up the affairs of the
hank of George Alexander & Com
pany. State Bank, of Paris, filed suit
in the Jefferson Circuit Court Thurs
day AGAINST the American National
Bank, of Louisville, to secure the re-
turn OF notes aggregating S35, 21l.17,
held as collateral by the defendant to
secure a loan of $4,000 made to the
defunct Paris bank July 1, 1907. The
plaintiffs ask that if the notes can
not be had, that they be given judg-
ment for their value and damages, no
sum being specified.
1t is alleged that at the time the
Alexander bank suspended it had on
deposit with the American National
Bank s1O,S37.45, which the plaintiffs
claim should be in their hands. 1t is
claimed a check for the amount was
drawn in favor of j. j. Williams, at
torney for the plaintiffs, but that pay
ment AT the American National Bank
was refused.
Ii is also alleged that Attorney
Williams made demand on the bank
for the return of the notes, or the pro-
ceeds that might have been realized
on any of them, and that this demand
also was refused.
The plaintiffs claim that the high
est amount of indebtedness or liabili-
~ which George Alexander & Co., un-
der its articles of incorporation might
incur. is $4,000, and that it was not
M
person or corporation in excess of
that amount. 1t is alleged that at the
time the loan was made by the Amer
lean National Bank the Alexander
hank was already involved in a sum
in excess of that allowed by law. IL Is
claimed that. under the conditions,
the defendant bank had no authority
10 execute the loan to the Alexander
bank, and that the notes are Volo
Plaintiffs claim it is necessary to Sc
cure the assets held by the American
National Bank in order to satisfy al
creditors of the Paris institution.
The bank of George Alexander
Co. of Paris, was placed in the hanos
of State Banking Commissioner mos
J. Smith, May 10, 1914, and since lhei
it has been under the personal super
vision of Buckner Woodford, ap
pointed by Commissioner Smith u
wind up it's affairs, and Judge JONI
NJ. Lassing, of Newport, and }. D. WI
liams. of Paris, attorneys for the Dep
uty Commissioners, and the depoSlIors
The former president is now unue
more than thirty indictments ana
at liberty on bond of $4,000 awaltlni
trial at the next term OF the bourbon
Circuit Court at Paris in the fall
Alleging that the George Alexande
& Company Bank, of Paris, and IL
president, George Alexander, hao III
authority. under the banks charter
10 borrow $4,000 from. the Flftf
Third National Bank, OF Cincinnati
and give as collateral promissor
notes aggregating $4,000, suit wa
instituted in the United States Dl
rrict Court by Thomas j. Smltl
Banking Commissioner, and Buckne
Woodford, Special Deputy Bankln
Commissioner of Kentucky, agaln'
the Fifth Third National Bank,
cincinnati. to recover the collateral
its money value. Judgment Tor 80
600 is asked.
In the petition it is alleged that
January %, 1914, the Alexander Dai
borrowed $4,000 from the Fifth-Thl
of Cincinnati, giving its note for $l
600. payable in four months; tnat
March 2. 1914, it borrowed $l5,O
more on a note payable In 10
months and that on May 5, it exec'
ed another note for $4,000, pagan
in eixty days. Each OF these not,
the plaintiffs claim, was signed
the bank, "per George Alexano
President" and the notes were assis
ed the Fifth-Third as security lor
$4,000 borrowed.
A. second meeting of the deposlte
of the George Alexander q Compa
Park. was held Friday afternoon
the Catholic Club room on III
Street. The depositors present W.
addressed by Judge John M. LASH
Of Covington. and Attorney Jonn
Williams, of Paris, both OF Mh
have been appointed by State Ba
ing Commissioner Thomas j.. Sm
to look after the interests OF the q
itors. Judge Lassing stated that
felt confident the depositors wo
receiver a good sized share OF u
deposits. as there will probably
about $4,000 for Distribution anu
them, if the litigation involved Is :
cessful. This amount includes p
900 in cash and collectable pa