The Waterbury Democrat., 1935-09-24
Motion by Receiver for Compensation

The question of the compensation of the receiver in this case has arisen at various times since the receiver was appointed. No de- tailed statement of facts is called for in this memorandum since they have been so frequently rehearsed in detail and in summary at various stages of this proceeding. Such a summary is contained in Judge Cor nelrs memorandum on this same subject, document No. 971. As found by him, when the bank re- luctantly assumed the responsibility of this receivership "the Receiver Bank, undoubtedly actuated by q desire to successfully perform g task of important public implica- tions, has through it's officers and counsel made statements to the court to the effect that it expected no allowance for it's services, over and above reimbursement for &C., tual expenditures made by it in con- ducting the business until 1t ap- peared that the administration of the receivership was successful and that the depositors were paid in full. and if it appeared hereafter that the depositors were paid in full the receiver would then request the court to make some allowance in the form of compensation for the grave responsibilities assumed by the receiver.
 Although the matter was dis cussed at various times, the first formal application for an allowance was filed December 4th, 1884, docu- ment No. 952, for the reasons there in stated. This application was de- nied without prejudice in the memorandum previously referred to (No. 97D. This memorandum con cluded as follows: Under such cir cumstances, in view of the attitude which the receiver bank has uni formly expressed to the court and by which the court has perhaps been influenced In making previous rulings, 1t is considered that an al- Iowance of fees should await the event when it can be more defin- itcly determined what the total div idends ultimately paid to depositors may be.
 '"This is not to say that if in the end the depositors are not paid in full the receiver bank will not be entitled to compensation for it's ser vices. That question must be de- cided if and when 1t arises, in view of all the circumstances as they then exist. It is merely now de- cided, in the light of the consider ations reviewed, that no allowance should be made at this time."
 I have quoted rather fully from this memorandum because the very question before me now was then fully argued and considered at that time. The conclusions reached by Judge Cornell are therefore of great interest and importance to me in deciding the question.
 The application was renewed be- fore Judge O'Sullivan on May 29 1885. At that time it was apparent that the Bank Commissioner would take over this fall and Judge O'Sul- livan felt that the decision on the application should be deferred until that time. (Document No. 1031) That time has now arrived and the question must be decided by me.
 Any court would be justified ir denying this application on tht statements referred to above. or the other hand. there is nothing ir these statements or in the memo. randa of Judges Cornell and O'Sul. livan which prevent the granting of the application, if 1t seems faii and just to do 50. As read these and other statements appearing from time to time in the file, gel the definite impression that. while decision of the question was cer' tainly postponed to the end of tho case, 1t was the intention of thu principal officers of the bank tt make some additional charge. thu amount to he determined on fan basis considering all the factors and interests involved at that time.
 The case for denying the applica' ton rests on the statements made with the possible additional con. alteration that the appointment may have been influenced by these statements. The latter argument loses most of It's force when thu reluctance of the bank to accept it ls considered. Furthermore. most lf not all. Of the statements were made after the appointment. The original vote of the directors. whicl has been shown to me, certainI, contemplated some eventual com. penHatlon.
 The principal argument in favoi of granting the, application is th,