Commonwealth ex rel. Carson v. Monongahela Valley Bank of Dudquesne
| Decision Date | 20 January 1913 |
| Docket Number | 19 |
| Citation | 86 A. 719,239 Pa. 254 |
| Parties | Commonwealth, ex rel., Carson v. Monongahela Valley Bank of Duquesne |
| Court | Pennsylvania Supreme Court |
Argued October 18, 1912
Appeal, No. 19, May T., 1912, by S. O. Rhodes, J. Collins Greer, S. E. Rhodes and H. L. Greer, now for use of James F McNaul, Stockholders, from decree of C.P. Dauphin Co., Com Docket, 1906, No. 57, in case of Commonwealth of Pennsylvania, ex rel. Hampton L. Carson, Attorney General, v. Monongahela Valley Bank of Duquesne. Reversed.
Exceptions to the report of auditor upon the final account of the receiver of an insolvent bank. Before McCARRELL, J.
Benjamin M. Nead was appointed auditor for examination and distribution.
The court entered a decree confirming the auditor's report.
Errors assigned, among others, were in overruling exceptions to auditor's report in reference to dividends allowed (1) upon the stock of Joseph R. McQuaide; (2) upon the stock of Howard L. Black; (4, 5) with reference to fees, and (8) in not surcharging receiver with amount of deposit.
The fourth, fifth and tenth assignments of error are sustained, and the decree of the court below, confirming absolutely the report of the auditor, is reversed, and the record is remitted, in order that specific findings, upon adequate proof, may be made, as to the value of the services rendered to the receiver by counsel, and as to whether all the payments made by the receiver for counsel fees, for which credit is claimed in his account, were reasonably justified.
J. McF. Carpenter and John A. Metz, with them G. N. Chalfant, for appellant.
David E. Mitchell, of Griffith & Mitchell, for Assets Realization Company, appellee.
M. J. Hosack, for George M. Hosack, Receiver, appellee.
Before FELL, C.J., MESTREZAT, POTTER, ELKIN and STEWART, JJ.
This is an appeal from the decree of the court below confirming the report of an auditor upon the final account of a receiver and making distribution of the funds in his hands. The record is so defective that it is impossible for us to deal intelligently with all of the questions raised by this appeal. The receiver filed two accounts and two reports were filed by an auditor. No exceptions seem to have been taken to the first account, or to the first report of the auditor making distribution. But in his second report, the auditor relies upon his first report for some of his findings, and that report not being printed, these facts do not appear before us. The result is that we lack knowledge of facts which may be material to a proper decision here, or which are at least necessary to a complete understanding of the case. The appeal is taken by four stockholders of the Monongahela Valley Bank, which became insolvent and passed into the hands of a receiver. The extent of the interest held by these stockholders in the capital stock, or the amount in which that interest would be benefited in case the claims which they here make should be sustained, does not appear. The schedule of the assets which were sold by the receiver is incomplete. In the report of the auditor, which was confirmed by the court below, the legal status of the bank is discussed as though it had been incorporated under the Act of 1850, or the Act of 1857, whereas the bank seems to have been incorporated and organized under the Act of May 13, 1876, P.L. 161, and was subject to the provisions of that act. It does appear however that the shares of stock which were owned by J. R. McQuaide had been pledged as collateral security for loans, and that the stock afterwards passed to his trustee in bankruptcy, and was by him sold to the present claimants. The conditions under which the stock was held brings it within the principle of ...
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