In re Commercial State Bank

• Decision Date: 10 November 1920
• Docket Number: 21411
• Citation: 179 N.W. 1021,105 Neb. 248
• Parties: IN RE COMMERCIAL STATE BANK. v. S. K. WARRICK ET AL., APPELLEES COMMERCIAL STATE BANK ET AL., APPELLANTS,
• Court: Nebraska Supreme Court

179 N.W. 1021

105 Neb. 248

IN RE COMMERCIAL STATE BANK.

COMMERCIAL STATE BANK ET AL., APPELLANTS, v. S. K. WARRICK ET AL., APPELLEES

No. 21411

Supreme Court of Nebraska

November 10, 1920

APPEAL from the district court for Lancaster county: ELLIOTT J CLEMENTS, JUDGE. Affirmed.

AFFIRMED.

W. T Thompson, Burkett, Wilson, Brown & Wilson and Dexter T Barrett, for appellants.

Max V. Beghtol and Hainer, Craft & Lane, contra.

ALDRICH, J. MORRISSEY, C. J., not sitting.

OPINION

ALDRICH, J.

This case originated before the state banking board.

On May 6, 1919, the stockholders of appellant bank filed with the banking board an application in the usual form for a charter to do a commercial banking business at Scottsbluff. Several parties filed protests against the issuance of a charter, which protests were in the main directed against the integrity and responsibility of the applicants for a charter. A hearing was had before the banking board and a final order was issued by that body denying the application. The case went to the district court on a petition in error, where the decision of the banking board was affirmed, and to review such judgment this appeal is prosecuted.

There is evidence in the record tending to show that the integrity and responsibility of some of the stockholders of the proposed bank was questionable, and also that the applicants on or about March 22, 1919, made application to the state banking board to obtain a charter for the State Bank of Commerce of Scottsbluff. There are affidavits in the record to the effect that protests were filed against the issuance of a charter; that the promoter and one of the stockholders of the bank in question in the instant case were to receive a commission or bonus in violation of statute; and that some of the parties were guilty of gross misrepresentation by making statements as to advantageous connections with the Merchants National Bank of Omaha. The record shows that none of these stockholders had any such connection with the Omaha bank. Also several witnesses testify unfavorably to the financial ability of several of the applicants.

We are satisfied from a review of the record that there was no abuse by the banking board of its discretionary powers in refusing to grant a charter to these applicants. There is sufficient competent evidence in the record on which to base such a finding.

Where it appears that the state banking board has acted within its jurisdiction, and that all the jurisdictional facts essential to uphold its...