State ex rel. Kuhlemeier v. Rhein

• Decision Date: 26 October 1910
• Citation: 149 Iowa 76,127 N.W. 1079
• Parties: STATE EX REL. KUHLEMEIER, COUNTY ATTORNEY, v. RHEIN, COUNTY TREASURER.
• Court: Iowa Supreme Court

149 Iowa 76

127 N.W. 1079

STATE EX REL. KUHLEMEIER, COUNTY ATTORNEY,

v.RHEIN, COUNTY TREASURER.

Supreme Court of Iowa.

Oct. 26, 1910.

Appeal from District Court, Des Moines County; W. S. Withrow, Judge.

The opinion sufficiently states the nature of the case and the material facts. Affirmed.H. F. Kuhlemeier, Co. Atty., and Charles C. Clark, for appellant.

Blake & Wilson and Tracy & Tracy, for appellee.

WEAVER, J.

On December 9, 1909, the board of supervisors of Des Moines county being in meeting duly assembled, the defendant, as treasurer of Des Moines county, submitted to it the nomination or appointment of the Merchants' National Bank of Burlington, Iowa, as a suitable depository of the public funds coming into his official possession. The action taken by the board upon such nomination was made of record and appears in the minutes of its proceedings as follows: “J. E. Rhein, county treasurer, presented the appointment of the Merchants' National Bank of Burlington, Iowa, as the depository for the year 1910 of state, county or other funds in his hands, and the same upon motion was approved.” On January 21, 1910, the membership and political complexion of the board of supervisors having meantime changed by their retirement of one member and the qualification of another to fill his place, a resolution was presented and adopted by a majority vote to rescind the action taken on December 9, 1909, and to invite the banks of the county to present bids for appointment as depository. Three days later the board by a like vote adopted a resolution, which, after reciting its action of January 21st, and that certain bids for the appointment had been received, proceeds as follows: “Resolved, by the board of supervisors of Des Moines county, Iowa, that the National State Bank of Burlington, Iowa, be and it is hereby approved as the place of deposit for the county and other funds in the hands of J. E. Rhein as treasurer of said county to the amount of $150,000.00, said funds to draw interest at the rate of two and five-eighths per cent. per annum of the daily balances and payable at the end of each month according to the offer of said bank, which is hereby referred to and made part hereof; and be it further resolved, that the said J. E. Rhein, treasurer as aforesaid, be and he is hereby instructed to deposit in the said National State Bank all the county and other funds in his hands, provided that said bank shall first file with the county auditor of Des Moines county a bond with sureties to be approved by this board and said treasurer, as provided by section 1457 of the Code of 1897, as amended by chapter 91 of the Acts of the Thirty-Third General Assembly.” Thereafter the National State Bank, relying upon said action by the board of supervisors, and claiming to have been duly appointed depository of the public moneys, presented its bond as such, and the same was by vote of said board ordered approved; but the treasurer refused to recognize the validity of the appointment or to approve the bond. It should also here be said that prior to the action last mentioned the Merchants' National Bank executed its bond as depository under the appointment of the treasurer and action of the board taken December 9, 1909, and the same was filed with the auditor bearing an indorsement of approval by the county treasurer and by the chairman of the board of supervisors, though no record of such approval appears in the minutes of proceedings. On March 31, 1910, this action was begun in the name of the state on the relation of the county attorney, asking that a writ of mandamus issue requiring the treasurer to approve the bond offered by the National State Bank and to deposit in said bank the public funds in his hands to the amount named in the resolution of the board of supervisors. Issue was taken upon the petition, and upon trial to the court the relief asked was denied, and the plaintiff appeals.

Numerous questions involving the sufficiency of the bond offered by the National State Bank and the regularity and sufficiency of the appointment and qualification of the Merchants' Bank, as well as of other proceedings in connection with the controversy, have been argued by counsel; but our view hereinafter expressed as to the central question involved in this appeal...