State v. Barns

• Decision Date: 06 June 1930
• Citation: 128 So. 860,99 Fla. 1258
• Parties: STATE ex rel. DADE COUNTY SECURITY CO. et al. v. BARNS et al.
• Court: Florida Supreme Court

128 So. 860

99 Fla. 1258

STATE ex rel. DADE COUNTY SECURITY CO. et al. v. BARNS et al.

Florida Supreme Court, Division B.

June 6, 1930

Original proceedings by the State, on the relation of the Dade County Security Company and others, for a writ of prohibition to be directed to the circuit court for Dade county, opposed by Paul D. Barns and others. On demurrer to the petition.

Demurrer overruled.

COUNSEL

Fred H. Davis, Atty. Gen., and James M. Carson and Kurtz & Reed, all of Miami, for relators.

Frank Smathers, of Miami, for respondents.

OPINION

WHITFIELD P.J.

The relators seek to prohibit the circuit court for Dade county Fla., from entertaining proceedings in equity brought by stockholders of the Dade County Security Company, an insolvent company or association organized under the laws of Florida, against the insolvent company, the state comptroller, and the receivers or liquidators of the insolvent company or association; the suit in equity being brought to have a judicial receiver appointed in lieu of the administrative liquidator. Facts are alleged charging improper conduct and abuse of authority of the comptroller and his receivers or liquidators in the management of the assets and affairs of the insolvent company of which they are the administrative custodians and officials under the statutes of the state. Actual fraud is not charged.

The prayer of the bill of complaint is:

'A. That this Court will take jurisdiction of this cause and of the subject matter hereof and the parties hereto, and that the equities herein may be adjudged to be with and in favor of your Complainants.

'B. That this Honorable Court immediately upon the filing of this Bill of Complaint appoint a Receiver to take charge of, manage, operate and control all books, accounts records, and properties, including all assets and interests of any nature whatsoever belonging to the Dade County Security Company, or in which said insolvent Building and Loan Association may in any way be interested, and that the said Defendants Ernest Amos, as Comptroller of Florida, and Frank A. Chase, as receiver, be required to immediately deliver up and turn over to the Receiver so appointed by this Honorable Court all books, records, papers, funds, assets, properties, actions, choses in action or other thing in value in which the said insolvent Building and Loan Association, to-wit, the said Dade County Security Company, may be directly or indirectly interested, and in their possession, and that said Defendants be enjoined from interfering with or embarrassing the said Receiver to be appointed by this Court in his exercise of a peaceful and quiet possession, operation, management, custody and control of all the said properties, funds, assets, interests, books, papers and records of any and all nature whatsoever belonging to, directly or indirectly, the said Dade County Security Company, and that the appointment of said Receiver may be made permanent, and the said Receiver continued in charge and management for the purose of preserving and protecting the assets of the said Dade County Security Company, and administering its affairs under direction of this Court, according to Equity rules and practices.

'C. That said Receiver so appointed by this Court may be directed to forthwith recover by action at law or in equity, as he deems best, all outstanding claims or assets rightfully belonging to the Complainant and other shareholders, as to which assets this Court adjudges have been unlawfully and unrightfully passed or purportedly passed from the hands and control of the said Defendants Ernest Amos, as Comptroller, and Frank A. Chase, as receiver.

'D. That the said Defendants, Dade County Security Company, Ernest Amos, as Comptroller of Florida, and Frank A. Chase, as receiver, be required by order of this Court to make and render up herein a full and complete discovery of all facts, papers and records of the said Dade County Security Company and/or the said Frank A. Chase, as receiver, pertaining to the transactions and/or purported settlements complained of in this Bill of Complaint, both prior and subsequent

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