and it wooM be less expensive to have him» as he could attend td
Digitized by VjOOQ IC
«9e HOUSE DOOUMEIfTS.
both; but said^ if th9 dmcUNrs preforred, they o6uM iMike aa ap*
pointment in the immediate i^eighborbocd of the boolu Tbe a**
signoient wos^exocuted before the meeting adjourned.
Oo tbe next d^iy, deponent went into Detroit with the president
and cashier, and one of the directors. The assignment was ri-
ven to Mr. Fmser by the president, Silas Finch, Esq. The hoMS
and propcarty and papers were also sent to his office. Very tittle
conversation took place with Mr. Eraser on the subject
The assignment was made for iear of an injunction* and to
avoid being closed up by a receiver appointed by the Chancellor
of the state. It was thought better to close up voluntarily» by
assignment, thoa to baye it done by law. Deponent believed that
they had an undoubted right thus to close up the concerns of the
bank and to pay its debts.
Some time in the early part of August instant, post notes were
isfiied by tbe Bank of Haiineto the amount of Aneen or twenty
ikonsand ddlara, far the purpose of obtaining a loan, payable in
oae year, with interoit. They were endolrsed by Lewis' Godard
and this deponent, and a part of them by Daniel D. Wallace.
The post notes were tak6n by Lewis Godard, to be transmitted
to Lyman A. Spalding, of Lockport, for the purpose of efiecthig
Deponent did not know that any biUs of the Bank of Saline
were in the hands of Lyman A. Spalding, until he was told so
aaiae time after the transaction is aaid to have taken place.
Od the day of the assignment^ a vote passed the board of dbeo»
tan to redeen bflJs in t)^ handr of anindivjdaal totheamooMof
six hyndred doHara, in specie, whieh waa aooordingfy done.
Bight hundred dollars in specie was in like manner paid to one of
Sttbaoribed and sworn to» before tne, this thirty'^Arsl dvf of
Aiagust^ A. D. 1888.
A. FEIXIH, Am* C&m.
Affidamt of S. Unch, President Bank of Saline.
Statb op Michigan, I
County of Washtenaw, J ^ *
Silas Finch, of said cooqly, beiof; duly awom» on oath nys,
that ba ia and has been for about seven aoontba laat paalt ptm^
dent of the Bank of Saline ; and he is an^l has bmn dmnng tbe
safne tune a director of the saine. That be was preeeal «t tbe
last examination <^ the afiaira and eaoditioa of sud baak» aiade
by Jl, Felc^ one of the Bank Ooo mi oa k w eg aaf aaidttalaefMi*
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HOITSB DOCVMSHTa W7
ohigdn; that fio^alerial ehange^ to the koowled^ 6f tbk d«po>
oent, took place in tiie affairs or condition of said insCieution after
9Tiid last mentioned oxamination, until the 16th day of August inst.
On said l^h day of Augiwft a meeting of the board of directors of
laid bank, was called and held at the instance of Abel GkKlard,
one of the directors; said Godard came to Saline on that da}%
and at md meeting of the directors informed th6 board that an
injunction wa» made out against the Bank of Brest, and that he
feared there would be an iarjancttoti a^inst the Bank of Salfaie.
He said, moreover, that the Bank of Brebt had made an assign-
Boent of all ks effects preriom to the service Of the writ of In*
jmotion upon it, and he advised the board of directors of the Bank
of Saline to do the same, but said that the board must neverthe*
less do as they thoui^ht best in regard to it. Said Godard f Cnthef
daied th&t he thootgnt the bank would have to wind up fts con-
oeras^ and that it w^ best to do so by making an assignment of ftll
iit property and 6fi^ts for the benefit of its creditors ; that it was
better to have it go into the hands of an ass^nee than of a receiver.
After consultation die board passed a vote authorizing the preA-
deot and cashier to tnnke a general assignment for lbs benefit of
creditors^ of all the pmperty and effects of the bank to Alex-
ander Di Praser, Esq. of Detroit. The assignment wfts written
pi^viously and^ produced about the time of the opening* of 4he
meeting, but deponent cdmnot tell by whom.
The assignment w6s executed agreeably to^the resdtition of
tbe boi^d, before the meeting ndjouiiied. Mr. Godard suggested
the name of Mr. Fr^er as assignee, and stated that he was assign
niie of the Bank of Brest, and could attend to both without much
eura trouMe^ bat said if tho board preferred it, they could use
any other name.
On the nent day ihit deponent, in company with Orrin Parsons
and Daniel 0. W»M«ce, two of the direclora, and A. Mandel!,*
etishier, went (nCo Detroit, and took with them -the assignment
aforesaid, and also the property, effects, books and papers of the*
bank ; and all were delivered over to said A^ D. Frasei* as assi^«
Me; Deponent saw Mr. Praser, but hsfd no conversation with
hhn on the aubj^et of the bank or the assignment. Deponent
bttaded the assignment to said Fraser, and tl^ papers, property;
books, and etkcis were gent to his ofiioe. He nas had no con*
versartion sinoe that time whh Mr. Fraser, on the subject.
The indooement to rnake (he assignment was the ^tatementtf
iMuie al the nfeeting of the beard above mentioned, and Ikie ttt^
peotatioo thpit an injunction wouM be issued a^'ost the b^nk.
There was not, to the knowledge Of this (feportent, any other in*
duo^ment io make the assignment. The board were led to be-
lieve tboit that was the best way to cbseiip the bunk. TMt o]^
ioD vmM' odopied on^ndaturar dehboratfon.
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Wt HOUSE DOCIKM BNTS.
About sixty <)olltr8 in speoie beloogiog to the taak wm dd!«
vered \o said Eraser as assignee.
On, or about the fourth &y of August instant* said fiank of
Saline issued post notes of five thousand dollars each, to the
amount of twenty thousand dollars, for the purpose of neeotiatii^
a loan to that amount. These notes were payable at the Pbce-
^ix bank in the city of New York, in one year from date, with
interest, and were endorsed by individuals in Michigan» and were
sent to Lyman A. Spalding of Lockport, in the state of New YoriK,
but they have been sent lor, end it is expected they will soon be
returned. Nothing was ever received by the bank for them.
The^ were pot endorsed by ft Bank CommissioDer. They were
received by Lewis Godard at the Baqk of Saline for the porpose
Some four noonths since> the bank sent to Lyman A, Spaldiqg;
bills of the bank of Saline amounting to fifteen or twenty thousand
dollars, which were in sealed packages, and were to renuuo seal-
ed, as collateral security for certain drafts whk:h were to be made
by the bi^nk on said Spaldipg, for the purpose of redeemiitt' biUs
of the bank. Drafts to the amount of about ten thousand d<4lar8
were made by said bank in accordance with such arraogementv
but deponent does not know whether any thii^ has been paid on
them by hino or not. Deponent does not know whether toe biUs
last above noentioned were entered on the proper books exhibit-
k^ the amount of issues of said bank or not, nor does be know
^vbether the same were exhibited in any manper as issued* oo ex-
amination of the affairs of the bank by a Bank Commissioner.
Peponeqt believes that there is no charge or other evidence of
debt M[ainst Lyman A. Spalding on the hockM or among the pa-
pers oisaid bank.
At the time of said assignment* there was in the hands of Lewis
CkNiard for exchaiu(e purposes, seventeen thousand dollars in Ullt
of the said Bank otSaline. pepoi)ent beKeVes that the amount is
now secured by endorsed notes. Depoqent does not reoollect
whether this amount was entered among the circulation of tbe
bank or not, nor does be remember whether any char|G(e was
tfkdiie to said Godard of the saa)e on book.. This advance was
made to Mr. Godard by votes of the directors in December last,
apcordipg to deponent's best reccdiection.
On the day of the assignment aforesaid, by vote of the <firco*
tors, said Lewis Godard was permitted to take irom tbe bank five
thousand dollars in bills of the River Raisin and Lake JQrie tail-
road company, and to substitute for the same his own papn* with
gfiod endorsers, for the amount, payable ip four months with in-
terest, & FINCH.
Sub^ribed and sworn to» before roe» this 31st Am^ A. D. 1888.
A. FELCH, Bmk CammUsimm.
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HOUSB DCXK7UENTEL «»
Lapeer Bank — Affidavit qf Cashier.
Baw of Lapjbbr, )
JUorcA 13, 1838. \
The capital stock of this bank is fifty thousand doliara. The
books of subscription were opened on the 19th day of October,
A.:D. 1687. At that time the whole amount was subscribed, and
on distribution of the slock, the ten per cent on the several shares
was paid in specie. Som^ of the subscribers did not pay in their
faU amount, but others overpaid, so that the ten per cent on the
whole stock was paid in. This was paid in as the property of
the bank^but a part was withdrawn by the subscribers and pail
back to them. The bank went into operation on the 6th or 8th
of December last, previous to which time the full amount of
tbhrty per cent on the captal stock was paid in ; a part of the
amount vras in gold and silver, but the greater part of it was ia
specie certificates, issued by the Farmers' and Mechanics' bank,
at Detroit, ^fbere was but one specie certificate, and the amoost
was applied on different subscriptions of stock. The certificate
was obtained and brought forward by Aaron Goodrich. This
certificate was in the I^nk several weeks, and was finally with**
drawn and taken away by said Groodrich. The amount of tbd
certificate was fifteen thousand dollars. There was at the time
the bank went into operation, I think, less than one thousand del*
lars. The certificate was taken away by Goodrich on or
about the 12th or 31st day of January. No entry of the certifi-
cate on the books of the bank now exhibited, was made ; but oh
a small book the amount of checks drawn by said Goodrich was
made and entered, but I eanoot say that any entry of the certifi*
cftle was then made by me. That book was handed over to the
msent cashier, D. S. Cady, and I have not seen it since Mr.
Oady left Lapeer. I think no entry was made on the books, and
no paper or draft received fi'om said Goodrich when he received
the certificate of deposite. Said Goodrich also, at diflferent times,
received on his own individual check the bills of the bank, to tiM
amount of fiirty thousand doljars, or thereabouts, for vrhich noth-
ing had been received by the bank when I resigned as cadmr«
He had, however, a small bill for services, &c. against the bank^
amounting to a sum less than a thou9and dollars, as I should think.
Said Goodrich was a director, and took the bills for the purpose
of exebange. While cashier, I bought some gold and silver,
which went into the bank— the amount was small, cannot say
1 was cashier from the commencement of operations until the
IStfai day of February last, and Mr. D. S. Cady was appointed
cashier* Mr. Norman Davison Vfas appointed president when it
Digitized by VjOOQ IC
went into operation, and sold iiis atock and resigned on the first
day of February last. Mr. J« T» Benedict is aow president
The issues of the bank while I was cashier, amounted to sixty-
four or sixty-five thousand dollars, including bills in the hands of
Aaron Goodrich and H.H. Brown & Ckk of Detroit, for exchange.
The anMunt of discounted paper wais twenty or twenty-one thou-
sand dollars. None of the issues were-destroyed.
After the thirty per oent was paid in, there waA an understand-
ing that, the stockholders might draw out on their own checks to
the amount of their capilal paid to, in the bills of the bank. Ma*
ny of them did io; and I was afterwards directed by the direel-
ors to obtain for the advance to them their notes with endcH'sers^
I obtained notes covering the amount of such advances, with to-
cwrity« These notes are a part of the discounted paper above omq*
I left with H. H. Brown & Co. tweotywfiv<e hundmd doliais far
which I was to draw upon btfn» payable in couotr}* funds* While
checking I drew for.three hundredand seventy-five ddlam whk^
was paid« I do not know of their paying any thing more towards
k. I. have drawn several drafts since, nnne of which, so far at i
have been advised, ere yet paid. At the time I left the bank ai
cashier, there were remaining in the bank, fai sheets, bdls of the
bank signed by Mr. Davison as presideat, and inysetf as cashier,
to tlie aiDount of about ten thousand doHars, or thereabout, ac-
cording to my best recoUectioo. Most of them were oot fitted
ether t^aa by signing.
There-were in the bank, returned from ckculation, when I ieft
the institution, about eiffht or nine hundred dollars io bills of the
bank. At the time I ktt the insUtulion, the resources of the bank
were as follows, as near as I can now ascfertakv va :
Bills disoounted, f3aj»9d W
JSpeoie, 1,361 77
Cash in the hands of H. H. Brown & Co^ 2,12S 00
Aaron Groodrioh on checks, say 401,000 00
■■ i <
. The liabililieB of the hank wore as ioNows, at near aa I cm mm
aa e crt ain, viz:
Capital stock paid in, #15,000 00
Circulation, say 05,000 00
Bxpeose account, say 1,000 00
The papers, books, notes, <fec. belonging to the bank, were aU
tiiiisferred by roe to the present cashier.
A. V. HAET.
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HOUSE ixx;ui£BNTa eu
Satasoribed and sworn to before me, this 18th day of Mardh, A*
Jl FEhCa, Bank Com
Affidavit of Tetter, and lAst of Subsaibers and Stockholders.
S(tatb of Miobicuji ,
I^rsottatljr appeared before the undersigned, a Baidc Commis*
sioner of said state, Hiram B. Lyman, wIk» being duly sworn, on
oath says, that he is teller in the Bank of Lapeer, to which station
he was appointed on the eighth day of the present month, at which
time he entered on the duties of his office— J. T. Benedict was
the president, and Dennis S. Cady, cashier. On the day of my
appointment as teller, the president and cashier both left Lapeer^
intending to go, as- 1 understood from their conrersation, to Jack-
son county, for the purpose of obtaining funds with which to
redeem the bills of this banky expecting, as they said, to return
to Lapeer on the 13d) or 14th instant The bank Was left in my
I do not find the original book of subscriptron to the stock 6i
the bank« The annexed is a true list of tlie stockholders, and
amount held, as well as transfers, as exhibited by the stock ledger.
There i» no other book of ^tock account in the bank, and no list
posted up. Tte cashier and president, and also myself, are di-
rectors ; the others I do not know, and there is no book in thtf
bnnk exhibiting it* There is no book showing any statement of
the afiavrs and condition of the bank.
It seems from the books, that on the twentieth day of Decem-
ber last, notes of the Bank of Lapeer issued to the amount of
twenty*twoi tliousand dollars. No other issues appear by the
books to have been made. The books show the capital stock to
have been paid in to the amount of fifteen thousand dolfaurs* in
specie. Tms>«moaDt appears to have been on hand on the se-
cond of January, and by the daily entry, to have remained in
bank until January eighteenth. On the evening of that day, it is
slated m the books, as •14,660 50
On the evening of the 17th January, 12,1T7 50
Digitized by VjOOQ IC
MS HOUS& DOCUMENTS.
On Ibe etetdng of the Ist Februarj, l,90tf 00
10th do 1^300 0*
After Which no entry of specie on hand b made^ The specie now
on hand* and which was here when I came into the bank, amounts
to twelve hundred and one dollars and seventy-seven cents. The
following is a list with the c mount of bills discounted, as appears
by the books, to wit :
No. 1. Dec. 12, 1837, B. B. Hutchinson, A. A. t)wight and A.
Hubbard, 90 days, due 12-15 March, amount, $500 00; inte-
rest, #6 81 ; proceeds, $493 19.
No. 2k Dec 28, 1837, E F. Towne, A. N. Hart, and F. Pettis,
, 90 days, 28-31 March» amount, $1,$00; interest, #16 68 ) pro-
. oeeds,$993 32.
No. 3. Jan. 3, 1638, O. B. Hart, Dr. Stebbins and Caleb Car-
penter, 90 days, 3-6 April, amount, $3,003 ; interest, $58 56 ;
proceeds, $2,949 44.
No. 4. Jan. 11, 1838, A. N. Hart secured by mortgage, 90 days^
1M4 April, amount, $3,195 ; interest, $56 9S ; proceeds, $3,-
Na 5. Jan. 11. 1838, Noah H. Hart. N. Patridge andS. Whee-
ler, 90 days, 11-14 April, amount, $3,500 ; interest, $62 82;
proceeds, $3,437 38.
No. 6. Jan. 11, 1838, S. D. McKeen, 6. T. Ball, 90 days, 11-14
April, amount, $2,750 ; interest, $49 05 ; proceeds, $2,700
No. 7. R. Brownson, H. B. Lynn and N. H. Hart, 90 days, II-
14 April, amount, $3,195 ; interest, $56 98 ; proceeds; $3^1^
No. 8. Jan. 11, 1838, George T. Ball, S. D. McKeen, 90 days,
11-14 April, amount, $3,750; interest, $66 88; proceeda^
The above are the discounts that appear by the books. All the
discounted paper above specified, is in the tmnk, except the two
first above mentioned. I do not know where those notes are ;
have never seen them.
There is no entry upon the books of any thing in tlie hands of
H. H. Brown & Co. nor to Aaron Goodrich, except the bank
stock sliares, in the anoexed list I have exhibited to the Com-
missioners this day, all the books, papers and effects which were
in the bank when I came in, and all which are in my charge as
I did not know when the president and cashier left, that any
bills of the bank had been issued, with their signatures. No such
issues appear by the books of the bank. I nave, however, seen
and have redeemed a ten dollar bill, of this bank, under their sig-
At the time the cashier left be gave me thirty dMwrs, in the
Digitized by VjOOQ IC
HOUSfi EMXUMENTS. 6t8
bilb of the Farmers' bank of Sandstooe, for exchange. I ha?d
tt^eecned fifteen dollars of the bills of this bank'— the remaining
fifteen, I have now in the bank.
I have no means of knowing the amount actually in circulatkmt
except as above stated. There are no notes of the bank redeem-
ed, and now oa hand, Excepting the fifteen dollars above men-
tioned. The new note, signed by the president and cashier, and
fedeemed by me, is dated the thirteenth dav of February, A. D.
The entries of cash (specie) above mentioned, are in a book
lettered ** Blotter No. 2, bank of Lapeer,'' and headed at the com-
mencement, ** Cash book.** I have seen no other c^sh book be-
longing to the bank, nor any other book in which dther the pre-
sident or former cashier entered items of that kind.
I had not known when the present president and cashier were
sppomled to office ; no^ whether they have taken an oath, or gi-
ven bonds of office. Nothing appears in reference to it, by any
books in the bank. No entry is made relative to H specie depo-
site with any bank or bankii^ association, nor of any certificate of
specie deposite, in any of the books of the bank. I have seen a
bond in the hands of the cashier, but do not know whether it was
a bond of office or for the redemption of the notes of the bank.
Tliere appears by the books to be transferred to me, by Aaron
Goodrich, on the 17th February last, thirty-eight shares of the
capital stock of said bank. I never had any conversation with
said Goodrich, relative to the same, or the purchase thereoft nor
d!d I ever authorize any person to conti^ct for the tome for me*
The prefsent cashier first informed me that they stood in my
name, and wished me to become one of the directors of the bimk.
Nothing has been paid or ^ecdred for them by me^ i(nd no teqiiest
of payment, ndr has any thing been said about my r^ponsibility
for the same, by any one to me.
H. B. LYNN.
Subscribed and sworn to, before me, thb Idth ddy of March/
A. D. 1838.
Dec fti. H. H. Harris, (purchased) from
C. Van Tyne, 75 Wiares #8,750 (Ht
Jan* 25. H. H. Harris, do do
L. W. Goodrich, 75 da 4,760 00
H. Hi Harris, dof do
L. H. Goodrich^ 75 do 8,750 00
Digitized by VjOOQ IC
F«b. 12. J. T.Beiiedi<st,(purcht8ed) from
B. Goodrioh, 76 do
J. T. Benedict, • do do
J. B. Morse*
> D. 8. Cady, do do
14. D. &Cadv, do do
17. H. B. Lynn, do do
A. Goodriefa^ \
1& Sam'l J. Searl% do do
Geo. F. Ball
10. Sami J. Searla, do do
Sam'l J. Searls, do do
Sam'l J. Searb, do do
Rufisell R* Beach, do do
JJH of stockholders^ ca^ Amount of Stock,
P^ 4 Richard ^rownson, 8
Geo. F. B^ll, 5
Normap Oavidsop,. 38
A^roa Gpodrich, 76
J^'y 4, Ai^ron Goodrich, (pqrchMed) of M-
9. Aaron Goodrich, (purchased) of A*
N, Hart, 75
Frt^ 1. Aaron Goocjrichy (porcba4^)Qf N.
Dec 4. Snos Qoodriph, 75
Eunice Groodrich* 75
Levi H. Goodrich, 76
Levi W. Goodrich, 7Q
Moses Goodrich, 75 '
Reuben Goodrich, 75
Alvin N. Hart, 75
Noah H. Hart, 8
aiver B. Hart, 75
Horace HinmM, IS
Silas D. McKeeo, 5
^ 1,900 00
Digitized by VjOOQ IC
HOUSE 1XX)UMENTB. 6Sft
Joaeph B. Morse,
Ust <(f Tranters of Stock,
To S. J. Searls,
D. S. Cady
D. S. Cady,
H. P. Lvnn,
J. T. Benedict,
R. R. Beach,
a H. Harris.
S. J. Sea r '
J. T. Benedict,
Affidainto/B. F. Toume.
StMt Om MiCHlGAH, )
TTiyiM Cknmijf. \ ^'
Fettfomlly appeared before the under^'gnedf a Bank Comoiis-
akMer 6f ^id Mate, Benjamin F. Towoe, of said county of Wajme,
who being duly dworn, on oath says, that he was one of the ori-
ginal subscribers to the capital stock of the Bank of Lapeer, aari
ttiat the books of subscription to the sama were opened some time
in the month of October last In the apportionment of the said
stook, fwent^-lhfee shares were assigned to this deponent, on
which he paid in ten per cent in specie. Alfin N. Hart of La*
peer was tteasurer. Deponent does not know whether the
anMttil <tf ten per oem was paid fai by other subscribers or not,
Digitized by VjOOQ iC
686 HOUSE DOCUMENT&
though he law speeie paid by some of them, and heard said Hart
say that the whole amount was so paid in.
Deponent was present soon after the election of the first direo-
tors of said bank« and was informed that he was chosen a director
and attended one meeting of the board of directors ; at that meet-
ing a rote was passed authorizing deponent to sell and traotfer
Deponent further sayst that the ten per cent above roentioDed,
paid in on his capital stock, was never withdrawn by him. At
or about the time the bank went into operation, deponent let said
Hart, who was then cashier of said bank, hdve a certificate of the
Measurer of the United States for one hundred dollars, towards a
further instalment of twenty-five per ceqt on his stock, which
yfas received by him instead of specie. Said Hart observed that
he h^d 4)at amount left with him in specie to be paid for land,
^d he ^ould pay the soecie to the institution and use the certifi-
cate for the purchase of the lard. For the balance of the twenty
per cent on nis stocl(, deponent gave his due bill payable to said