Mikkelson Declares List of Exchange Money Boosted by the Bank
Wabasha, Minn. Dec. 4 (AP) – An attempt to prove that a loss of $108,498.38 was incurred by depositors of the defunct Plainview State Bank through the action of its officers in carrying paid up notes on the books as live assets was started in the district court here today in the trial of Adolph Stoltz, assistant cashier of the closed institution.
Stoltz, whose trial follows that of Arthur S. Kennedy, also an assistant cashier at the bank, who was given an indeterminate sentence of from one to ten years at Stillwater is charged with accepting depositors at a time when he knew the bank to be insolvent.
C. L. Mikkelson, receiver of the closed institution and star witness for the state, occupied the stand during the entire morning session, pouring into the court records scores of examples of alleged irregularities, facts which have never before been made in public.
Among other things he said that the two Sylvesters, Kennedy and Stoltz had notes in the bank totaling $18,000 which the bank carries as assets; that these four men owned all the stock which totaled $300,000; and that the listed assets at the time the bank closed were $698,481.
Upon cross examination Mikkelson was asked whether or not he could read the notes of the owner’s valuables and he replied that he could read them absolutely valueless.
Exhibits were also introduced which showed a considerable variance in the actual condition of the bank and its condition as reported by the officers.
The minutes of the meeting of the board of directors at the time of the election of Stoltz as assistant cashier, were introduced in evidence.
Under direct examination Mikkelson declared at the time of the closing of the bank, the actual amount due from the Merchants Bank of Winona was $2,169.65, whereas the books of the Plainview institution showed that the amount ostensibly due on exchange from the Winona bank was $4,179.41.
The jury selected to try the case is composed almost entirely of farmers. One retired merchant, Jerry Keeman of Kellogg, is on the case. The other jurors are Walter Carsten, Oakwood; F. A. Wassman, Lake City; Frank Carrels, Wabasha; H. J. McDowell, Lake City; James Tittrington, Elgin; Clem Kreye, Hammond; Frank Ryan, Mount Pleasant; Wm. Howatt, Kellogg; Ralph Richardson, Elgin; J. A. Lamey, Kellog.
As evidence for the state was resumed this afternoon intended to show that the bank carried $108,489.38 in worthless paper of which but $25,000 was introduced before the noon recess, it became evident that the state would take up a large part of the Saturday session and it is likely that the defense will not take up the case until Monday before the noon recess, it became evident.
December 4, 1925-
Jury Returns Verdict in Favor of H. G. Austin in Session
The case of the Plainview State Bank vs. H. G. Austin went to the jury Tuesday afternoon and was decided in favor of Mr. Austin. The bank was suing to collect on $5,700 in notes made out by Mr. Austin. The bank based its suit on the notes which they claimed were renewals of the old notes as evidence of the indebtedness and that there were no records or checks to show a payment of anything but interest.
In his defense, Mr. Austin stated that on January 5, he had gone to the bank and paid the interest on the notes by check and had made a settlement with E. L. Sylvester for the full value of the notes by paying him $3,500 in cash. G. A. Stoltz testified that Mr.
* SOURCE: Manzow, Ron (compiler), "The Sylvester Family of Plainview, Minnesota - a collection of information taken from the Plainview News, other newspapers, letters, and diaries beginning in 1884": Plainview Area History Center, 40 4th St. S.W., Plainview, MN 55964. Compiled in 2001.
NOTE: from Ron Manzow, December 2001: "Feel free to reproduce the pages for anyone who wants a copy. It was
compiled to be shared... All I ask is that they consider sending a check to the [Plainview Area] History Center to help us out. That
should be enough."
NOTE: from Ron Manzow, December 2001: "Feel free to reproduce the pages for anyone who wants a copy. It was compiled to be shared... All I ask is that they consider sending a check to the [Plainview Area] History Center to help us out. That should be enough."
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