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IMPORTANT DECISION IN BANK CASE Defunct Banks Claims Against Each Other Cannot Claim Offsets But Must Pay Dividends Columbia. Nov. unusual interest growing out prominent South banks was decided the state supreme court, in an opinion handed down today by Associate Justice Stabler, reversing the cricuit court, decision the being that each defunct bank. having deposit claim against the other, must pay its own dividends, pro rata, regard any claimed for posit bank the other. The case James for the American Bank Trust company. against B. Gamble, receiver Bank of Barnwell. When American closmore than the Home Bank had deposit with in the sum the Barnwell bank owed Columbia bank difference, with tain other charges entering into the being favor of Barnwell bank. Judge Peurifoy, the Columbia bank. made deposits in the Barnwell bank, from his collections the assets the defunct Columbia to tal of Then the Barnwell bank failed, closed its doors. This Columbia deosit of the defunct bank and the same time owing that bank Judge Peurifoy, for American Bank contended that off-set his dividends, settlement affairs bank, the $13,104 against deposited the Barnwell bank Receiver Gamble Barnwell bank. contended neither party entitled to an off-set; that each bank should pay its dividends, rata, on the full amount claim against Judge H. circuit Columbia, sustained the position the Columbia receiver, and Receiver Peurifoy ordered to hold dividends payable him to the Barnwell bank, against the claim. until such dividend payments should total $7,000, thus off-setting the Columbia bank's deposit Barnwell bank. supreme court Judgo Townsend and orders Receiver Peurifoy pay to the bank its pro rata share from the defunct Columbia Institution, under the $13,104 claim of the Barnwell bank.
