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CLAIM AGAINST TRUST COMPROMISED
Receiver Settles Half
Patterson, receiver of the Garrett Savings Loan Trust Co., authorized in the DeKalb circuit court Saturday to compromise the claim of the Union Bank Trust Co. of Fort Wayne, and the Lancashire Indemnity for $5,500. The Union bank, which is in ceivership, claimed that Monte Green when president of the Garrett institution paid out money on an unauthorized check to Edward B. Henslee as president of the Union bank. The bank secured judgment against the Garrett Savings Loan Trust Co. and Monte Green in the Steuben circuit court in 1930 in the of transcript of the judgment filed in the DeKalb circuit court and the Union bank attempted to have the judgment established as preferred claim and lien against the building occupied by the Garrett Savings Loan & Trust Co. Judge Endicott, however, sustained the contention counsel for the receiver that there had been sufficient literal compliance with the law by the Union bank to create lien. An appeal from the ruling was taken to the appellate court. In the meantime the Union bank of the judgment to the which had furnished bond for Henslee president of the Union bank. Receiver Patterson recommended that the judgment be compromised for 500, as agreed upon by him and the claimants. In the decree, signed by Judge Endicott. is stipulated that be paid to the indemnity company and the balance, the Union The judgment becomes lien against the bank building. The appeal to the higher court to be However, payment of the sum agreed upon to be made only the is sold. the real estate is bid in and bought by either creditor for less than the receiver to pay from other trust funds all the accrued taxes and all municipal assessments.
Brinkerhoff and Atkinson Husselman represented the receiver in the proceedings. Smith Parrish Fort Wayne, counsel for the Union bank and Henderson Henderson of and Capt. W. of Auburn, for the indemnity company.
