Show COUNTY COITS TY INI SCHOOL DISTRICT IN A I 1 L LV III in 1931 the school district issued in tax anticipation notes later 6 60 0 0 0 0 was paid and cancelled the remaining 40 were owned by the millard county state bank which they in turn pledged ultra vires or not to the county to secure its deposit the bank railed failed 44 A when it failed the county had J on deposit 10 10 secured in part by these 40 tax anticipation notes the school district had on deposit 64 and owed these 40 worth of notes now the banking department of the state sued savins saying the notes were wrongfully pledged but it if the bank does now own them then the right of set get oft off against that account will be set up if the county owns them and can maintain ownership legally being an innocent third party it will probably win out in making the school district pay without set oft off in all the legal tangle one fact re mains untouched the school dis brict owes the money yet and it must pay when the legal ta tangle agle is ironed out the county agrees with the bonding company to take the 40 offo in school district notes and the bal ince ance in cash tor for its account and be satisfied the school district of course Is desirous lesl rous to establish the right of set off ff as it will lose less that way than to 0 o lose the whole account and also have lave to pay the notes it t look excessively dipti cult alt to arbitrate john henry taxpayer will settle the he loss no matter what way it Is 1 settled but the taxpayers organization says settle without legal fee set tie tle out of court john henry la Is stoop sloop shouldered t the ultimate decision will be looked for with interest |