People v. Bain

274 Ill. App. 215, 1934 Ill. App. LEXIS 729
CourtAppellate Court of Illinois
DecidedMarch 6, 1934
DocketGen. No. 36,728
StatusPublished

This text of 274 Ill. App. 215 (People v. Bain) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
People v. Bain, 274 Ill. App. 215, 1934 Ill. App. LEXIS 729 (Ill. Ct. App. 1934).

Opinion

Mr. Justice Gridley delivered

the opinion of the court.

This cause originated by the return of an indictment in the criminal court of Cook county on February 17, 1932, charging the six defendants with conspiracy to obtain money and other property by false pretenses, etc. The defendants, Mulholland and Buhlig, were granted a severance and, on the trial of the other four defendants, they testified as witnesses for the State. A jury having been waived by agreement the trial was had before the court during the summer of 1932, at which much oral and documentary evidence was introduced. The transcript of the record consists of more than 10,000' pages, and the printed abstract of more than 800 pages. For the State 114 witnesses testified. Each of the four defendants testified in his own behalf and defendants called more than 70 witnesses. The prosecution arose out of the closing on June 9, 1931, of 12 Chicago banks, known as the “Bain Banks,” which were practically under the control of the principal defendant, John Bain. The 12 banks were organized under the laws of the State of Illinois and were named and known as: West Englewood Trust & Savings Bank; Armitage State Bank; Auburn Park Trust & Savings Bank; Brainerd State Bank; Bryn Mawr State Bank; Chatham State Bank; Chicago Lawn State Bank; Elston State Bank; Ridge State Bank; Stony Island State Bank; West Highland State Bank, and West Lawn Trust & Savings Bank. John H. Bain and Robert A. Bain are sons of John Bain, and W. Merle Fisher is his son-in-law. At the conclusion of the trial on August 25, 1932, the court entered the following findings and judgment:

“That the People have not sustained by evidence beyond a reasonable doubt, within the rule laid down in People v. Clark, 329 Ill. 104, that the defendants conspired as charged in the indictment to receive deposits knowing the bank to be insolvent, or to keep the banks open to receive deposits when they knew the banks were insolvent as charged in other counts of the indictment, and the court finds that the defendants cannot be held guilty under those counts”; that “as to all other counts in the indictment, the court finds each and every one of the defendants guilty as charged and fixes the punishment of the defendant, John Bain, whose age the court finds to be 64, at imprisonment in the penitentiary for a term of not less than one year or more than five years; and the court adjudges that the defendants, John H. Bain, W. Merle Fisher and Robert A. Bain, each be condemned to pay a fine of one thousand ($1,000) dollars”; and that “the court further finds that the defendant, John H. Bain, is 34 years of age, that the defendant, W. Merle Fisher, is 43 years of age, and that the defendant, Robert A. Bain, is 29 years of age.”

On March 16, 1933, the present writ of error was sued out and on the same day it was here ordered that the writ 'be made a supersedeas upon the four defendants respectively entering into certain recognizances, with sureties, with the sheriff of Cook county. After briefs had been filed, the People, by the State’s attorney, filed a written motion, accompanied with suggestions and affidavits, “to strike from the transcript of the record the two original bills of exceptions incorporated therein.” On November 16, 1933, after counter suggestions and counter affidavits had been filed, the motion was reserved to the hearing. During the oral argument on January 3, 1934, leave was given to counsel for defendants to present memoranda of additional suggestions and authorities bearing upon one of the points made in their original printed brief, and the memoranda were presented and have been considered.

The indictment consisted of 73 counts. Those on which the court found that the four defendants could not be held guilty are numbered 27 to 50, inclusive, and they need not now be considered. The other 49 counts, on all of which the court found the defendants guilty as charged, may be divided for convenience into three groups, of which counts 1 to 14, inclusive, form group No. 1; counts 15 to 26, inclusive, and counts 51 to 62, inclusive, group No. 2; and counts 63 to 73, inclusive, group No. 3.

Of said group No. 1, count 1 charges the four defendants, and Mulholland and Buhlig, on June 9, 1931, in said county, with unlawfully, fraudulently and maliciously conspiring together, and with other unknown persons, to unlawfully obtain from the public generally the sum of $13,000,000, and divers checks, drafts, notes, bonds, and other instruments in writing for the payment of money of the value of $13,000,000, from the public generally, “by false pretenses, and to cheat and defraud the public generally, . . . contrary to the statute,” etc. (i. e., section 46 of chapter 38, Cahill’s St. 1931, if 116, p. 1010.) In count 2 the same charges are made as being ‘ ‘ contrary to the law, ’ ’ etc. In count 3, the defendants are charged with unlawfully, etc., conspiring together, and with other unknown persons, to unlawfully obtain “from stockholders, depositors, customers, creditors,” and persons about to become such, “of the West Englewood Trust & Savings Bank,” an Illinois banking corporation, “the sum of $3,000,000,” etc., and divers checks, etc., of that value, belonging to said stockholders, etc., “by false pretenses, etc., contrary to the statute, ’ ’ etc.' In counts 4 to 14, inclusive, the charges are substantially the same as to each of the 11 other Bain banks.

Of group No. 2, count 15 alleges in substance that on said date, etc., John Bain was and had been for a long time the president and a director of 'the West Englewood Trust & Savings-Bank; that John H. Bain was and had been an officer of the bank and an assistant of John Bain, performing certain powers and duties as president; that W. Merle Fisher was and had been cashier and a director of the bank; and that Walter IT. Buhlig was and had been a director of the bank and the chairman of its Discount and Finance Committee. And it is charged that the six defendants, on said date, etc., knowingly, wilfully, fraudulently, etc., conspired, etc., wrongfully, etc., as officers or agents of said bank, “to buy, discount and purchase,” or cause to be bought, discounted and purchased, for and on behalf of said bank, from John Bain and the other five defendants, and from firms and corporations which the six defendants ■ controlled or were interested in, “divers notes, mortgages, and real estate property ... at an exorbitant, extortionate and excessive price,” far in excess of their value, as they well knew, “and to thereby collusively obtain,” without consideration from the bank, “for themselves and for said firms and corporations, . . . the funds, money and property of said bank, and to thereby defraud said bank, contrary to the law,” etc. In counts 16 to 26, inclusive, the charges are substantially the same in relation to each of the 11 other banks. Count 51 charges a conspiracy of certain defendants named as officers of the West Englewood Trust & Savings Bank, and of other defendants, “to cheat and defraud said bank of its funds” and to induce it “to make excessive loans” to persons insolvent or approaching insolvency without receiving security therefor, and to make or cause to be made to themselves, as officers and agents of the bank, or to companies in which said defendants were interested, excessive loans, when they or the companies were insolvent, “thereby making such loans bad, desperate and worthless,” as they well knew, and “thereby to injure said bank and to defraud it of its funds, money and property, contrary to the law, ’ ’ etc.

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Bluebook (online)
274 Ill. App. 215, 1934 Ill. App. LEXIS 729, Counsel Stack Legal Research, https://law.counselstack.com/opinion/people-v-bain-illappct-1934.