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eBook details

• Title: State v. Mcgraw
• Author : Supreme Court of Montana
• Release Date : January 18, 1925
• Genre: Law,Books,Professional & Technical,
• Pages : * pages
• Size : 58 KB

Description

Schools and School Districts ? School Funds ? Deposit in Insolvent ? County Depositories ? Liability of County ? Mandamus. School District Funds ? Deposit With County Treasurer ? General Deposit. 1. The effect of the provision of section 1213, Revised Codes of 1921, requiring the county treasurer to keep school moneys as a "special deposit," is not to make the county a bailee thereof in the sense of a deposit for their safekeeping, they to be returned to the school district when called for, but is to constitute the deposit a general one which, however, must be kept in a special account for school purposes. School Districts Subdivisions of State ? Limit of Powers. 2. Counties and school districts are subdivisions of the state government with fixed powers and duties, and any act taken by the commissioners of the former or the trustees of the latter must be justified by the provisions of the statutes defining and limiting their powers. Same ? Deposit of Funds With County Treasurer ? Treasurer Agent of County ? Liability of County. 3. By the adoption of Chapter 88, Laws of 1913 (now section 4767, Revised Codes of 1921) and amendment thereof (Chapter 137, Laws of 1925), requiring the county treasurer to deposit all "public moneys" ? which term includes moneys belonging to a school district or other branch of the state government ? in his possession in county depositories designated by the board of county commissioners, the treasurer becomes the agent of the county in handling such funds and he and his bondsmen are relieved from liability for their loss occasioned through the failure of the depositories. Same ? County not Relieved from Liability for School Funds by Chapter 128, Laws of 1923. 4. Held, that the contention that the legislature by the enactment of Chapter 128, Laws of 1923, authorizing school districts to issue warrants in a stated amount where the banks in which their funds had been deposited became insolvent ? an emergency measure ? modified or repealed section 4767, Revised Codes above, so as to relieve the county of its liability under that section for funds deposited with its treasurer by school districts and by him deposited in county depositories, has no merit. - Page 153 Same ? School Funds Lost in Insolvent Banks ? County Liable. 5. Under Chapter 137, Laws of 1925, amendatory of section 4767, Revised Codes of 1921, title to moneys deposited by a school district with the county treasurer passes to the county; the moneys become county funds; the county becomes the debtor of the school district and upon redeposit thereof in county depositories is liable to the district for their loss occasioned by such depositories becoming insolvent, such loss being the loss of county and not school district funds.

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