The Empty Copper Sea by John D. MacDonald Page A

McGee, for me to make a valid estimate. My horseback guess would be between six and seven hundred thousand dollars. I would say that those assets remaining behind which can be converted into cash would result in a recovery of maybe one and a quarter million dollars, and most of that value would be in the appraised value of the ranch and grove lands."
    "So the bank stands to take a bath of one and three quarters million dollars," Meyer said.
    Boggs wiped his mouth again and said dolefully, "if it were only that simple. There are a lot of other claims and liens against those assets. We may have the senior debt instruments, but we might have to prove it in court. It is such a terrible tangle that it might drag on for years. Legal fees and court costs will eat up a great deal of the remaining equity. In the meanwhile, such a huge write-off against our loan-loss reserves might mean that we would have to ... give favorable consideration to an acquisition offer we have been rejecting. I have always felt that a locally owned, locally managed bank is far more responsive to the needs of any community, and ...
    excuse me. Our banking problems are of no interest to you."
    Meyer gave a sympathetic sigh and said, "And I suppose that the state banking authorities and the examiners from the FDIC are stating that you didn't exercise prudence and good judgment in so setting up the loans to Mr. Lawless that he was able to market the assets without your knowledge and able to withdraw his compensating balance."
    "I see you know banking, sir."
    "Everybody is always full of wisdom after the event."
    "Hub was in and out of the bank a couple of times every day. He was a director. He was on the Loan Committee of the board. He was a very hardworking man. And very ... personable.
    Anyway, I wish we were in a position to be able to offer to sell some of the remaining real-estate assets to Mr. Allbritton's corporation. But, with no legal decision as to whether Mr. Lawless is dead or alive, you can see the terrible legal tangle we are in here."
    "Do you believe he is dead?"
    Boggs hesitated a long time, choosing the right words. He said, "I did at first. Now I am not so sure. Neither, of course, is the insurance company. Julia Lawless is the owner of that two-million-dollar policy. It was taken out seven or eight years ago, for half a million, and as his affairs kept getting more involved, he kept adding to it. She owns the house free and clear. The land it's on was a gift from her father when they got married. I think she has some sort of very small income from her father's estate. Not enough, I wouldn't think, to run the house. I suppose
    ... she is another of the victims of this disaster."
    Meyer said, "I don't imagine you would have any objections if I set up a hypothetical situation.
    Suppose, just for instance, that Mr. Allbritton made a decision, based on our examination of the properties, to make an offer of one million dollars for Tract So-and-So. Could the various claimants be brought together to reach an understanding? Could title be passed somehow?"
    For an instant a faint gleam of hope illuminated Devlin Boggs's long sad face, but it faded away.
    "I wouldn't think so. I don't know. It's a bureaucratic tangle as well as a legal tangle. Some kind of accommodation would have to be reached with the IRS ... I suppose Harold Payne might be able to give you better answers than I can. He is the bank's attorney, and he handled Hub's affairs as well. Elfording, Payne and Morehouse. They're in this building. Seventh floor."
    I awaited Meyer's next move. He was doing very, very well. One door had been wedged open.
    Duplicity was hard on Meyer. It frayed his nerves and upset his digestion.
    "Mr. Boggs," he said, "it is quite evident from what we have heard so far that ... people asking questions are not exactly welcome in Timber Bay lately. I can always show my letter of authority, but I would rather not do that except when dealing with a man of your