People Ex Rel. Webb v. Honey Lake Valley Irrigation District

The defendant was organized under the Irrigation District Act of 1897 (Stats. 1897, p. 254) and the amendments thereto. The organization was completed September 18, 1916. It embraced something over thirty thousand acres of land and was governed by a board of three directors. The first assessment .of the lands therein was levied September 10, 1917. Prior to that time, under the provisions of section 61 of the act, the board of directors had incurred indebtedness and had caused warrants therefor to be issued to the engineer of the district. These warrants recited that they were issued for “engineering” or “administration” expenses in accordance with the provisions of section 61, and that they were “payable January 1, 1918, and bear interest from the date thereon.” Some of them stated that they were payable “from the revolving fund”; others “from the warrant fund,” and one “from the-fund.” The Anaheim National Bank became the owner by assignment of fifteen of these warrants, of the face value of $7,425, and the City National Bank acquired six of them, of the face value of $2,600. September 10, 1917, the board of directors caused warrants to be issued to the engineer of the District…