Morning journal and courier., 1880-02-14
ExTRAvAGANT SAVINGS BANKS.

EXTRAVAGANT SAVINGS BANKS.
 When Bank Superintendent Lamb, of New York, sent circular to all the savings bank officers in the State calling upon them for in- formation concerning certain unauthorized expenditures of money, quite 8 stir was crea ted. Superintendent Lamb had become con vineed that some of the savings banks, with out apparent thought about the depositors or their interests, had made free use of money, to be charged to ''proft and loss account in bestowing rich wedding gifts upon employees, giving sumptuous dinners to trustees and friends of the bank, for busts of officers, and for portraits of lines of presidents. Money had also been leaking out of the banks for funeral expenses" Illegal expenses" contri- buttons to military organizations, charitable gifts to sufferers in Memphis and elsewhere. MT. Lamb wanted to know how much of this had been done. The bank officers naturally felt insulted that they should be asked such questions, but as Mir. Lamb was justified by the law in pushing his inquiries he did not shrink from the task he had set himself. The bank officers finally concluded to answer the questions asked, and their answers show the need of MT. Lambs action.
 We select specimen case or two as an ll lustration. In one bank the first officer had enjoyed permanent leave of absence for three years, his salary being reduced to $3.000 year during that time. At his death the Board of Trustees paid his widow $2, 900 for sspast services" and the amount was charged to profit and loss account. In the same bank the secretary retired and became actuary at a reduced salary. A gentleman who had been the banks attorney was elected secretary, with salary of $5,OOO. In 1875 his salary was increased to $s, 1000 because the treasurer was absent. and some of that officers work was made $7,O00, and when, in 1877, he died, the trustees paid $3,000 to his widow lin recognition of his ser vices as counsel and secretary" and the amount was charged to profit and loss &C., count. The same account was swelled in February, 1878, by the addition of $500 paid to teller, who retired in consequence of ill- health. From 1866 to 1876 the profit and loss account had been charged with gifts to clerks, about $10O to each for every year, and in one year two gifts of this kind were made to all the clerks of the bank. The books of this generous bank show that gift of $7OO was made to clerks in December, 1877; one of $500 in July, 1878; another of $500 in De- cember, 1878, and one of $4o0 in January, 1879. From 1876 these gifts of the banks money were charged as Incidental expenses D In February, 1867, the banks secretary had been presented with $1,OOO; in October of the same year another gift of $1, 800 was made to him, on the same day that another employe received gift of $1,0Oo. The gifts to officers and employees in this savings institution in January, 1870, amounted to $3, 300. Another bank disposed of about $7, ,OOO in the course of ten years in similar way, another of more than $45, ,OO0 in four teen years. another of $1o, ,oOO in ten years, and so on.
 Superintendent Lamb deserves the thanks of the depositors in New York savings banks for his exposure of the extravagant and law less use of their money. It is stated that in the last eighteen years not less than quarter of a million dollars have been needlessly spent by these banks. There will not be much more of such work, for a time at least