The Dallas weekly herald. [volume] (Dallas, Tex.) 1873-1885, 1884-06-05
or the Petroleum Pargst0ry--The ID.
rec,ory Crimiunfed.
Pitt burg Excited - Riddls Dying.

Plrr,BugG, June 2.-Prrsident Riddle
tails morning inside a statement OF the az
GAUGES which led to the collapse. He
charges the bnnk directors with being CON-
cerDtd in the oil pool which wrecked tho
bank, and tells how the failure was brought
about. lis recitee how the position OF the
presidency WAS forced on him, and how
he soon discovered the losus on oil col
lateral exceeded tho collateral at the low
Cashier R.iber and the vice president,
whom he had told 10 have these accounts
made up, aud told them he did not see
what ne could do uniess by personal
e~xertion to get n lot OF people
To buy enough oil 10 put prices IN and buy
enough on tue banks account to make good
these accounts. T. told Mr.. Rebel" said
he. "and / old mart OF the board. Viz, f..
b Laughlin, j. Y. Brown, A. M. Csvitt and
Major SweGr,ngen, oil NY Intention, and
toiu all OF them that | would not then or Of
any time buy q eiDgle hos'd for myeeii. ]
had only tho wish to make up these 40
counts / went east, and the board knew
the nature OF my GRAND, aud had q lot Of
people to buy aud a lot here to buy. Tbs
purpose OF this scheme vas profits for the
bank. | had no individual interest in the
venture at all. On May % l bought a
large lot Of oil and the price advanced. In
taken sick. That was the time
those accounts named IN the papers
as fictitious %count were made; some
were for any gain to go to the bank 10
make up these old back accounts; others
for individuals who would hope for profit,
which they would divide. Now, then.
want to say that these directors did know
ali rbout this. After ! went TO New York
10 get such parties ss / coUld TO buy oil
with parties here snd in OIL City, l told
these dir, ctors of the purpose OF my going.
They bough. oil individually at times that
l indicated, ss their accounts with the bank
will show. Oue of the isrti.s mat trans
acted business through me. az the accounts
IN the bank will show, was Mr.. Hnpkins
| bought oil tor MIR. Laugh.
lin, and with his oonsen,, j.
was put into an account ia the bank ~ h.
B. Lsuehiin No. 2. and nti!l stands there
undivided, nothing having been said 40 to
where the profits should go. / once bought
oil on HE account and gave him one.fon,th,
X. M. Kennedy one.iourth and T. Beck
on%e-iourth, to make mp these accounts, and
G.. L. Reiber one.fourth, tn mak up ac-
counts of W. friends overdrswn. That &C.
count still stands there, cha' ged with LOSE;
that is the scoount known as chill d Co."
Among other directors who bought oil
upohl bkSl .
directly from ms was j.. o.
Browu. on his individual account; a.
NJ. Cavitt. on his individual account,
and l believe his sccount still stands
ovsrdrswn for part OF the amount. A. A.
Hutchinson also bought on his v 90
count. 8. Severance bought Cd own 90
count, but paid for 1t. Isssc Won Voorhees,,
attorney for the bank, slso bought large
amounts on information received from mo.
George G. Davis did buy or talked Of buy.
ing, as he inquired every day as TO the
prospects, both OF myself INC Mr.. Ruber.
Mr.. Swearingsn talked frequently about
these transactions, and causually inquired
how they were getting along, a. they
passed on their way to New York and Oil
City, and accounts were being charged for
handling. Mr.. McMu,ien also vought
large amounts of oil for himself and
myself and representing the bank,
lending 1t with no special intention OF gain
for himself. siRply Intending TO put j; there
that IL might b+netit the bank and WITH this
Wilson & Co." The account of Watson
WAS An account made snd suggested by Mr..
d. j. Watson himself; the benefit OF this
account was to go half to the bank for this
use of these old accounts. The first trans
action was the transfer OF some oil from Oil
City to this place, through accounts; also
transfers thereafter made WAS Though this
ACCOUNT. w men the i1ulc CGIuC I " pGGtlc oil
amounts that had passed through this &C.
count were CHARGED up against 1t. h &C.
count OF r. N. Kennedy No. 2 and r. M.
Kennedy on account CT principal
were bough: by bis consent and mostly BY
his direction and for my account in the
bank. he to get half and l to get one.halt
to Yards making up this account. IS stated;
aud to this account he made sundry
Oh eek. security orders aud sundry notes, nut
lett IL in 3 general way in my charge. The
account Of Erovn & Co. vas credited at frat
as money being received from parties In
Philadelphia, and y,rt of 1t from j.. r..
Keene. That account stands balanced 30
that there ia nothing further concerning It
known. During July, 1883, it was found
ne ceesarv 10 cell, not only q great portion
of this oil, but a great portion OF
our customers oil held rs collateral, and
this was done. 1 told Mr.. LsughJin one
day 1t wac done, and he was good enough
to help me vii he could. / told him that l
did not zee how / could stand it much
longer, as my strength WAS being tried
seemingly beyond human endurance;
Many Of the Individuals who bad received
Information to buy ut low rates. sold at
high rates and took. ths money to the
credit of their own accounts. During the
time this oil was bought it WAS currently
circulated OF the EXCHANGE that thus was
only q little pool to make up some bad &C
COuuts at he rem DHuR ana tnls WAX JUS
case. It was work enough to attempt to
do such an act aud try TO make this money
Tor these sccoupta, sud particularly so
when prices had reached the limit OF our
intention, that l might keep faith with
others. insisted upon all that l had to
do with not selling. bat many individuals
sold in spite Of promises not to do So"
Continuing, he gsserts that the accounts OF
oany directors were Overdrawn
at times from 5000 to
over 500, 900. Two days before
suspension tho condition Of the bank wa
comfortable, but many people, with ma
iicious intent, gave out such reports as
caused q run and compelled 1t to close.
All his stock and deposits amounting in
value 10 100000, he Gays. were loft for
the depositors, but the director, without
his perm ission, appropriated them for their
own security. The statement created in.
tense excitement and the newspaper offices
were surrounded with per ple OF oil CHASER,
who jos'led and provided each other In
their esgerness to obtain copies. The d.
rectors Implicated indignantly deny the
allegations made BY Riddle, who claims
that the documents now In the hands Of
the assignee will fully oorrobsrsto his
statement. Riddles condition VA mucn
worse to-day, land physicians fear moro
hemorrhaGes.