New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1891-06-14
MIR. LACErS STATEMENT.
THE CONTROLLERS HAD WARNED THE
KEYSTONE DIRECTORS


rHE STATE TO LOOK TO PHILADELPHIA FOR
IT'S CLAIM AGAINST BABDsLEY- ANOTHER
SHIT AGAINST HIM-BARDsLEY's ES-
TATE VALUED AT 1892 900.
wash,nrton June l3.-The attention Of Mr. Lacey.
controer Of the Currency was called this morning to
the abatement of Assistant Bank Examiner Jones' He
sa,s that he a member OF the Assay Commission
which met IN Philadelphia on February IL. He took
ADVANTAGE Of this visit to meet the directors OF the
Keystone Bank and 10 impress upon them the necessity
of keeping their reserve stronger and putting the bank
In q more satisfactory condition. lie made no ex-
snnston, but such matters in relation to me accounts
as were brought to his attention all embodied In
Examiner Drew's statement Of February l6 which dis
closed an impairment Of capital. but not insolvency.
The Lucas defalcation OF 100000 was. of course,
known to him, because il had been stated in Ex-
aminer Drew's report of January "a, but the same
report stated that the Lucas estate had conveyed 10 the
bank and banking house the seashore property, which
was estimated 70 be worth more than the amount of
the defalcation.
1t is untrue the Controller that he called the
Sea~Girt and Spring Lake property worth 100000,
or any other sum, for the that he had never
seen IL and knew nothing whatever Of its value, ex-
ocpt what the examiner and directors had told him. 1t
Is the examiners duty in such cases, the Controller
saws 10 inform himself fully TO value Of assets ana
report the Controller his estimate as basis for the
latter's action.
Philadelphia, June 13.-Mayor Stuart to-day re-
ceived Controller Lacey copy of the instructions
that he has sent to Receiver Yarey Of the Keystone
Bank In regard to the the receiver shall pursue
In giving information TO the investigating committee
of the affairs of the bank. What the Controllers IN
structions will not be made public until the meet
ing Of City Councils Monday, when both branches
will meet in special session TO confirm the surties OF
W. Redwood Wright city treasurer, TO I'LL the unex
pired term of John Bsrdsley.
The expert accountants still az work on
ex-Treasurer Bardsey's accounts with the State. but
so far have made discoveries Of any other mlsap-
preparation of money than the s445 of school funds
that Bardsley used for his own purposes.
The report Of Controller Lacey 10 the Secretary OF
the Treasury, the course pursued by him with the
Keystone Bank, has not yet been received by Mayor
Stuart.
Attorney General Hensel has decided abandon the
Commonwealth claim against Bardsey and TO look
10 the city and county Of Philadelphia for all moneys
que to the state Treasurer The amount representing
the taxes of 1890 Is about 81 100000, without ref
erence 10 1891 The Attorney General will begin
proceedings AGAINST the city unless some satisfactory
arrangement Is speedily made.
AT O'Clock this afternoon, Just the United States
Circuit Court Office was 10 close for the day counsel
National Bank filed bin AGAINST John Bardsley and
Edward w. Magi assignee for the benefit Of creditors
to be part Of the assets belonging To the bank. Tho
bin, after ectng the details sof the recelvership and
the assignment Of Bar1sley. goes to give list Of
the notes They are nineteen in number, amount 70
s47 416, and those sent Bardsley by Francis W.
Kennedy, president of the bank the day It's doors
we're closed.
II was then recited in the bill that tho Spring
den Bank was hopeessy insOvent on MAY s. a fact
which was well known to the officers TO Bardsley
and that the delivery Of the promssOry notes
toned together with the collateral securities pledged
therefor for the purpose of preventing the app
cation OF the assets Of the Spring Garden Bank
uuired by law II Is Then set ont that Mr.. BardSley
Is insovent and Ms assignment Is recited The trans
feS are alleged 10 be void. 1t Is then related that
demand has been made without success MaRiI the
assignee for the return OF the The PRAYER Of
the bill Is that the assignee be enjOned from realizing
on the notes and that he lie ordered to return them 10
the receiver.
The assignee Of John Rardslcy this afternoon filed
IN the Court Of Common Pleas inventory and ap
praisement Of the real and personal property Of the
ex treasurer The inventory includes seventy four
small in various parts If the city. number Of
notes and the Sa45OOO in due bills that barlSley
says he received for q corresponding amount OF money
which he deposited in the keystone Rank The value
Of Bardslev's estate appraised in the inventory.
not including the $4,000 worth of dur bills and
S.47 900 I'm notes. Is $4,000 o.
The appraisers. in fling their inventory. that
they have placed no value the due bills. ms tho
keystone Rank Is insolvent and in addition.
the due bills will probably not be recognized or ah-
mitted by the receiver OF the bank Indebtedness
Of the institution III relation to the prOmssOry notes
upon which no value is placed the appraisers say that
in some both maker and irdOrser are nsOlVent
and IN other cases they have been unable TO gain
any information In relation 10 the makers OF the
notes.