New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1891-06-16
THE CONTROLLER AND THE BANKS.
DIsTRI CT-ATToRNEY READ AND BANK EX-
AMINER DREw'S ANSWERS TO Mr..
rACEv,c grprc-rTTRFS


LACEY's STRUCTURES.
phSradelphia June 1s-At q meeting Of City Conn'
cils this afternoon communication was received from
W. Redwood Wright the recently confirmed CITY irees
urer Offering the American Surety company W. '",
bondsmen An ordinance was imnediateiy lh'rouuoeu
and referred 10 the Finance Committee approving u
surety If Mr.. Wright. The Finance Committee met
and reported the ornsnce favoraby, and at the meet
ing Of Councils on Thursday 1t viii be passed. aiu
Mr. Wright viii take possession Of the Office.
The report Of Controller Lacey was sent to Councils
by Mayor Stuart. copy OF the directions trans
mitted by the Controller to Receiver fardley as 70
the course the latter is to pursue In allowing the IN
yeshgang committee to examine the books and papers
of the Keystone Bank, also sent to Councils By
tlr Mayor. The directions Of the Controller TO he-
oeiver Yardley are follows:
You will permit an examination under advice OF the
United States District Attorney into all matters and
aScC c"saO 81 yS nd p sS o where
or irregularities charged with such OBSERVATIONS OF
Of the bank or the ends Of public justice makes neces
sary You viii inform Edwin 3 stp as,e. o.
Pdeph and John r. EesG T1 IKE sSS
Very RESPECTFULLY E. L. LACEY, Controller.
MAYOR Smart also sent recommendation to Coun
ellis that they take action to effect a complete re
organization OF the present methods Of conducting the
business of the Office of City Treasurer All the COM
uunicatons were referred to the investigating com
mittee.
The expert ACCOUNTANTS who are at work on Bards-
leys accounts with the State have traced te S445oo
that the ex-treasurer stole from the school appopr
ton fund TO the he made Of the money, but the
result Of their work will not be made public until II
is sent tomonuw TO the Investigating committee
That committee he'd no meeting today
United States District Attorney John r Read said
tonight in regard TO the statement Of Controller Lacey
that he Qacey supposed him TO be in full possession
~ tDoXu led Of criminal Marsh.
al wtsh 30 say positively that had no knowledge
Of any criminal act by any living official until after
the bank was closed did not know until after the
bank was closed that Marshs reports to the Controller
Of the Currency were false At conference held at
Attorney General Mlllers, on or abOut March % or
2s, the utmost discretion was given me IN making l
present 1t was acquesced In that u woun Do
possibility of reorganization or that the appointment
of q receiver could be averted.
Immediately after Mr. Davis aecnn e dhe pres
organization was over, caused the arrest of Marsh
and Lawrence The absolute evidence thst tho reports
made by Marsh to The Controller Of the Currency were
false and that the entries made In the books by Marsh
and Lowre1ee were false was not submitted to INC
With regard to the Controllers statement that
Examiner prews rrports did not show the Tue con
said tonight that he is confident that the reports
showed the condition as accurately aS could be as
to suspend examinations for the present, Mr.. Drew
furnishes the following letter which he did not in
terpret at the time as signifying suspension
Office Of Controller Of the chrnncy,
W. p. Drew. National Bank Examiner. Washington
ID. c.. June 8. 1891
Ny Dear Sir: Your favor Of the Cd inst came to
hand by due course of mail. | note what you say
in reference to the proposed resolution Of Mr.. Etting
and also the attacks made upon yourself also note
that you are pretty through with your work con
nected with the two failed banks, ond will soon be
ready 10 resume your regular duties, / have to
suggest that before assuming examinations ] should
Ike to have a conference with you and 60 over the
matters which have attracted so mucrattention During
the last three months. You have been so fully en-
poyed custodian Of the assets Of these two nsOlyent
banks that did not care TO have You take the time
to come over here but as soon as can get little
leisure and you are free from the banks in question
shcuh be glad 10 arrange for You to come over for
p. 8. LACEY, Controller.