The Manning times. [volume] (Manning, Clarendon County, S.C.) 1884-current, 1891-06-10
THE NATIONAL BANKS.

Tile NATIONAL BANKS.
SOMETHING WRONG IN THE ADMIN
lsTRATloN OF THE LAW.
Developments in the Philadelphia Scan
dal that Indicate Criminal Negligence
on the Part of Comptroller Lacey and
his Subordinates.
PHILADELPHIA, June2.-At the close
of to-day's session of the examination
into the failure of the keystone Bank
by the committee of city council Coun-
Gilman Etting. who has taken an active
part in the investigation, offered res.
olution that the mayor be requested to
write to President Harrison asking
him to order an investigation of the
conduct of the treasury department in
connection with the Keystone Bank
affair. to order the production Of all
accounts of the bank and to order the
Comptroller OF the Currency, Lacey, to
appear before the committee. Etting
made most vigorous speech. in defence
of the motion. He said:
II am sure if we are to have the
national banking law construed and
acted upon as it has been ir the Key
stone case there is very little protection
offered to any depositor. BY the con-
fession of Marsh, in Januarv, and
through no skill or energy on the part
of United States officials. the treasury
department became aware of the Key.
stone rottenness, yet for ninety days
thereafter the bank was allowed to re-.
main open and the city and citizens OF:
Philadelphia were invited to deposit
theic money. It matters not whether
the assets now are more or less. Some
people who had every opportunity to
know the story of the rotten bank had
every chance to get out while other
people who could not know the story
had every chance to get in 1t is the
most extraordinary action on the part
of the General Government that 1 ever
heard of. Even if our city treasurer
uaG been honest be might, for all that
was done by the United States authori-
ties, have continued to deposit, for NO
nolice, no inquiry, no warning came to
put him on guard, or any other city
official on guard. The salary of Marsh
was even continued at the bank and
every appearance was held out that the
hank was sound during all this time
that the General Government knew by
confession of its rottenness.
"It is time we should make move
to right the city's wrongs and impress
upon the authorities at Washington
that there must be some very active as
surance of remedy for these abuses
of power on the part of the General
Government"
Smithers and Hicks, of the commit
tee, advocated delay and further inqui-
ry before taking such an important
step. Hicks said:
Il am not prepared to put myself In
the position of saying that Comptroller
Lacy'5 action is suspicious or question
able. It may be, but we are not quite
ready to declare it so. Let us 60 little
further and fix the responsibility first.
Let US get experts on the books of the
Keystone Bank. l am quite sure, in
spite Of all of Bardsley's receptions. he
would not have jeopardized S945, 900
and more if he had not been consider
ably deceived himself
Etting battled for quick action and
replied:
"The Chief Magistrate should be in
formed of this infiction upon the peo-
pie of Philadelphia Of the violation of
the banking law. l am not going to
say whether Examiner Drew or Comp
troller Lacey was responsible, but be-
tween the bank was kept open after
fraud was known officially. such &C.
tion by the Government, if continued.
will be detrimental to the banks of the
city. Here were confessed falsi6catlons
by a former president and the present
president of the bank amounting to
hundreds of thousands. If the law
was properly acted upon no mans
money is safe in any bank. If such q
letter was to go to the President,
backed by the committee of councils
and citizens, I am certain that there
would be an instantaneous production
of the books of the Keystone Bank"
Smithers said that the opinion OF the
city solicitor was that the books were
subject to subpoena.
"Every obstacle I can fancy" re-
joined Etting, has been thrown in our
way. We can look at the treaSurer'S
accounts" he went on with 1lnge OF
sarcasm, and then exclaimed with a
tremendous bang of his fist on the Ia
BILE, eve want to look at other accounts
and find ont what other men were do
ing in those ninety days after the
frauds were known, and while the city
of Philadelphia was handing her mil
lions into that bank"
One other member of the committee
voted with Etting and four against
him, so the matter was dropped for tn e
present. The general impression, how
ever, is that it will be reviewed shortly.
Paying Teller w. H. Thomas, Of the
Keystone Bank, testified to his knoWl-
edge of S926,OO in due bills given by
President Marsh to Treasurer Bardsley
in exchange for State funds. He said
another employee and himself were
kept pretty busy running between the
keystone and Spring Garden banks
with cash in order TO prepare for
the visit of the bank examiner and
show proper cash balance. An i'm
portant point in ThomaS'S testimony
was that during his six years connec-
ton with the keystone Bank, Bank
Examiner Drew dropped in" about
twice a week.
Tornado.
n 4 s,poll