The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1891-06-09
Postmaster General wanamaker
Makes a Statement
BEFORE THE COUNCIL COMMITTEE
OF Philadelphia, Regarding His Con.
nection with the Keystone Bank.
lie Apparently vlndicates Himself
from the Charges Intlmated by In.
imical Newspapers.

to order by Chairman Van 0sten. For
an hour Bank Examiner Drew was
fairly racked with questions. While
Mr.. Drew was giving his testimony
Postmaster-G General Wanamaker and
his son and partner, Thomas B. Wana-
maker, pushed their way through the
crowd and came into the open space be-
fore the chairman's desk.
AT the conclusion OF Mr.. Drew's ties.
timony the Postmaster General stated
that he had prepared and proposed to
read q statement that he had in his
hand. He said that the paper was u
full and complete statement Of his
transactions with the bank. In sub
stance Mr.. Wanamaker read:
81 have been o depositor only, never
wus an incorporation, officer or director.
The firm OF John Wanamaker, consist
ing Of three persons, had IN account
with the Keystone Bank. On that ac-
count the checks Of the firm were drawn.
The firm account, by arrangement
with the bank, was made re-
sponsible for Mrs. Wanamaker's
checks upon the bank, which for
convenience were kept in q separate &C
count. 1t was substantially one account
under two heads. Mrs. Wanamakefs g
account could not be overdrawn while
the firm account had n balance to its
credit. When the bank closed our
books showed balance in our favor.
There is a small difference OF $4,000
and If they arc right and we are wrong
there would be small balance against
us.
ave kept up our deposits straight
throughout the panic, and our total de-
posits in the Keystone bank from No
vember to the 2Oth OF March, the date
of closing, were Sl,263.S96.79. "Know-
ing, however, that the bank was
short, We gradually decreased our
balance. Our course with the
Keystone bank was solely die
Itatcd by the ordinary prudence OF
business men. never knew or any ir-
regularities in the Keystone Bank until
after the run, when Mr.. Lucas's indebt-
edness was made known. At latee
period 1 was told by Mr.. Marsh, the
president, for the first time, that he
feared some stock / held as collateral was
not properly issued. had no
knowledge that the bank was going to
close when it did. On one occasion, Mr..
Marsh called on us without solicitation,
saying that he wanted $4,000 of our
paper, not for the keystone bank, but,
as we understood, for country banks or
other of the banks correspondents.
We grve it TO him.
~ never borrowed personally from
the bank except on the occasion above
stated.
A CLEAR STATEMENT.
II never suggested any person for the
receivership of the Keystone Bank. ]
did not know that my brother had en-
tered bail for Mr.. Marsh until read
the fact in the newspapers. | never
had business transaction with Mr..
Bardsley individually or as city treas
urer. l knew Mr.. John G. Lucas in a
business way from his early
manhood. and never heard n whisper
against his integrity until after he was
dead. During 1887 told him my great
desire to assist in preserving the indie
pendence of the Reading railroad prop
erty, and invited him to join mo in pur-
chasing certain stockholdings, Mr..
Lucas was to supply certain sums Of
money and deposit the same to my per-
sonal account in the Keystone Bank.
81 drew checks on that account to the
extent OF about $4,000, he giving me
bank stock occasionally in lieu Of cash.
AS result, when he died, | had in my
possession 2,5l5 shares OF the Keystone
bank. then learned my account was
oyerdrawn and Immediately made it
good. No intimation was ever given me
that the stock was irregularly Issued
until Mr.. Marsh called it in question
and desired to have the stock returned
to the bank, This / declined to do, be-
cause did not believe the stock was an
over lsSpe.
"When the bank closed / surrendered
the stock. Icould in this way lose noth-
ing myself, as that which 1 surrendered
was valueless to me, but might posi-
bly, help in the reorganization
OF the bank and save others
from loss. Last autumn Mr.. Marsh
claimed that tho bank had strained
to help It's customers and that he
wanted help, and we paid off all our
discounts as fast as they fell due, Later
on, when the run came, he pressed me
to loan my paper for use at the clearing
house to recover other collaterals
pledged there, all OF which declined.
"About S So'clock tho night preceding
the daythe bank closed, Mr. Marsh called
on me, in Washington, to say that he
had been to the Comptroller apd In
formed him OF his doubt. Of the Stock,
and asked me whether | could in any
way help the bank. said no, and tho
interview closed in three minutes.
"In brief, Iwasa depositor, but not IN
officer Of the bank. / did not know the
bank would fail, nor did l delay or
touch in any way the appointment Of Il
receiver. / am absolutely ignorant Of
the transaction with Mr.. Bardsley,
within or without the bank. Instead OF
the bank losing q penny by me, ! have
only been profitable customer"
Mr.. Wanamaker, in response to ques-
tions by Mr., Fittings, said he borrowed
money on tho stock Lucas gave him un-
til there was question about its verify
and then he gathered it up and held It,
Mr.. Ettings-Did you want value for it
after you had been told that it was un-
authorized?
Mr. Wanamaker-I had pending at
the time, as have told you, the ques-
ton OF settlement. i have stated to you
that never believed, and do not be-
ljeye now, that the stock l held was inn
proper stock, But I was fortunate
enough to not to make any settlement,
otherwise II might be possible that /
would have some of the missing money.