The morning call., 1894-05-15
Another Pacific Bank Scandal
Unearthed.
THE INTERNATIONAL ELECTRIC.
Little Money for Depositors in the
Commissioners Report, but Much
for Management.

Structl0n Company, nleQ complaint yes
terday charging DR.. William L. Jenningsor
with grand larceny. Jenningson is accused
of taking package from the residence Of
Parsons on June 23 1893, containing
twenty bonds of the Lodi Electric Ligh
and Water Company, valued at $4,000.
Jenningson was until recently director
of the Peoples Home Savings Bank. and
acted as the confidential agent of Dck
Mcdonald. The date Of the offense will
which DIR. Jenningson is charged is sig
nficant. The Grand Jury. in bringing an
indictment against Dick Mcdonald fol
em bezzlement, declared that upon tha,
verv day Dick Mcdonald misappropriateo
$4,000 of the funds of the Pacific Bank.
In speaking of the complaint last even
ing Parsons declared that DR.. Jenningson
entered his residence while he was absent
In the East, and telling his wife that he
had CONS for some books belonging to the
electric company with the long name. OBJ
tanned the key to Parsons desk and alb
stracted the bonds and about twenty let
ters.
II held the bonds as security for note, -
said Mr.. Parsons last evening. II want to
return the bonds TO their rightful owners
now. l have repeatedly asked and written
to have these bonds restored to me. !
have been unable to secure their return,
and so 1 filed the complaint to compel DR..
Jenningson to give them up"
Mr.. Parsons neglected to explain q very
important relation which his company
bears to the Pacific Bank. The story Of
the connection is this:
The International Electrical Supply and
Construction Company was incorporated
in back room of the Pacific Bank. Dick
Mcdonald controlled two-thirds of the
stock and E. E. Parsons one-third.
Seth Mann was engaged as the attorney
of the company at a salary of $1,000 year.
The Pacific Bank furnished the money for
the corporation, and Dick Mcdonald and
E. E. Parsons were to share the profits.
Parsons went East 10 buy material, which
was paid for with three months accept
ances drawn on the Pacific Bank and in
dorsed by Dick Mcdonald. Very little
was effected by the company, and conse-
quently the resources of the Pacific Bank
were weakened In paying for the accept
anceS.
Dick Mcdonald had the company incor-
porated for S5.000,000 and expected to reap
an immense fortune from its revenues.
He expected to control the electric supply
business for the city and had contem-
plated securing a franchise on nearly
every street in San Francisco.
Finally the bank got in such condition
that it could make no more advances and
the property bought by Parsons was sold
at a sacrifice.
The present balance sheet of the Pacific
Bank shows that the proceeds of this sale
were not wasted in making good the
amount owing to the Pacific Bank. and
the company is still indebted to the bank
for about $4,000.
1t is claimed that in securing the Lodi
bonds Jenningson acted in behalf of Dick
Mcdonald.
The Bank Commissioners report upon
the affairs of the Pacific Bank for the
month Of April past was presented to
Judge Hebbard yesterday by Manager j.
E. Fnrnum.
During the month of April there was col
lected sS798 "a, of which $1,000 was upon a
first and third mortgage on lands in Ne
braska. The total disbursements for the
month amounted to S555S SO. The Commits
sioners report with pleasure that DR.. r. H.
Mcdonald has signed and acknowledged
all deeds to properties belonging 10 the
Pacific Bank in his name and has trans
ferred them over for the benefit of the
creditors. Attempts have been made to
compel r. Fl. Mcdonald Jr. and Frank V.
Mcdonald to do the same, but these at
tenpts have so far been unsuccessful.
AS matters stand now. from the time
when the Commissioners stepped in on
November 8. 1898. to the present time,
there have been In all ITO claims flied
against the bank. amounting in all to
S598, ,618 23 The Commissioners acknowl-
edge the receipt Of a certificate of deposit
of SIG. $40 by William Ede. which lies un-
touched pending a decision In the suit
against Eide. There is cash on hand in the
Anglo Californian Bank amounting to
S67. 533 "a. and a collection is daily ex-
pectsd on bills receivable of $780,
The total receipts from November last
to the present date amount to $50. .5O4 Sc,
which sum added to the S12, ITO 20 cash
turned over by Receiver FL. |. Wiley
brings the amount up to S95,614 56. Dis
bursements total the sum of S67, ,533 "a
uo COtluloSlouoTo Stdtou tudb Ln6 TACT OF
the Supreme Court not having yet deci ded
the application for writ of prohibition
prevents the work being progressed with
as thoroughly and speedily as might other
wise be expected, but they hope soon to
declare per cent dividend to depositors,
who have as yet received nothing.
The indictments against r. 81. McDon-
aid Jr., Hiram L. Graves, A. L. jenkins
and Charles R. Montgomery were filed
with Judge Murphy yesterday and the
cases placed on the calendar for Friday.
Paris KilburL. accompanied by Bank
Commissioner knight, whom he succeeds
TO-DAY, called at the Peoples Home Saw
ings Bank yesterday. and was shown over
the building by Receiver Sheehan.
Secretary Summerhayes spent a good
portion of the dav at the bank yesterday,
going over the securities and records and
making numerous inquiries.
The Grand Jury resumed its session to-
day and may have some further indict-
ments to present
ARRAIGNED ON FRIDAY,
I.,1ra Ms.rofru Will OoaI xA;&t, <t,~