The morning call., 1894-03-30
CONTEST OF THE FACTIONS.
They May Not Fight Over a
Presidency.
THE DIRECTORY THE STRUGGLE.
Some of the Factors Noted in the
Liquidation of the Affairs
of the Two Banks.

1t is regarded as more than probable
that the stockholders of the Pacific Bank,
at their meeting on the third of next
month, will vote so that Captain j. M Nc
Donald will be the president of that in
stitution. II is quite within the range of
possibility that no contest over Captain
jim will take place, and that Dick Nc
Donald. if he be back from New York by
that time, may express willingness that
his uncle should be placed at the head of
the wrecked bank.
This is not because Of any warm friend
snip between uncle and nephew. The Nc
Donald family has its own domestic fac
lions as well as the bank factions, which
have led to so many surprising changes in
the efforts to control the Pacific Bank.
There was a decided coolDess between
DR.. X. ii. Mcdonald and his brother, Cap
tain j. NJ. Mcdonald, but that did no
prevent the former giving Captain jim"
the proxy which overturned temporarily
The hopes of his son Dick. and gave the
faction with which NJ. H Sherman is
Identified control.
Whatever may have been the business
hostility which existed between DR.. R. 81.
Mcdonald and j. M. Mcdonald, and how
little the confidence may be which the lat
ter reposed in the sons of his brother, it is
argued that the relation ship will prevent
Captain }. III. Mcdonald from becoming
an ally of Sherman, and so. whether Dick
Mcdonald comes back with his fathers
proxy or not. Captain Jim" can probably
have the presidency il he wants 1t.
That does not imply that there will be
no struggle at the stockholders meeting
next Tuesday.
The great struggle will come over the
selection of new directors. aud here the
McDonalds and Sherman will make their
6ght for control. Ii Dick Mcdonald
secures his fathers proxy Sherman Will be
beaten.
The adherents OF Sherman declare that
he will not secure this proxy. 1t was
stated yesterday by one in the confid ence
of the Sherman faction that the mission of
Dick Mcdonald and Frank NJ. Stone to
New York must have failed, as they could
hardly reach this city now ia time for the
election if they had not already left New
York. and it was stated that they had not
left that city.
Friends of Dick Mcdonald have no
statement to make and claim ignorance of
his mission. but they point out that
proxy might be wired and do not seem to
worry over the situation.
There Is another factor in the case, If
Dick Mcdonald does not secure his
fathers proxy and it is allowed to remain
as at present with Captain JIM the
Sherman faction may be treated to a sur
prise at the stockn Olders' election. A
directory may be chosen which, while it
may not reinstate Dick Mcdonald in a
position of influence in the liquidation of
the affairs of the Pacific Bank, will prove
hostile 10 the hopes of Sherman and will
proceed regardless of bis wishes.
Stockholders of late have been asking
why the Phoenix Street-railway Company,
the bonds of which are held in large
amount by the Pacific Bank, should be
allowed to incur heavy expenses in build
ing a new line to the Territorial capitol
grounds instead of paving its notes now
due to the bank. As the railway is one in
which NJ. II. Sherman is heavily inter-
ested, and as be succeeded in negotiating
with the Pacific Bank for a large sum on
its account, some of the stock olders OBJ
ject to his retaining anything like a domi-
nant influence in the affairs of the wrecked
bank.
AttorneyGeneral Hart stated yesterday
that the Bank Commissioners seemed dis
satisfied with the reports about the Peo-
pies Home Savings Bank, and were max
ing a new investigation, the results of
which he had not learned. He did not
seem to think that any change in policy
would result from this investigation.
Officials at the Peoples Bank declared
that no report of Tuesdays investigation
had been made.
The report of wordy scrap between
one OF the Bank Commissioners and II. |.
Wiley, at one time receiver for the Pacific
Bank. as published in a morning paper,
is denied by Mr.. Wiley. who declares that
the occurrence, as related, did not take
place.