The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1895-09-29
President Allen Accused Of Alb
straeting Securities
FROM CITY TREAsuRER's OFFICE
Deeds and Mortgages Not Recorded,
and Now Become Worthless.
A Hunter on n seattle Seaier Kills an
Indian by Observation-Disclosures Island
People Don't Like the Peniteutiary
Managemelt.

Tacoma, Sept. .. .-Special.-Anothsr sen
sation in the Bank OF Tacoma case was
sprung today by Receiver Titlow. Mr.. Tit
low has written letter 70 the city council.
IN response 10 an inquiry from that body.
relative 10 the condition OF the sl5l.01o Of
securities turned over 10 him by City
Treasurer McCauiey. IN his letter the re-
ceivsr states that securities aggregating a
large amount were extracted from the en-
Velope in the city treasury. and others.
some OF them OF doubtful value were sub
stItuted for them by President Allen. The
receiver also says that notes and deeds
amounting 70 considerable sum. which
were held BY the treasurer as trustee, were
neYer recorded. and since their gnmept
70 The city year ago judgments and liens
nave been piled Up against the property
ull very little remains to realize upon.
Ihe-ietter was read al the meeting OF tho
city council this afternoon, and created
marked sensation. 1t was referred TO the
city attorney 10 ascertain what recourse
tne city has to recover the amounts lost.
To man up a tree" il looks as II the
CITY had been shamelessly bled. As Coun-
elihlan Norton says, ITS a nasty mess"
Most people viii agree with Mr. Norton
~Aen he says he hopes the receiver will
sit matters TO the bottom
Receiver Titl0w estimates that sh7uf ff
teen mortgages and deeds. which were re-
ceipled for by the city treasurer when the
dea! was made by the financey committee.
"ero not recorded. Learning this he at
once sent them 10 the county auditors
once Tor record He discovered, however
that much OF the property in question *
now beyond recovery. He enumerates
enough mortgages. deeds and other cot
lateral that were originally in the citv's
possession 70 amount TO SIS 450 which have
either been hypothecated by Allen in the
London 4 san Francisco bank, or assign
ed TO other parties. and paper of doubtful
Nalue substituted for them In the envelope
IN one case, note and mortgage for
over $ll 900, executed by ex-City Treasurer
.. W. Boggs in the original package, we're
returned % President Allen: they were
not placed on record at the time Of the
transfer, and judgments since the recent
or the note By Mr.. McCauley had been rem
dered against Boggs,, which will stand
prior 10 the city's claim. In additiontto
this. there is on record a satisfaction Of
the mortgage mentioned, while Boggs' un-
secured note is among the assets OF the
bank.
Herman Buyers note for $500. secured
BY mortgage, was in the original list Of So
curlties The mortgage was not filed. and
away.
Samuel Collyer's note for 5000 secured
~ stocks WAS among the collateral re-
celNed by the city According % Receiver
Ittlow. IL vas returned 70 the bank. and
ne now holds the note, but the stock IS
missing.
The receiver also says in his letter to
the council that c. ". Norris note FOR
5000 originally ass gned 70 the city. was
given back 10 Mr. Allen. who pledged il
20 the London & san Francisco bank. The
receiver further says that Mr.. Allen dis
counted The note s1eo the day the bank
failed, and the balance was turned over
10 the London & san Francisco bank
Groups OF men are discussing the latest
developments in the case on the street
corners tonight. Unless the unforeseen
should happen the failure Of the Bank Of
Tacoma and the dissipation Of its assets.
and those held by the city. viii he most
important factor in the municipal election
next spring.