The morning call., 1895-01-29
1t May Be Decided Tomorrow and
1t May Not.
THE DIRECTORS WILL MOVE SLOWLY.
They May Await the Action Of the
Bank Commissioners in Regard
TO Back Salaries.

John F. Sheehan and ]. Alvs Watt OF
the unfortunate Peoples Home Savings
Bank are still hoping against hope Mr..
Sheehan is willing to accept the reduction
in his salary from $500 to $3.50 month II
he is only allowed to retain his position.
He is not at all sure, however, of the
ground on which he stands, and in conse-
quence his feelings are anything but tran
quill He has his doubts as to whether the
directors want him or not. The question
will be settled tomorrow, when a meeting
of the board will be held. Rolla V. Watt,
a brother of J. Alva Watt, will not be in
attendance at the meeting of the board,
of which he is member, as he has gone to
Los Angeles, so one of the managers main
stays will be absent
In the meantime Mr.. Sheehan has been
trying to cultivate the acquaintance of the
newly appointed directors. He spent
nearly all of yesterday with Messrs. Cole
man and Johnson. During the afternoon
he went over the banks books with them
and explained the situation in regard to
several pieces of real estate which are con-
sidered doubtful assets. Whether Mr..
Sheehan gained anything by these delicate
attentions or not remains to be seen.
At to-morrow's meeting the finance
committee will be appointed and the
board will be reorganized. Action in
number of matters may be taken at once,
but the chances are that the board viii
await the return of Director Watt.
The Bank Commissioners have, so far,
received no further communication from
the Peoples Home Savings Bank. Com
missioner Paris Kilburn expected to be
notified of the reconstruction of the board
of directors yesterday but instead received
verbal message to the effect that nothing
would be done until tomorrow.
"The board will inform the commission
about all changes in the personnel of the
officers and committees" said Mr.. Kill
burn. CATER that there will be very little
for the Commissioners to do, unless some
thing should crop up that will require our
interference. In regard to the salaries of
Manager Sheehan and Attorney Watt, we
will take no action until we hear from At
torney-General Fitzgerald. 1 had a few
moments conversation with him the other
day. and he promised to send the Commits
sioners his opinion as quickly as possible.
He may have the same view of the case
as we have, and in that event we will have
to take action on the affairs of the bank
sooner than we expected"
1t is this promised opinion that is keep
ing J. Alva Watt in suspense. 1t is a
matter of over $4,000 to him, and he does
not like the idea of being called on to make
restitution.
The Bank Commissioners hold that Mr..
Sheehan never was legally the receiver Of
the Peoples Home Savings Bank, but
simply its manager. Being then only
manager, he had no right to appoint an
attorney to the receiver. The Commits
sioners expect the Attorney General to up
hold them in their contention, and if he
does they will at once rule that Mr.. Shee-
han must refund all he has drawn over
$3.50 month since last May, and that as
there was no legal receiver, logically there
could be no receivers attorney. In follow
ing that course of reasoning it may result
that J. Alva Watt will be called upon to
refund over $500 to help out the almost
hopeless depositors of the Peoples Home
Savings Bank.
In the event of this action being taken
it is expected that the board of directors of
the wrecked bank will allow Mr.. Watt a
small compensation for the services that
he has rendered.
When asked what he would Go in the
event of the Attorney-General ruling that
he had never been legally appointed, Mr..
Sheehan shook his head. 81 was appointed
receiver" he said, "but if the Attorney
General holds differently, why, suppose
I'll have to fight it. AS to Mr.. Watt, he
will have to answer for himself, and can't
tell you whether he will be continued as
the attorney for the directors of the Peo-
pies Home Savings Bank or not''