The San Francisco call., 1896-04-04
Depositors of the Looted Peoples
Bank Score Its Di.
rectorS.
TRUTH OF THE MANAGEMENT.
The Board Condemned for DismiSSing
Flournoy-Directors Viewed
With Distrust.


Peoples Home Savings Bank was held
last night at Foresters' Hall, 1O2 O'Farrell
street. f. III. Qualman occupied the chair.
T. II. Mccarthy stated that the execu-
tive committee had prepared resolutions
regarding the removal of John Flournoy
as attorney of the directors.
''Such is the condition of affairs in the
Peoples Home Bank" he declared, tive
all ought to be aroused. This meeting
was not properly advertised and this &C
counts for the comparatively small attend
ance. think it would be well to postpone
action for week"
George T. Conant favored prompt and
decisive action and called for the report of
the committee, which was read as follows:
WHEREAS, The board of directors of the
Peoples Home Savings Bank, at NEE ting
held March 81, 1896, removed John Flournoy
from the Office of attorney for the bank on the
plea of alleged economy, when certain mem
bers of said board have always shown evidence
of reckless extravaganza and improper diver
sion of funds; and whereas, we believe the
real object OF the removal of Mr.. Flournoy to
be to make places for the legal buzzards of M.
ii. Sherman and other debtors of the bank;
and whereas, the creditors of this bank from
San Diego to Siskiyou look with distrust and
suspicion upon every act of the present board
since the depositors were refused a continue
ton of representation in the directorate at the
annual election in January last, majority of
said board being now composed of fgureheads
working in harmony with scheming interests
inimicable to the welfare of deposiors !;
therefore, be it
Resolved, That we condemn the action of the
majority of said board in removing from office
the only attorney who has ever proven salts
factory to the deposltors, man who stands
unimpeachable as lawyer and one who has
worked faithfully and conscientiously for the
interest of the depositors.
Resolped, That we believe this spasm of al
legged economy in dispensing with the services
OF Attorney Flournoy, who was receiving a
minimum salary one-ifth the amount of his
incompetent predecessor, at a time when q
score of suits involving 100000 of assets are
pending, is a mere subterfuge to dispense with
man who would not be plant tool in con-
summating their scheme, ana be 1t
RESOLVED, That we have no confidence
in Directors George Stone, s. K. Thorn
ton, w. H. Phelps, w. P. Taylor and
E. NJ. Freeman. That s. K. Thornton
having received certain sums of money
for services as director and retained the same
after motion prevailed to refund has proven
himself devoid of honor and unworthy of pub
lie confidence; that w. H. Phelps having be-
come director in place of /. L. Merrill, and
who was bribed to resign, is not calculated to
inspire confidence in the public mind as to the
integrity of purpose in his presence there: that
w. P. Taylor has shown himself "a plant tool of
schemers by voting on resolution for the
removal of Attorney Flournoy without con-
sideration or examination of the facts. George
Stone has acted as president of the bank dur
ing its course of nearly three years in liquida-
ton. The bank has paid but 10 per cent to
depositors during that period, while q sum
largely in excess of dividends has been absorbed
in expenses and other questionable ways, SO it
must be apparent to the most feeble
minded that if George Stone did not partici-
pate in the extravagant waste of poor peoples
money he was passive while it was going on !;
and, be 1t further
Resolved That the collective and individual
effort of every depositor is needed to prevent
further waste of their money and to check
mate M. H. Sherman, who, next to the man.
agement, did more to ruin the bank than any
one else by unloading upon it worthless Sc
curities, and who is now, by help of schemers
who now have complete control in the bank
management seeking to avoid his liability for
what few claims the bank can enforce against
him. We appeal to the courts, the Bank Com
missioners, the Attorney-General and to the
Governor of the State to do US justice.
T. s. Williams member of the execu-
tive committee and an e1-director of the
bank, declared the removal of Flournoy
was damnable. II know those rascals.
1 sat with them." he continued, "having
seen them vote to retard all measures for
the depositors' benefit. And tell you it
is time to take the bull by the horns when
they removed the only honest man in the
outfit.
Nn dafr1 III,
running the bank" exclaimed Conant.
81 move we petition the Bank Commits
sion to remove S. K. Thornton, Sherman,
Taylor and Phelps"
The motion was carried unanimously.
George T. Conant was elected to the
executive committee in place of N. Nor
com, resigned.
The meeting adjourned until next Fri
day night, when depositors Will meet in
the same hall.