The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1897-05-05
SHEEHAN'S
FINANCIAL
WEAVING
The Manipulations of His
Receivership Exposed
at Last.
NO PROTEST FROM JUDGE
HEBBARD.
Was a Passive Spectator OF
the Actions Of His
Servant.
PETITIONS OF DEP0SIT0RS
UNHEEDED.
Edward ]. L.vernash Lets Out the
Truth of the Inside Gyrations of
Peoples Home Savings Bank.
PETITIONS OF DEP0SIT0RS
UNHEEDED.
Edward ]. Lvernash Lets Out the
Truth of the Inside Gyrations of
Peoples Home Savings Bank.

The skeleton at the feast has been I'M
covered at LAST, much to the discomfort
of those that reveled at the pie counter of
the Peoples Home Savings Bank, and
gorged on the assets of that institution.
Not the least of the worried is Superior
Judge J. C. B. Hebbard. who these days
is devoting his attention. at the expense
of the county, TO an endeavor to convict
Editor Marriott of the News Letter of
libel, for daring to trespass upon the dig
nifty that hedges candidate for Office by
expressing an opinion that Hebbard was
the "tool" OF the men who looted the
wrecked bank.
The man who opened the coffin to let
the ghoul see the light was Edward j..
Livernash, now assistant managing editor
of the Examiner. Livernash is An attor-
ney as WELL and at the time of the failure
of the savings bank was the legal adviser
Of r. II. Mcdonald Jr., one of the board
OF directors. On the witnesses stand he
narrated a chapter In the inside affairs of
the bank that has never been printed OF
the maniI u. atoms OF the man whom
Judge He bbard appointed as receiver to
retain himself in office, in spite of the pro-
test of the depositors and board of direc-
tors.
Ii was a story in financial juggling
possible only through the inaction of a
court-and when it was told there was
SUCH CONSERVATION among Judge Hebbard
and. his attorneys that they refused to 60
on with the cross-eXamination until they
had consulted in private. In consequence,
Livernash will appear again this after
noon for this ordeal.
Livernash's story was not embe llished.
When the bank tailed four OF The board OF
Keeney, r. II. Mcdonald and A. l.. Jen-
kins-expressed their willingness to re-
sign, in order that the depostors might
select officers of their own choice.
Mcdonald, Schultz anL Keeney prompt
Iy placed the written designations in
Livernash's hands, while Attorney Henry
Z. Highton held similar document from
Jenkins.
They were willing TO resign whenever
the time should arrive
what do you mean by that3" asked
Attorney Shortridge.
"WEenever Judge Hebbard should mod
ify his injunction so as to allow them to
step out"
Did they keep their wishes to resign a
secret?'
ION the contrary, they gave it the
widest publicity. 1t was communicated,
also, to the depositors' committee
judge Hebbard was of course apprised
of the wishes of the directors, but that
official was deaf to all entreaty.
DO you know if Receiver Sheehan
frustrated or opposed the wishes of the
depositors?"
II know he did" added Lvernash.
Both he and Attorney James Ava Watt
opposed every effort of the deposiuors to
get control of the bank"
Mcdonald, in order to influence public
opinion in the criminal actions pending
against him. subsequent to the failure OF
the Pacific Bank, decided to sever all con.
necuon with the savings bank.
Mr.. Mcdonald, in all, held about 70C
shares of the stock of the Peoples Home
and decided 10 turn this over to Livernash
for the benefit OF the stockholders. O.
this stock 240 shares were in Mcdonald
possession, which he promptly Endorsed
and turned over to his attorney. The re.
mainder was divided between H. |. Will