New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1899-12-09
CHARGES AGAINST OFFICERS.
PETITION ASKING FOR A RECEIVER FOR
THE FRANKLIN NATIONAL BANK AL
LEGEs THAT THEY ARE TRYING
TO FAVOR THEMSELVES
AS DEBTORS.

AS DEBTORS.
There is lively going on between the officers
and directors OF the Franklin National Bank on the
one hand and the ILquidating Committee on the
other Twice within the last few weeks Judge
Iacombe OF the United States Circuit Court, has
been asked 10 settle the differences which arose in
the efforts 10 wind up the banks affairs He first
ruled that the Iquidating Committee did not super
sede President James and the other officers and
that the latter could close up the institution. Next
It was asserted that the Lquldating Committee
while in possession OF the bank had changed the
combination on the vaults and would not turn over
tho hooks or papers Judge Lacombe demanded
that the combination OF the strong box be sur
rendered to President James, and this was re-
Iuctantly done In the course OF these proceedings
II was alleged that the Lquldatlng Committee had
secured possession OF about $4,000 which they re-
fused 10 surrender. Action on TINS matter Is SUN
pendng before the court
YESTERDAY the Franklin National Bank matter
car,a nm before Judge Lacombe in the form OF a
netiton for the appointment OF receiver. This APP
nI,cation is made by G. H. Taintor and others. who
represent that they hold S25 shares OF the bank
stock
dating Committee and the officers and directors OK
rho hank are at war among themselves and that
stata Of a fairs has resulted which makes receiv-
ershlp IMPERATIVE II the stockholders are TO be pro-
ected The complaining stockholders In the petition
now before Judge Lacombe charge that on January
1899 the defendants Charles F. James william
lanes Theodore p. Hoffman, Washington l..
Iacoues and George West gave to the bank their
notes for 1900 each 10 make up an impairment OF
az o, in the capital required 10y the Controller Of
,be currency az a condition Of allowing the bank
70 continue business The petitioners further allege
that on the following February the makers OF the
notes voted TO return them 20 themselves, and that
In the whole transaction no money was paid into
the hanks treasury. The petition continues;
Tho individual defendants have conspired and
are consplring together 10 secure cOntro Oh inc
it,ufdatinn Tor the purpose OF avoiding payment on
The notes OF 900 each made by the nve named ue
PENDANTS TO enable the defendants 10 get dIse
sums from the funds of the bank Tor themselves
under the se OF salaries. that are not ana cannon
he earned and enable them TO pay large sums 10
counsel from the funds OF the bank against me
and TO enable them to favor IN, mselVes ana lheII
Sriends IS debtors OF the bank especially IN regard
g. tho AnglO-American oyster Company loan, sara
loan OF $500 TO the DEFENDANT haI'es t II
Roberts all TO the great deriment and loss OF your
arator, and other shareholders OF the bank
In addition to the appointm OF receiver me
,e,ton asks for writ OF injunction, perpetuaIly
- ioining and restraining the defendants from as-
suminE or attempting 10 assume any authority over
the AFFAIRS OF the bank -, ,.
,nent Of the receiver petitoned for came up before
Indge Iacombe counsel for President James ana
his associates stated that as the copy or the petl-
ton had only been served on MIN the previous
waning ne had not had time to prepare an answer
90 the serious allegations WHICH II contained. lie
asked for reasonable time TO frame his answer,
and as there was objection from the other side
the arguments on the motions for the appointment
~ a receiyer and the issuance OF perpetual in
Junction against the defendants were put OF for
one week