The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1899-03-14
APPOINTS UNION
BANK DIRECTORS
Judge Lorigan Names a
Full Board.
Special Dispatch to The Call.

SAN JOSE, March 12.-The first step
toward Strengthening the financial en-
tanglement surrounding the failure of
the Union Savings Bank was taken this
morning by Judge Lorigan in the ap-
pointment Of new board of directors.
Cyrus Jones, Amasa Eaton, James w.
Rea, Louis Callisch, Peter H. Stock,
DR.. William Simpson and George T.
Dunlop were named as directors to
close the banks business and try to
pay the depositors dollar for dollar.
The Wrights, whose mismanagement
brought on the failure, were ignored.
and in this respect the wish of the de-
poSitOrS was carried out.
The new board contains four of the
men recommended for directors by the
stockholders and who rendered their
designations to the court few days
ago. President w. H. Wright, {. +.
Breslan and Nicholas Bowden were not
reappointed. There were strong obJec-
tions to Wright and Breslan, but none
to BoWden, but the fact that BoWden
was a lawyer worked against MIN.
Breslan was elected director after the
failure and refused to resign when the
others did. Breslan has decided to
fight to retain his seat, and as he rep
resents large San Francisco hold1ngS
in the bank the case will be Stubbornly
contested in the courts.
Judge Lorigan said he had purposely
omitted naming any Of the old direct
crs, who were in a way responsible for
the failure, and likewise would name
none who were interested in any per
sonal way in the securities OF the bank.
He named George T. Dunlop of Gllroy
as a representative of the stockholders
of that section. Dunlop was not
stockholder, but he would qualify at
once.
The Howard creditors met this after
noon and elected c. H. Bills, the fruit
shipper, as trustee of the bankrupts
estate. Persons representing claims ag-
gregating $450, 900 were present. or this
amount $305, $50 was represented by the
Union Savings Bank. over $225,UO OF
this sum will be protested, as Howard
claims the bank wiped out this much
of the Indebtedness eighteen months
ago rather than have him fail at that
time Bills bond was placed at $oO,O0O.
1t is expected Howard will be ex-
amined in a few days, as the officials
of the bank have intimaJed ne is hldlng
some of the assets.
1t is now given out that Frank V.
Wright, a brother of the banker S, must
resign soon from the secretaryshlp or
the San Jose Building and Loan Asso-
citation or be ousted. At the annual elec-
ton held a few days after the bank
failure he was reelected secretary, the
office of assistant secretary created,
and A X Whitton given the place.
Wright was elected for three months
only. He agreed to serve without pay
and at the end of that time resign.
This was an easy way of letting him
out. There was nothing wrong with
him as secretary, but a man ike WHIT
ton was needed to strengthen and re
store confidence in the association aIter
the failure of the bank.
The bank directors met this afternoon
and elected James w. Rea president
and Peter H. Stock vice president. Paul
P Austin was elected manager and
Edward Rea and Jackson Hatch attor-
news The attorneys viii receive SZ5O
a month between them. No salary has
been fixed for the manager. directors
CalIisch. Eaton and Jones were not
present and they admit Rea outWitted
them and secured all the fat positions
for, his friends. Some of the Stockhold-
ers are not satisfied with the election
of officers, but they have no alternative.
President Rea said TINS evening ne
was going to investigate the bank af-
fairs thoroughly and II the lnsututlul
had been looted he Intended to land the
thieves in San Quentin. The closing up
of the business would be conducted
economically and the directors and of
ficers would receive no pay. he wanted
to know If he and his father had been
robbed and if so who did 1t. If they
had been robbed the thieves would be
punished.
Charles P. BrasIan says that to-mor-
row he will file in the Supreme Court
of California a petition Tor writ OF
certforari to revise the action or Judge
Lorigan in appointing the new board OF