Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1905-10-19
Closing of the Enterprise Ma
tional of Alleghaney Dis
closes a Scandal
POLITICIANS ARE INVOLVED
The Penrose Machine Hard Hit BY the
Revelations Following the Suicide
of Cashier cIark-Bis Sums Loaned
to Prominent Politicians--lnvested
In Schemes That Were Failures.

loittsburg Pa, Oct. 19.--In the clos
ing of the doors of the Enterprise Ma
tional bank of Allegheny, which took
place yesterday after the cashier T.
Lee Clark, had killed himself, is seen
a scandal which involves several prom
inent republican politicians belonging
to the Penrose state machine. The
bank, which was the oldest in Allie
gh;lny, was the depository for about
100000 of state funds. The greater
part of this, perhaps 100000, it is
stated by Fred Gwinner the aged
president of the bank, had been lent
by Cashier Clark to politicians.
Mr. Gwfnner in his statement said:
Nearly 100000 of the 100000 state
deposits of our bank is out on paper
of state politicians. w. III. Andrews
has borrowed nearly 100000; Frank
J. Torrance has borrowed considerable.
I do not know how much. But the
bark is solvent"
When pressed for specific Instances
Of loans made to Andrews and Tor
rance Mr.. Gwinner modified his first
statement by saying that the books of
the bank do not show that they per-
sonally borrowed money from it, but
that the money was given to the Penn
sylvania Development Company, an
Arizona railroad scheme, I'm which
about $500, 900 was involved.
The bank was closed by the order OF
the comptroller of currency, w. B.
,,,tJ TOhy rt,,,,no Al, ,,rrl,x,
national bank examiner, is in charge.
The concern need not have been closed
down but for the suicide of T. Lee
Clark, cashier, who took laudanum and
shot himself in the head at his home
about o'clock yesterday morning,
from which he died at $40 p. IN.
Clark was an elder in the United
Presbyterian church of Bellevue. The
bark examiner found his accounts in
rnuddled condition, brought on by
Clark's connection with the Pennsyl-
vania Development Company. This
concern has securities aggregating
$20O,00 in the bank. Comptroller
Ridgely ordered the securities strick-
en- out from the banks assets. This
was about to be done when Clark killed
himself.
The depositors knew nothing of
this and uD to 1 o'clock this afternoon
deposits were made by patrons ana no
money was withdrawn as a rssul. OF
the self-destruction of Cashier Clark.
The closing of the bank will bring
to light remarkable financial deals in
, which Arthur Kennedy, formerly state
senator; William H. Andrews senator
from New Mexico; Francis j. Torrance
and Cashier Clark We're Interested
They attempted to float the Santa re
railroad connecting the Rock Island
and the Santa Fe railroads ninety
miles long.
They had also purchased the LAND
on either side and had given the Santa
Fe Railroad Company an option to buy
the whole. The final option expired
October Is, after having been rem wed
from September Is.
Last Saturday the Santa Fe officials
notified Senator William H. Andrew;
and Arthur Kennedy, who were car
ryirg on the negotiations, that they
would not take UP the option. Senator
Andrews hurried to Washington anG
Senator Kennedy was in New York
They failed to interest other parties
and could not get the Santa lie &c
reconsider it's action. Not having
enough money to complete the railroad
and to meet their obligations the whole
thing caused crash.