The Washington herald., 1906-11-25
MASTERS ISSUES STATEMENT.
Defends His ManRgement of the De-
funct Savings Bank.

DeAehOs hls management OF the Dc-
fuRct Savings Bank.
In a statement issued last night. S. J..
Masters, who was president Of the Peo-
pies Savings Bank, defended his manage
ment of the institution His statement is
as follows:
Now that arrangements have been COM
pleted to pay depositors in full at once,
one month after the date of closure, ex-
cept directors deposits, which will be paid
a little later, 1 feel that II is my duty 70
correct some erroneous impressions IN
connection with the Peoples Savings
Bank and myself. 1 have till now re-
; Trained from any statement, except that
every depositor would be paid in full.
have been laboring with the receiver with
two ends in view: First, to pay all Of the
depositors in full; second. to preserve the
assets SO far as possible. To accomplish
this end ] have submitted to insults and
abuses; but now, in jutice, 1 feel that the
facts should be given TO the public,
Il was the first president Of the People S
Bank, afterward the Peoples Savings
Bank -Four Of the present directors were
directors from the organization Of the
.
were from time TO time referred TO and
sanctioned by the board Of directors, as
their minutes show. As new directors
We're added they were acquainted with eX-
act conditions. I believe in almost every
instance they were so informed before
they became stockholders.
Every stockhOlder received his pro rata
Of profits after he got in, and no director
refused a dividend or was ashamed of his
connection with the bank until trouble
came. The proposition paid well during
the three years Of its existence.
The bank had only One legal adviser
during its existence, and If anything was
done that was unlawful he should GER
tainly have acquainted rs.
''The statement in the press when the
bank was closed, that a certain loan that
was objected to by :he Comptroller of the
Currency came down to the present ad-
ministration as an inheritance, was not
made IN good faith, and is not in accord
ance with the facts. The present admins
! tration knew all about the affairs OF the
( bank from its organization.
/ I desire to correct another erroneous i'm
/ preston. 10 the effect that l was a large
/ borrower at the bank The bank has never
I loaned me a dollar, directly or indirectly,
and I have always opposed loans Of con-
| sequence to directors, or indOTsed by di-
! rectors. My desires were not always COM
1 piled with.
"Our directors, with one or two eXcep-
/ tiOns. have shown, since the bank closed
/ a desire 10 do anything within their pow
/ er to open up the bank; or. II this was not
thought wise 10 pay all depOsitOrs in such
manner as to reflect honor and credit on
I themselves. This last proposition has been
accomplished, thanks 20 the directors and
Z to Receiver SchOfeld, who has lahOTed
earnestly TO bring about the settlement
In verification Of the above statements
/ refer to the receiver Of the bank. who
now has in his possession all Of the rec
oT1s of the bank
Naturally 7 lose heavily by reason 0i
the failure, which necessitates my fore
going some charity work I had outlined
1 for this winter, and especially vii compel
me to neglect my little friends, the news
I BOYS"