Republican news item. [volume] (Laport, Pa.) 1896-19??, 1907-11-21

times. Instead Of rustling around
to take care of what business there
is, they all 60 sit down and nope
over dull times. If a customer does
happen to drop into one of these dull
s'times" stores he actually gets
frightened out of one-half what he
expects to buy, because things look
SO blue. He catches the spirit of the
store and resolves to hang on to all
his money with death grip. Even
if his business goes to pieces on ac-
couut of running short of goods to
fill up the empty shelyts. The bug
bear of hard times should be sat
down. upon. 1t is doing more to kill
business than anything else. Tell
a man he is sick, keep it up and you
will eventually hound him to death.
Methods of high finance as laid
bare i'm the Walsh case at Chicago,
reveals that any dishonest bank
president who controls stock com
panies may violate the banking
avs without fear of discovery and
loot the bank of all its available
funds. Assistant United States At
torney Dobyns in his opening state
ment in the Walsh case told the
jury that was done for perhaps 20
years by John b. Walsh, who be-
came n millionaire by the practice.
According to the government Walsh
had more than one half Of the funds
Of his three banks in his possession
when the examiners discovered
their condition and forced the instl-
tutions into liquidation. Walsh's
banks were examined at regular in
tervals by state and national officers.
by shifting the assets of all three
hanks to the one under examination
the attorney charged, Walsh avoid
ell detection until a simultaneous
examination of the banks disclosed
the device. Mr.. Dobyns charges in
substance were as follows: "For
years Walsh helped himself to the
millions in the banks. He avoided
the law which prohibits the lending
Of more than 10 per cent to any bor-
rover by selling to the bank the
stocks and bonds of his companies.
These supposed securities he voted
to himself in unlimited quantities.
When the banks were forced into
the hands of receivers, Walsh owed
them $21 ,00O,0 900. He had just
taken s., 500. 900 and already owed
them Sl4, 900, 900. During the long
period he was looting the bank,
Walsh was the owner of party
newspaper, gas and electric compan-
les, railroads and ut least % big en-
: terprises. He was political and fl
nancial king of Chicago. He made
: and unmade number of high Ofiic-
ials who are now standing by him
with their influence. By means OF
his influence, he obtained use of the
tie and city funds, without inter
est, and received practically as gif
from office holders, Interest amount
, ing to $1,000, 900. With this he lait
+ the foundation of fortune that now
? aggregates at least 10000 Thel
' the banks failed, Walsh gave tn,
| clearing house association notes 70
D the money he had distracted iron
e the vaults. His defulcation thel
was known to be s7,5O0,0 900. Elk
animation of the secret books ant
checks since then disclosed that h
had already obtained $l4 200, ,OOO
: The only security for this for thi
;, vast sum was lot of unmarketabl
bonds and stocks in his companie
;, and thousands of dummy notes
At least 30 subordinatee signe,
. notes, aggregating millions of dol
j, lars. The names of the assistan
!, cashier and other employees are sign
:. ed to at least S2,9OO,0OO of the dun
, my notes"
o The jury selected to try Walls
= were nine farmers aud three bus
q ness men.
r. Fish Warden Riley, who is serv
y ing term of 1900 days in the Lu
n zerne county Jail at WilkesBarre fo
l. failure to pay fine of $1,000, vii
continue to serve the sentence, a
the pardon board refused to gran