New-York tribune., 1907-12-04
METZ EXPLAINS STAND
LIGHT ON BOROUGH BANK.
HAS Interested Both as Stakeholder
and Director.

and the investigation OF the latter viii be con-
tinued to-day. Although it is confidently ex-
rected that further indictments in the BANK
cases will he handed, down, they viii not come
to-day.
Controller Metz made long statement yes
terday in which he explained his position IN
regard 10 the Borough Bank both as an 1ndl-
piduaI and as a city official. This was MADE IN
reply TO many stories that had leaked out re-
tardiny alleged transactions OF Mr. Metz in the
tiays Just preceding the suspension OF the bank
Mr. Metz said his faith that the depositors
.ereeraant for the resumption of business Would
1,a successful was SO strong that he does not
hesitate TO put up 4 bond TO indemnify the city
for whatever it may lose on its deposits IN the
Borough Bank, II the further lootlng OF the
bank l1v unnecessary receverships is prevented
The Controller stin has he says, personal ac-
counts in the bank aggregating SloVJo he
has some business paper there and notes ne mas
endorsed. the amount Of which he does not state
hut which viii be met promptly on ma'ull'S's
he declares He goes 10 say further;
.as 2 matter Of fact when the bank was
started was much interested in it and was q
s-oclholder and director, and l made II a pol'l'
ALWAYS 10 guarantee the account OF any GUS
toner I brought 10 the bank The ofacers VIII
bear me out that this moral ohllga1loh on my
,,ar+ rrobablv cost me from 100000 TO SloVoo
The bank did business with people ihIrouuceu'
or whose paper I guaranteed, and VINO io-
purely business reasons failed 20 make fooo-
ve7v little OF this I have SO Ear been able TO
ooIlect always considered Il a moral opilsa-
t,on upon the director OF an institution 10 see
% - thar ba recommended none but absolutely
s,oos loans and II he did he ought to assume
the liability for thern morally at least. If not
legally. and I have always lived up TO this
fdea-''
The Controller said he had no vintimation OF .
The shalzy condition Of the bank or he would
have drawn out city deposits, amounting 60
S192 1927.
Mr.. Metz explains that just prior to the sns-
.-,ene,on of the bank he did draw checks on the
accounts OF the Consolidated Chemical and
Color Company and the Ettrick Mills, with both
Of which concerns he is-connected as officer
4s,,t This was 20 meet bills in Europe which
had been acc11uulattng after his return from
there In response to the request Of MI hur-
lev that he draw no more cash out OF the oaoF
than was necessary Mr.. Metz ordered aIoVoV
check on the Consolidated Chemical and color
COMPANY account, drawn the day before 1he
suspension Of the bank, TO be used IN taxing up
some notes he had in the institution Ihe next
dav he found the notes, had been cancelled
u fully appreciate" says Mr. Metz, thaf a
man in public life must submit TO various at
tacls on his official acts but so far as ms
7,ri,-a+e business is concerred all that man has
that is worth anything is his reputation Tor
honesty and integrity. and purpose to defend
mine TO the limit
Controller Metz seems rather char1tabIy IN
clined toward William Cow. who is under in
dictrnent on account Of his peculiar methods or
N finance Mr.. Cow regarded himself as Ma
ii poIean of finance said the Controller He
T. ught his methods were all right as they
were the same as used by others who had sue
ceeded Mr. Cow is perfectly honest, L believe
but was unfortunate
Directors and depositors Of the Brooklyn
banks are exceedingly wrotl over various
statements given out by the receivers, which
they say. misrepresent true conditions generally
because they do not state the whole case-
6 s Whitehouse, counsel for the directors or
the Borough Bank. in q statement last night eX-
rlaining that his account Of $4,000 of early in
September was drawn down because OF Slb,oto
check TO a client for whom he had won case,
charged the receivers with trying TO hold on TO
their fat Jobs and add TO their good fortune out
Of the misfortune of the depositors.' He be-
Yieves the receivers responsible for the story
that his account, which was $4,000 early IN
Septernber had been drawn down to some 500
on the day of suspension
William s. Hurley last night cleared up theL
mystery about the Wyant paintings held for a
loan OF $500 10 Harry E Lee. There are three
Borough Bank and fourth'fn the possession Of
tsrs. wyant In addition TO the four paintings
,aeld rs collateral there are five Wyant paintings
or, the walls OF the Borough Bank that his
fMr IIu-leyssl personal property. ATr. Hurley
saws that yyyant paintings bring from $1,000 to
$4,000, and no asset Of the bank as more GER
tain OF Immediate and full realization than the
Harry E Lee loan"
Even the counsel of the Williamsburg Trust
Company was surprised yesterday to learn that
last Saturday Justice Belts, in Albany, had
granted $4,000 TO William L. Bapst, the tenn
r,orary receiver. II DONE il is said, after
counsel for the company had left the courtroom
Several other receivers asked for and received
$4,000 for expenses. The receivers for the Bor-
ough Bank have not asked for allowance yet,
but viii do so.
r w Sparks, Of the Borough Bank depositors'
committee said they were trying 10 work IN
harmony with the receivers, that IS, as much so
as Mr. Cox Zone OF the receivers) viii let US"
Henry A Powell, one Of the receivers, has prom
tsed 70 permit representative Of the committee
to go over the books.
Stepfen c. Baldwin sent a letter yesterday to
Police Commissioner Bingham. Deputy Com
missioner o'Keefse and District Attorney Clarke
Informing them he counsel for the various
members of the Jenkins family, and would will
sngiy produce them IL wanted on any indict-
r,1ents IN the future. He requests that no at
tempt be made to take the photographs or
measurements Of any of his clients who may be
arrested IN the future fnasmuch the ques-
ton Of right Of the police to take such photo
graphs is before Supreme Court Justice Burr for
determination.
"As soon as Deputy Commissioner O'Keeffe
received the letter from my messenger" said Mr..