The evening star and Newark advertiser. [volume] (Newark, N.J.) 1907-1908, 1907-09-17
IT ON PURPOSE
ORANGE BANK PRESIDENT
EXPLAINS TRANSFER.
Everitt Sent Stock to Borough of Essex
Fells to Bring About Reform on
Assessment.

III. Il. TapScott, of 240 West Front
street, Plainheld, and had not been as
sessed and that Cashier Henry l..
Holmes, of the Orange National BankA
had warned Tax Assessor Max M.
Mohor a year ago that stock of the
bank might not be in Orange for as
sessment this year were the new fea-
lures brought out at last nights inves-
tigation by the Orange Common Coun-
ell of the charge of discrimination in
taxation of banks made by President
John d. Everitt, of the Orange Ma
tional Bank. There was a small at
tendance. The investigation was ICON
Quoted by City Counsel William A.
Lord, aided by Chandler w. Riker, who
represented the Orange National Bank,
who assisted in the cross-examination
of the several witnesses.
MI. Everitt was the first witness
called and old of the discrimination
against his bank, which was compelled
to pay last year on n valuation. of $50
for each half share of stock with par
value of $50 while the Second National
Bank escaped with a par value assess
ment. The 697 shares of Second Ma
tiona stock, representing more than rs
per cent. of the banks 1000 shares, had
also escaped assessment. Trust COM
panies and State banks had also es-
capped a tax on their stocks, while their
competitors, the national banks, had to
pay on their real estate and personally
and on stock as well. He told of the
transfer of the shares of Orange Ma
tional stock to Essex Fells, and said
the was not to evade taxation
in Orange, as that was where he ex-
pected finally to be assessed, but to
call attention to the gross Unequal ties
of the bank taxing system of the city
and State which was in direct violation
of the national tax statutes.
These national laws required the
equal taxation of all banks n the
law was so clear 1t could not be read
in two different ways. Mr.. Everitt
said he had tried to get legislation
enacted providing for a more fair
taxing method, but was received by
the Legislature with "open arms and
let go out the door"
why have you not applied to the
attorney-general, county counsel or
city counsel for a legal opinion in the
matter?' asked Mr.. Riker in cross-ex-
aiming his witness.
at didn't think 1 had any influence
with them.N and this year 1 thought
I'd jolt them one"
1t was brought out by Mr.. Riker
that the men named as head of the
Vanderventer company had so per
cent. of the stock of the concern. The
Mr.. Bonnell mentioned in the Secre-
tary of States certificate has the same
residence as Elias H. Bonnell, presi-
dent of the Second National Bank.
Mr.. Everitt reiterated his announce
ment that the transfer of stock to
Essex FEELS from Orange was for the
purpose of giving an object lesson to
Orange and the State. Mr.. Everitt de-
clared all moneyed capital should be
taxed at true value in the city where
the institution is located. 1t was in
the taxing district where the bank
was located that the tax should be
paid, as there the concern enjoyed po-
lice, fire and other protection, he said,
and there the friends of the bank were
located.
There vas nc complaint against the
Orange Nationals 1906 assessment,
Mr.. Everitt stated, in answer to a
question from Mr.. Lord, except an ap-
peal for a reduction in the $4,000 as
sessment for personal property, which
1OQ6ill a IC0uOliOh III pbyOOVs
Assessor Mohor admitted the 1906 err
ror in the Second National Banks as
sessment and said it was due to his
losing a statement from the bank. He
made the assessment and swore to the
correctness of the amounts of ratables,
and not until after the books were in
the hands of the county board did he
find The error. He had reported the
circumstance to the county board
through Laurence T. Fell, and the
board had failed to correct the figures,
although promising to do so.
He told how the assessors found the
values of a share of stock. They take
the capital stock, surplus and undi-
vided profits of the bank, sthen sub
tract from the total the value of real
and personal property and divide the
last figures obtained by the number of
shares of stock. When he nae up the
figures for the Orange National Bank a
year ago he was told, Mr.. Mohor stated,
by Cashier Holmes that You won't
find the stock in Orange mex year."
1--WE didn't" said Mohor, in telling
the story, which was not denied by
Mr.. Holmes when he was later put on
the stand. Cross-examined by Mr.. Rik-
err, Mr.. Mohor said he got his idea of
fixing the stock assessments from the
Supreme Court decision on the subject,
and that he took his orders from the
county board. He thought his duty had
ended when he reported the error TO
them. He said he did not assess the
Mutual Trust Company in Orange Val
ley On anything but the property, lot,
building, furniture, etc. He agreed
there should be a fairer method of as
sessment, one to include the trust COM
panies, he explained. The 597 shares
of the Second National Bank were
placed with the South Jersey firm be-
fore he took office, and he had referred
the situation to the county board.
After Messrs. Holmes and Coughtry
had been heard. the hearing was adj
journed to next Monday in order that
the county a board can appear If
they choose and answer the direct
statements of Messrs. Everitt, Mohor
and Holmes that the error made was
reported to them and they failed to
keep a promise to make correction.
Councilman Davis wanted an effort
made to compel the appearance of
President Bonnell. of the Second Bank,
but it was announced by Counsel Lord
the council had no right TO cOu1DeI the