The Lake County times. [volume] (Hammond, Ind.) 1906-1933, 1907-11-15
Pictures Drawn Of Finan-
cier by Opposing Coun-
sells in Court Room.
ANDERSON MAKES REMARKS
Opening Speeches Are Finished and
Cashier Jackson is the First Wit
ness-Moxie on Stand Today.

Chicago Nov. 15.-John r. Walsh
dreamer of dreams and altruist. who
wrought for future generations of men
Walsh, not pInching. pawnbroking
banker. but poet of finance, who saw
in his great position as custodian of
500 600 600 of the peoples money a sa-
cred duty TO use it in developing
struggling industries. making cities
where dead plains were. putting life
into silent hills. and quickening all the
trade arteries of the middle west. In
the half century of his life which he
spent in such work there was never
a criminal act and no man ever lost
penny through trusting John r.
Walsh.
That was the other side of the pic
ture presented yesterday in the trial
Of the former president of the Chicago
National bank in Federal Judge Ander-
sons court. 1t was shown by Attor-
ney Edward C. Ritsher, one of Mr.
Walsh's lawyers. who took up most of
the afternoon in his opening state
ment to the jury.
Called a Pirate of Finance.
Assistant United States District At
torney Fletcher Dobyns completed his
statement of the governors case
against Mr.. Walsh at noon He de-
scribed in detail the unfortunate his
tory of the Wisconsin and Michigan
railroad, the Southern Indiana railroad,
the Chicago Chronicle, and called Mr..
Walsh a pirate flying the black flag
on the quiet seas of Chicago finance.
After Mr.. Ritsher had concluded his
address the government put Thomas
NJ. Jackson, who was cashier of the
Chicago National bank, and Lyman A
Walton, cashier and vice president of
the Equitable Trust company, on the
stand to identify the rows of bank
books that stretch forty feet on one
side of the court room United States
Bank Examiner E. P Moxie, will go
on the stand today and trace through
all these books the hidden threads in
which the government expects to en-
tangle Mr.. Walsh and his associates.
Defense Accuses Other Banks.
Mr.. Ritsher took up the 100 counts
IN the indictment against Mr.. Walsh
in groups. The defense would prove
he said, that Mr.. Walsh never had
purchased a worthless bond, and never
had done anything except with honest
purpose. The famous memorandum
notes, he said, were all secured by
good bonds The controller of the cur
rency knew of them. Other banks did
the same thing. On the subject of the
practices of other banks, Mr. Ritsher
said:
I'VE admit that the loans made by
Mr.. Walsh were excessive and beyond
| the legal limit of the national bank
ing act. But this is not criminal Of
Tense, and it is a matter of common
information that nearly every bank
1T IT..
have been violating it for twenty
years.
Take the Chemical National bank
of New Work, for instance. 1t has a
capital stock of 100000. That will
only allow 1t to loan $4,000
1T is notorious that the loans of
that bank reach into the millions. or
have done so. It has deposits OF s22,-
| 600, 900"
THE violation of law by any one
else is no excuse for a violation here"
interrupted Attorney John S. Miller.
DO you mean to say it is a com
mon practice to violate the statute? ?"
asked the court.
The controller of the currency so
recognizes it In his report" said Mr..
Miller.
Here Mr. Ritsher read from a con
troller's report the heading on one
page to be filled in:
Loans exceeding the limit Of the
statute-including overdrafts. # any
II do not think 1t proper to bring
in what other banks are doing" ruled
the court
In his description of Mr. Walsh's
views of the duties of a banker Mr..
Ritsher drew another criticism from
| the court.
Mr.. Walsh. as the head of a great
institution chartered by the govern
ment. believed he owed a duty to the
community" said Mr.. Ritsher. He
saw a chance to build up vast CONNER
cial enterprises. He thought it was
the function of a bank TO reach out
into new fields
Mr.. Dobyns objected on the grounds
that it was not proper to define the
functions of a bank.
NO. it is not proper" said the Judge
lit is not the Office Of a bank to build
up enterprises. but to conserve the
moneys intrusted to its care in the
interest OF the stockholders and de-
positors.