New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-11-17
RECEIVERS FOR 6 BANKS
ATTORNEY GENERALS ACT
Sees Crime in T5ro Brooklyn Tnsti-
tutions-AH Closed Before. :

Justice Belts Of the Supreme Court. sitting ss
! Kingston, on the application Of Attorney Cen
eral Jackson. appointed receivers yesterday for
the Hamilton Bank and the International Trust
Company. OF Manhattan. and the Jenkins Trust
Company. the Williams sburg Trust Company the
BROOKLYN Bank and the Borough Bank OF
Brooklyn, all Of which were closed by the stats
Banking Department in the recent financial
furry.
Evidences Of criminslity found IN ths
Borough Bank. the Attorney General said con-
sistiug of forged paper. overIoans and over
drafts. all of which would he laid before the
grand jury.
In the Jenkins Trust Company. Mr.. Jackson
said. there were. evidences of Illegal overIoans
one 10 John G Jenkins, jr., the president being
for $3.50
William r Montgomery, president ~ the
Hamilton Bank. denounced at his home last
night the action of the Attorney General in
asking for receiver for the Hamilton Bank
He said that Mr. Jackson knew that a plan had
been partly arranged for strong banking inter
ests 10 take over the institution advancing ~
once 81, 1,5NOOOn
In the case Of the Williamsburg Trust COM
Pany the application for a receiver was no sur
prise TO the officers, as a committee Of dtro,-
tors. headed by Charles Jerome Edwards had
made application Friday 10 the local ofH.s
Of the Attorney General for such a proceeding.
\ g Scharmann a director Of the Jenkins
Trust Company. said that he knew nothing 81
the contemplated appointments Of a receiver g..
the company when he left the offices Of the
company at noon He said also that he was
unaware Of the existence Of any irregularities IN
the affairs of the institution As charged by
the Attorney General
- William Cow. who was one Of the organizers
Of the International Trust Company and Is A
director OF the Borough Bank. said OF the latter
institution that he was sure none of the things
charged against the institution were true
The directors OF the Borough Bank of Brook
lyn issued the following statement last night:
The result of the Borough Bank directors in
vestiSation was given to the State Banking De
developed the fact of irregularities so CleveTly
conceived and manipulated that the books of the
institution failed 70 disclose them. As result
OF this the directors were enabled to recover the
whole Of the discrepancies and through this
directors investigation the entire facts
in possession of both the State Banking DEPART
ment and Attorney General Jackson.
The directors of the Borough Bank decline to
make any statement further than 70 say that
thorough examination Of the Institutions af-
fairs has been made by expert bank account
ants of highest standing, with the result that
the bank found 10 be perfectly solvent and
its capital uniDlpaired The bank examiner in
since the beginning of this examination the
directors have secured from Mr.. Cow, OF Ward
& Cow. and others assignment OF all their
equities in real estate and other properties
worth at least 100000. and IL this additional
collateral is allowed all loans by this bank ~
Mr.. Cow. either directly indirectly. amply
secured. and instead of a surplus of Sll 9ssl -
my asset and liability sheet will show surplus
of $13T.OS0 "a
MR. JACKSON'S STATEMENT.
The application of the Attorney General for
the appointment OF the receivers based on
afhdavits made by Clark Williams. the stats
of Banks. The following state
ment IN explanation OF Mr. Jaekson's step was
issued at the office OF the Attorney General
here:
Attorney General Jackson appeared before
Justice Belts in Special Term OF the Suprems
Court at Kingston this morning and made ap-
plication for the appointment of receivers for
the williamsburg Trust Company. the Hamilton
Bank, the Borough Bank or Brooklyn. TIE