The San Francisco call., 1908-09-02
GRAND JURY DIGS
INTO BANK fIASCO
All Acts OF That Broken In
stitution's Officers Are Be-
ing Closely Scrutinized

Active investigation OF the affairs of
the Market street bank by the grand
jury was begun at the regular meeting
OF that inquisitorial body yesterday
afternoon and will be continued today.
Only formal testimony which might
serve as a basis for a detailed examina-
tion leading to possible indictments
was taken yesterday, but disclosures
of a more interesting nature are ex-
pected to be secured today.
George f. snyder, a clerk employed
by the bank sdsmnission. furnished the
grand jury yesterday with the reports
OF all examinations of the bank made
since the fire, and j. Cal Ewing, former
secretary of the commission, identified
the reports and gave the names of the
members of the commission who con-
Quoted the different Investigations.
George Clink, an accountant employed
by District Attorney Langdon. and c.
Munday, the accountant for Receiver
Mooser, were the only other witnesses
examined They identified and ex-
planned various books and reports con-
cerning the condition of the bank
Other witnesses who were subpenaed
yesterday and who will be called to-
day in the bank case were W. B. Nash.
bank; l. @. Haven, the cashier who
succeeded Nash; Oliver Ellsworth,
former attorney for the bank F. d.
sylvester, whose name is alleged to
have been used as a dummy owner of
Burlingame terrace lands; j. c. Foster
and A. p. Kruger, book keepers of the
bank, and Barney Reihl, detective
who has assisted in the bank investiga-
tion.
An Investigation of the case of John
j. Lynch, accused of the embezzlement
of $4,000 worth of Ocean Shore bonds
was also taken up by the grand jury,
but was not completed. While the wit
nesses Were being held under grand
jury subpoena the embeZZlement case
was called for hearing before Police
Judge Weller and continued until Fri
day on account of their absence. This
mixup gave T. C. West, Lynch's attor-
ney an opportunity to steal a march in
behaf of his client which he accepted
with alacrity. On the theory that a
police Judge has no right to continue
case more than two days without the
consent of the accused he appeared be-
fore Superior Judge Frank H. Dunno
and secured writ of habeas corpus
for Lynch's release from custody, the
writ. being made returnable at 10I
o'clock this morning.
Lynch has not been requested to APP
pear before the grand jury, which will I
resume its work at o'clock this after
noon. West, who appears in his behalf, !
said yesterday that Lynch took the |
$4,000 OF bonds as collateral on a |
10000 loan made to the Ocean Shore. |
ana that under his contract with the !
he had the right to dispose
)f these bonds as he might see fit by /
giving notice. The theory of the de-
tense is that If Lynch did hypothecate
the bonds his only fault was in the /
failure to give this notice, for which
he could not be held criminally liable. |
c. E. Rankin. the broker who was
Jointly sued with Lynch by the Ocean I
shore to prevent a disposal of the I
bonds said to have come into Rankin's
possession. was not present His ste I
1ographer was subpenaed, however. .
md his attorneys, Louis Seidenberg
and George NJ. Davis, We're also called I
other witnesses who will appear today
ire Burke COrbet attorney for the
ocean Shore railroad; President j. /
0owney Harvey of the Ocean Shore. +
he Ocean Shore; Attorney Frank Lip
1ett of. Petaluma, and c. l.. Haskell I
Worthington Ames and c. W. Hunt /
brokers' through whose hands some of t
he bonds are supposed to have passed I
The only other matter taken up by I
he grand jury yesterday was the case I
Il Alexander Finegold, accused of per-
VI y. HiheSoiu was the ueIeHQant In a
ustice court suit recently brought by +
drs. William NJ. Reilly, wife of the rec
or of st. PauPs Episcopal church. 1t
vas claimed in that case that in pay
ng a bill of $40 Mrs. Reilly by mis-
AXE gave Finegold a check for SI51.95.
# which he failed to return any part.
)n the stand in Justice Lawson's court
swore that he had returned
he change and it was out of that
tatement that the perjury charge
rose. The testimony In the case was
completed. but no indictment was re-
urned. The witnesses called were
Rev. and Mrs. Reilly. Rev. William e.
senison. the curate of st. Paui's. JUS
ice of the Peace Lawson. Justices
Jerk George S. McComb and Attorney
I. H. Countryman.