New-York tribune., 1908-03-08
BLOCKS ORIENTAL PLAN
MR. JACKSON TO APPEAL.
attorney General Gets Stay to
4ction on O'Gorman's Order.

Court of Appeals from Justice O'Gorman's or
der approving the proposed agreement between
the Metropolitan Trust Company and the Ori-
entail Bank, by which the bank to be
liquidated and the depostors paid. He main
tains that the agreement would be illegal: that
the order signed by Justice OGornan approv
ing this plan and discharging the Orientafs
temporary receivers is wholly unauthorized by
law and establishes new and dangerous prec-
edent and that the depositors, If the order
stands. may not be paid for considerable time
Mr.. Jackson will every means at his dis
posal to have the receivers appointed by the
court liquidate the bank
On the application of the Attorney General
Justice Laughlin. of the Appellate Division of
the Supreme Court, First Department. granted
late last night an order returnable next Tuesday
at L o'clock before the Appellate Division to
show cause why an order should not issue from
the higher court staying all proceedings under
the order made by Justice O'Gorman.
The order of Justice Laughln acts as stay
in all the various phases of the Oriental Bank
troubles pending arguments in the higher court
Tuesday.
No matter what the result of the appeal Is
it seems practically certain that the depositors
Of the Oriental will not get their money within
the next two months at least.
Mr.. Jackson says that he had notice of his
that the filing of such notice acts of itself as
to stay to Justice O'Gorman's order, advised the
temporary receivers to hold the assets of
the Oriental When Clark Williams, Superin
tendent Of Banks, and s. Stanwood Menken of
counsel for the Oriental called at the OFFICES OF
the Carnegie Trust Company, one Of the tenn
porary receivers. and demanded the assets,
books, card indexes and other property of the
Oriental in its possession they were met with
curt refusal. Counsel for the bank would not
say what further action they would take to get
possession of the assets.
DISPUTE OVER APPEAL.
There is lively dispute the filing Of
the notice of appeal The Attorney General
gives version and Mr.. Menken another
This is the Attorney Generals account:
I prepared notice of appeal and sent it oyer by
Ambrose Sutcf a clerk. TO the New York County
Courthouse to be filed My clerk got over there there
O'Gornlans order had not been filed, so he handed @
file file it itOsG as soon ''e as the order was filed.
came FEW Nv and nuI sd Paee 6e order HIS Ws
called to my notice OF appeal and remarking .has
that Vas he took 1 II out and f began b to
and handed 1t back TO the clerk Of the court Mr.
eerE anache ae It og Of s his hands and
to I oekns 6erk at OF the she eocE and eeg that
minute two after IL o'clock, the hour for
ee Of the eour the notice M back to
clerk, saying that it late to be filed. hold
that the notice is filed
Sutclin has made affidavit to the effect that
when Mr. Jackson's clerk was told that the
notice could not be fled there a lively
gument. SutcIiff protested long and loudly, he
says, but avail, and finally threw the
notice through the wicket into the Office of the
clerk OF the court The latter let it remain. he
says where 1t had falen-on the floor
Mr.. Menken says that the Jackson man did
not know where the notice should be filed and
asked him. II am no information bureau for
the Attorney Generals Office Mr.. Menken says
he told Sutcliff. When he finally did find out
where the notice should be filed" says Menken,
'it was after u o'clock. and the clerk refused
to file it, He kept the notice in his pocket until
he handed 1t to the clerk, and l did not have
my hands on II. The other account is malicious
and false. utterly false; not a word OF truth
in it
Mr.. Menken said that Justice O'Gorman signed
at 1850 o'clock. After filing the order Mr..
Menken got Clark Williams. and together they
went to the Carnegie Trust Company to get
possession of the Orientars assets.
They kept us waiting over three-quarters Of
an hour complained Mr., Menken in telling of
his experience there land when they did US
they had their lawyers with them
CARNEGIE TRUSTS STAND.
The Carnegie Trust Company, after being ad-
vised of Mr.. Jackson's notice of appeal. tele-
phoned for its counsel, who advised IT not to
turn over the assets of the Oriental to Clark
Williams anybody else
After the trust conpany's refusal 10 turn over
the assets Mr. Menken rushed back to the
courthouse to Justice O'Gorman. 'The
Carnegie Trust Company" said he. 'is clearly
u, oTc Gxad ha in
tended take any action, such as obtaining an
order directing the company to show cause why
II should not be punished for contempt, he
sad he did not know what action, if any would
be taken.
There We're many yesterday who derived con-
sidera BILE amusement from the fact that while
Mr. Williams was with Mr.. Menken trying TO
get the assets of the Oriental, his legal ad-
wiser. the Attorney General. doing his best
to prevent that very thing.
Justice OGorman's order directs that the
assets and property OF the Oriental Bank and
the management thereof remain in the control
and charge Of the Superintendent of Banking
until said contract is duly signed by the parties
thereof" but does not set time limit IN
which the contract must be signed
This Is the point that the Attorney General
most objects to. and the failure 10 specify such
4 limitation has been largely. instrumental in
causing him 10 appear from tiie OIuel- why,
said he they can take year, or five years.
+o sign that contract if they want to. They
can hold up the deposJors as long they
like simply by not signitg the contract. Then
a gain their modified agreement does not specify
anv time by which the expert accountants
must certify the depository accounts. but only
sDecifies that the depostors TO be paid
forthwith after their accounts have been exam
ined and certified. They can string that ex-