The Hartford republican. (Hartford, Ky.) 18??-1926, 1908-05-22
CRIMINAL PROSE.
CU7I0N BEGUN.
Parrish and Anderson Ares
ted at OWensbOrO.
Revelations of Receivers Cause
Issue Of Warrants and are
Held under $4,000 Bonds.

Greensboro, KY, May 1S.-James III.
Parrish president of the Owensboro
Saving Bank and Trust Company and
I. S. Anderson, president of the Davies
County Bank and Trust Company
were both arrested yesterday as a re-
suit of the disclosures following the
recent failures of the TWO institutions.
Both men waived examination and
were held under bonds of SIS 900 each
to await the action of the grand jury.
Thirty-one years ago James H. Par
: IRISH began work as a clerk in the bank
owned at that time by r. s. Anderson.
He learned the banking business from
Mr.. Anderson. His advancement was
rapid In 1884 he purchased the bank
q from Mr.. Anderson. The latter moved
10 Detroit, Mich, and opened a bank
] The rise of James H. Parrish in the
financial world was phenomenal. A
few months ago his bank had a cap
! ital stock Of 100000 and deposits Of
over $1,000,0O0. Mr.. Anderson quit
the banking business in Detroit a
few years ago and returned to Owens
borO and opened another bank. He,
too, a few weeks ago, had deposits
of $640,0O0
Tonight, James III. Parrish president
and largest stakeholder of the Owens
boro Savings Bank aud Trust Com
pany, and T. S. Anderson. president of
the Daviess County Bank and Trust
Company, the teacher and the pupil,
are both under bond of $4,000 to APP
pear before the August Daviess coun-
ty grand jury.
Anderson was arrested on two war
rants. One charges him with frau
dulently converting to his own use
$4,000 of the funds of the bank.
The other warrant charges him with
receiving deposits when he knew his
bank TO be insolvent.
Parrish was also arrested on two
warrants, both charging him with re-
ceiving deposits when he knew his
bank to be insolvent. The arrest of
Parrish and Anderson did not come as
surprise 10 the citizens of Owens
boro. However, it created one of the
most profound sensations in the his
tory of the County.
On April "a, motion was made for
a receiver for the savings bank. #. A.
Pedley was appointed and Immediately
took charge. This came after sever
al weeks of financial distress by the
bank, during which time the officers
made every effort 20 keep the doors
open. But so much of the paper of
the bank had been rediscounted that
little paper of value was left that
could be realized upon. The city's
most prominent business men went 10
the aid of the bank during its last
days, and personally loaned the in
stitution $4,000 upon being assured
that this would tide the institution
over. But it was like pouring money
into a rat hole 1t disappeared in
few days, debts to other banks be-
ing paid. Since the appointment of a
receiver it has developed that near
ly 100000 of worthless notes in the
bank were executed by members of
the Parrish families and their business
allies. The depositors became indig-
nant at the revelations, and many
threats of warrants were made pre-
vious TO the taking out of these.
The financial embarrassment of the
Daviess County Bank was similar to
that Of the savings bank. In this
bank over 100000 has been borrowed
by President Anderson and members
of his family. James Ward, a farm |
er of Daviess county made affidavit to
secure the warrant charging Anderson
with converting $4,000 of the banks
funds to his own use. The other war;
rant against Anderson and the two
against Parrish charging them with !
receiving deposits when they knew
these banks to be insolvent were is
sued on affidavits of depositors.
Anderson and Parrish appeared in
County Judge Owens office at o'clock
Yesterday afternoon shortly after the
warrants had been served upon them.
They had been notified that the war;
rants would be issued and had prepar- :,
ed to furnish, bond. " Mr.. Anderson
waived his examining trial and exc
,ufad houd In fba S,,p, ~ Ell Ana Cos.