Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1911-01-19
THE TRUST COMPANY IN COURT

/ veGed at III O'CLOCK tniS HioiuiuS 0ns
names Of the grand jury were called
The number had been fixed at nine
but Capt. Herbert Bryant and Mr.
R. w. Arnold had been excused iron
serving.
Mr. G. l.. Boothe suggested tha
no stakeholder or depositor IN the
hank should be a member Of the grano
jury. >,
r. S. Barrett-was a small deposltors,
but he did not see how that fact would
disqualify him.
Commemorative Attorney S. G.
Brent thought it would be better for
Mr.. Barrett to stand aside.
Judge Barley finally concluded to
excuse Mr. Barrett, and he fixed the
number OF the jury at six with W.
H. Sweeney foreman. The other mem
bers arc d. r. Stansbury, ]. w. May,
James Bayne, Z. E. Lawler and G. j.
". Summers.
The jury was then sworn after
which the Judge read his charge as
| follows:
Gentlemen OF the grand jury:
On December 2Sth, 1910, appllca-
cation was made to me for the appoint.
ment Of receivers of the Virginia
Safe Deposit and Trust Corporation,
chartered under the laws OF the state of
Virginia. After reading the bill and
answer and hearing the statements
of counsel, | deemed it for the best in
terests OF all parties interested that
the count should intervene, ap-
point receivers and have the
affairs OF the institution wound
I'D under the direction OF the court.
The institution was large one, espccl-
ally for small community, and Its
burdens bear heavily on many OF our
citizens; nor are they alone, for its
branches and their operations extended
throughout many counties OF our state
and similarly affected large number
OF its people. So many are the people
who are in one way or another affected
by this failure that it is public mis-
fortune. The public interest in this
matter is great and Justly so; not alone
by those who may suffer loss or incon-
vrnience resulting from the tying up
OF their funds, but the great masses OF
depositors and stockholders in financial
institutions all over the state. as well
as the public in general, are virtually
interested in seeing that the lnteg-
rity Of all such institutions is fully
maintained and that the person or
persons entrusted with their manage
ment held to a strict accountability OF
their trust. Following the appoint
ment OF the receivers, many rumors
were soon ahoat charging the executive
head OF this institution with criminal
mismanagement Of the corporation s
affairs and other offenscs contrary to
law. As to the truth OF these state
mcnts | know nothing, but l., at once,
determined to, as soon as practical,
have your body investigate fully this
company's affairs and furnish to the
court the result OF their Investigations,
To the end that the court might be ad-
vised and the responsibility for the
present condition OF the corporation, if
any, fall where it rightfully belongs.
In accordance with such determination,
| have had you summoned rs special
grand jury. You are required to in
quire into and true presentment make
of all felonies and all violations OF
the penal laws committed within
the jurisdiction OF this court. At
least, five ofyour body must concur in
finding an indictment or making pre-
sentiment. You may, however, make q
presentment or find an indictment upon
the information OF two or more or
your own body. and when a present.
ment or indictment is so made or found
on the testimony OF witnesses called on
by the grand jury or sent to it by the
court, the names OF the grand jurors
giving the information, or OF the wit
nesses, shall be written at the foot OF
the indictment or presentment.
I specially charge you TO give this
matter your most careful and pains
taking investigation. 1t is duty
which you owe to your community
and to your state. Spare neither time
nor labor and in aid Of your investiga-
ton, the court will have summoned any
and all witnesses you may deem neces-
sary, requiring them to testify; and
render YOU such other assistance in its
power.
l also give you in charge the follow
ing from the Statute Law OF this state.
The Court then quotes:
section 116i. Limit OF liabilities of
borrowers; no loan to be made on stock
until paid for, which related to the total
liabilities or any person, partnership or
corporation TO amy bank for money Dor
ship, the liabilities of the several mem-
bcrs thereof
This law also provides that no loan
shall DO made by bank or banking in
stitution to a stockholder therein on the
security OF his shares Of stock in such
bank or banking institution until such
shares are fully paid for EACH
The judge also quotes Section ICY.
Statements to be rendered to the State
Corporation Commission and published;
State Corporation Commission to FUR
nish forms: when TO cause examination
Of bank, which provides that every joint
stock company, and every bank and
banking institution Including savings
banks, Savings societies, and savings in
stitutions) now chartered, or that may
hereafter be chartered, under tho laws of
the State Of Virginia, and doing a bank
ing business therein, shall make to the
Corporation Commission statements Of
its financial condition ut suc.i times
i; a. No mol hon l,G
lied under the laws OF the United States
are required 10 make their statements to
the controller Of the currency; and also
publish such statements III condensed