New-York tribune., 1911-03-20
Talk Of STATE INQUIRY
INTO BANKING AFFAIRS
As Grand Jury Refuses to Report
Indictments. Albany Action
Is Urged.
WHITMAN SEEKING DELAY
wonts Confederation of Robins
Story Before Men Concerned
in It Hear What He
Has Testified.

=, is exnected that resolution will be
,,,,oduced al Albany within few days
., q member Of the Legislature for
.sarchin. investigation Of the state
p.,ting Department and the banking
,,,ration. The revelations since the
,,osing Of the Northern Bank and the
carnegie Trust Company have led to an
agitation FOR such an investigation in
,.tain quarters. and an effort will he
u.d4 70 satisfy that demand. which will
,,ohablv rc hacked to some extent by
public opinion
After the insurance investigation. the
,,.s Of which would. it is believed. be
,,roved In any examination of the bank
-, si,rati9n. there was a demand in
MANY quarters for a searching inquiry
INTO the banking affairs of the state.
o., Governor Higgins frowned on the
rsa He and some Of his advisers felt
,,a, On Investigation Of that char
,..sr would do more harm than
,oo5 Warnings of the state Bank
,,e DEPARTMENT had given some banks
.,st had been taking chances an
,,no-tunity go put their affairs in order
,hieh would have been destroyed, it was
.i by the publicity necessarily attend
,,- upon an investigation. The agita-
tim for an inquiry persisted for short
time bur after Governor Hughes's ad-
riristration began il died out
- to-, Nr.1 Iva,
rsrsaturc is expected 10 take one OF
,Vo forms. II will either ask for the
,--edate appointment of committee
Nh. the Arstrong Committee for the
conduct Of an investigation. or that Dis
,rcr Attorney Whitman he instructed to
,urn over TO the Attorney General for
transmission 10 the Legislature all the
evidence in his possession, following the
completion Of the grand jury inquiry
into the Carnegie Trust Company
affairs I'm any case the scope of the
INQUIRY. il IS planned, shall embrace the
STATE Banking Department and the
methods Of all state banking institu-
tonsi
District Attorney Whitman has sub
p9naed for the purposes Of the imme-
date inquiry the discount clerks Of six
teen or seventeen banks lie has asked
them TO bring the books Of their several
hanks with them, and tell the grand
Jury al the circumstances surrounding
the deposit of city money, the acceptance
II. IL. Il e., nd Cn
Breach Is Widening.
The breach between Robin, Cummins.
Rsichmsnn and Hyde is gradually
wiiening II has been known for some
tine that Robin has been al odds with
bis former associates, but the dlstrust
existing among Cummins, Reichmann
md the city Chamberlain is Of more re-
cent origin Stephen C. Baldwin, at
PRESENT counsel for Hyde, once repre-
ssntsd not only Hyde. but Cumnins and
Reichmsrn Cummins is represented
nov solely by John B Stanchfield, while
Peichmanu has retained Ex-Governor
Flank : Black. They would all like
10 Know what Robin has been telling
'he grand jury
The grand jury. it is known, deter
mined upon The indictment of certain
officials OF tho Carnegie Trust Company
before Robin appeared before it as
witness Although the District Attorney
has been PARTICULARLY rcticent on the
subject IL Is no secret that he has
deemed it Oh, Iart of wisdom to lay a
bIoaG foundation for the investigation,
and therefore these indictments have not
been acted Jpon. n the belief that delay
would induce more end freer testimony.
4' 'Io mean time Robin has been telling
e. Ae knows Mr. Whitman wants cor
'o1"faton Of bis cha ,ges. and he conf
uen'.l expects to get 1t from one or an
O'"'r of thH-. men whose anxiety oyer
Inc situation Increases with every d y of
suspense
hooln VIII go before the grand jury
again to-da. and tell how he was in the
Aa0t oi approaching other banks with
INC proposition that they 20 TO the aid
W The Carnegie Trust Company. prom
SAg tnem that To- every loan made TO
ue Carnee, Trust outfit they would re-
'1'e "a i'tHrn in city deposits He " /
as touch upon an entirely new phase of
'e muda.e that involving the traction
Situation
SeFefa. men from outside the city Will
converge upon New York to-day TO take
'helr part i'm the Carnegie Trust situa-
uoh' prominent among them being John
'efuees an attorney of Nashville
l'nn. who is coming to help William
Cummius. his fellow townsman, and
'soise j. Shaw. president of the Assets
realization Company. whose headquar-
'ffs are in Philadelphia. Mr.. Shaw Is
coming CO. confer with the syndicate OF
oankors who are willing. through the
assets Realization Company. 10 take
he Carnegie Trust Company out o1 the
hands oi the state Banking Department
ehd guarantee the full payment OF de-
p.sliOrs claims
me District Attorney rs continuing y
az .'s search for dummy stOckhOldeIs III
"t 'ummirs concerns.
-S----
MRS. COREY LOSES IN COURT