New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-06-23
HOPE FOR MASS. BALLOT TO SUE STOCKHOLDERS
superintendent Van TuyI Begins
Action in Union Bank Case.
CLARKE TO GIVE SUPPORT
purpose to Develop Any Evidence
Which Might Result in Pun
lshment of Guilty Persons.

Albany. June 22.-Superintendent George
- van Tuyl, jr, Of the State Banking De-
partment. after conference with District
Attorney Clarke of Kings Comfy. an.
hounced to-day that he had started pro-
ceeolngs for the assessment of the stock
holders Of the defunct Union Bank, OF
brooklyn superintendent Van Tuyl has
been working almost continuously on the
anairs or the Union Bank since he as
suned office, and while the liquidation Of
the bank is proceeding in an orderly man
ner. IT is Mr. Van Tuyl's belief that he
should so TO the utmost in an endeavor TO
collect whatever sums possible for the
benefit of tho dcpositors OF the institution.
The bank, at the time it's affairs were
taken over by the state Banking Depart
ment. operated eight branch banks and had
an aggregate of twenty-three thousand de-
positors. Mr.. Van Tuyl said to-day:
believe have the matter of the Union
sank well in hand AT the present time. and
II Is my intention to proceed with the as
seSSinent OF the stockholders as rapidly as
the processes of law will permit. My con
terence with District Attorney Clarke with
reference 10 my plans and my proposition
! that the stockholders of the bank he as
sessed at once. was most satisfactory. The
District Attorney has promised me his fun
sanction and support in any proceedings
which 1 may undertake that have connec-
ton with the work Of his department, and
have assured the District Attorney that
II is my purpose to develop any evidence
that can oe secured which might result IN
the Indictment and punishment of persons
who may he held responsible for the un-
fortunate situation of affairs.
In working with the District Attorney 7
may have occasion to afford him the ser
vices of one or more Of the force of expert
state bank examiners In the preparation
of evidence 10 be laid before the grand
Jury, and. il the occasion seems to require
this | will be pleased to make such ar
rangements. District Attorney Clarke i'm
turn is TO designate one of his deputies to
assist me
II is my understanding that ! have been
called upon ny Governor Dix to fully in
vestiSate the affairs of the bank and TO
make report 10 the Governor | shall carry
out these directions az soon as il is phySi-
callY possible for me 10 do so, and IN the
fastening Of the investigation through the
agencies at my command in the Banking
Department and the machinery OF the Dis
trict Attorneys office it will he possible for
me to afford the Governor full information
as 10 the exact situation. and II viii ne Tor
the Governor TO make such report public, If
he So desires.
Ii is my expectation that the work of this
invest icatior will assist materially in the
liquidation proceedings. and thus he boon
some part or the moneys now tied mp
through the orderly procedure Of the law
covering the liquidation Of failed hanks
I have asked Assemhvman GOldStein to
afford mo what cooperation he may he
able 10 give in connection with the investi-
cation and il Is my expectation that Mr.
Coldstein will be a most important ally in
the conduct Of the inquiry into the affairs
Of tho bank.
Superintendent Van Tuyl attended the
oreninc session OF the state Bankers Con-
vention at Coney Island on his return to
this city Yesterday. contrary to his usual
custom Of spending the last three days of
each week in his New York office He will
remain there to-day also. District Attor-
ney Clark on his arrival in Brooklyn. i'm
mediately continued his investigation Of the
Union Banks affairs. and stated that II
the evidence warranted it snecial grand
iurv would he called To look into the case
early I'm July.
District Attorney Clark or Kings yes
terdav designated Mitchell May an As
sistant District Attorney. 10 conduct a
thorough investigation into the affairs Of
the defunct Union Bank. Of Brooklyn, and
IL necessary 10 institute criminal prosecu-
tions. Plans for the investigation Will oe
formulated in Mr.. Clark's Office to-day.
where he will confer with Mr.. May and
Assemblyman Louis Goldstein, Of Kings
County. who has been active in Albany in
demanding such an investigation. Mr..
Goldstein has been retained as special
counsel for the State Banking Department.
81 am heartily in favor Of such an in
veetigation." said District Attorney Clark
Yesterday. The investigation should he
thorough and II should he public. | believe
that with the cooperation Of the State
Ranking Department and Of AsSemhlyman
Goldgtein we will be able 10 devise some
means of securing effective results
Depositors expect 20 get some Of their
money back through the decision OF super
intendent Van Tuyl 10 levy an assessment
on the tockholders of the bank
ON Friday last the Appellate Division In
Rroo<lvn rendered a decision I'm regard to
Tho Jenkins Trust COMPANY which specifies
r.hat tho procedure will he IN the case OF
the levving Of an assessment on the stock
holders of the Union Bank. When .. n.
cheney was Banking Superintendent, no
tried 10 levy an assessment on August {.
scbarmann. one of the largest stockhold
ers Of the Jenkins Trust Company. Mr..
cheney, won his case in the Supreme Court.
hint the decision was reversed by the APP
rella,e Division. Justice Woodward, who
urote the opinion. holding that me assess
rnent must he levied on all the stockholders
alike and al the same time
GOVERNOR COMING HERE TO-DAY