Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1913-09-17
SMITHS ACTIONS
PUZZLE DEPOS|TORS
CONTINUED from First Page-)


asked If such transaction had beer
discovered.
Il won't give out any ones name,
he said. He refused either to affirm
or deny the report.
Smith. the debonnaire. smiling eN-
treasurer is maintaining a sphinX-like
silence on what his real intentions
are. Neither has he thrown any light
on the underlying reason for his APP
parently ineXplicable and amazing
action in surrendering to face multi
tude of grave charges when he could
easily have escaped.
Few of the depositors think Smith
is working through any kindly feel
ing for them. They do imagine, how
ever. that he may contemplate MAX
ing a "squear' if there are others
eriminally involved in his manipula-
tons and thus. by aiding the State,
gain leniency, if not immunity. for
himself.
Whether that is what really turks
in the back of Smiths mind Is a
mystery, but 1t is possible that he
meant just that when he inadvert-
emily said to an Evening Star re-
porter today:
why. yes. Mr.. Ralph E. Lum is
my counsel. at present"
Ralph f. Lum is also counsel for
the directors.
1t had just been pointed out to
Smith that Mr.. Lum denied being
his counsel. despite the fact that he
acted for the alleged embezzler at
every step of the arraignment and
fixing of temporary and permanent
bonds.
well. I don't know" said Smith.
81 understand that he is my attorney
at present
When pressed for an explanation
of the Eat present." Smith coolly ig-
nored the question and went on:
"At present I am working hard
with Mr.. Yredenburgh."
What are you going to do about
the bankruptcy proceedings against
your" Smith was asked.
~ understand my attorney, Mr..
Lum. will file demurrer In bank
ruptcy this week. He has until next
Monday to do So"
why was A. Randolph Jennings,
the teller of the trust company, dis
charged by you shortly before the
bank was closed?"
"That is of no interest," replied
Smith.
well, was he implicated in any of
these financial deals or was he too
intimate with some other employee?
What was the reason?'
YES. he was fired because he was
too intimate with some of the help
in the Office" said Smith.
"Win anyone else suffer in this
case?" he was next asked.
IT am not ready to say" he re-
piled with the very air and accent of
a bank examiner.
Questioned About Loan.
at has been rumored that you lent
s42.500 to a friend of yours, in order to
keep him out of Jail for shady real
estate deal of his. Is that true?"
''Foolishness!" exclaimed Smith. 1T
may have made bad loans, but don't
having made one like that"
He refused to give out the names of
the men to whom he made improper
loans. He said again that it was his
intention to turn over all his personal
assets to the directors.
When it was pointed out that the
banking department would be more
fitting depository for his funds, Smith
merely shrugged his shoulders.
Clifford f. MacEvoy, president of
the Depositors' Association, admitted
today that he may have acted I'M
wisely in going on the bond of Smith.
IT had really no thought of doing
So" he explained. MIR. Ralph e. Lum
called me up on the telephone and
asked me if I would do so. l said no.
Then he asked me to call at his Office
because he said he thought he could
present the matter to me in such
light that I should be willing to be-
come one of Smiths bondsmen.
when reached the office Mr.. Lum
told me that Smith had promised,
provided he was at liberty, to help
out the banks affairs and
collect unrecorded assets about which
no one but himself knows anything.
Smith had just come in and I had
a heart-to-heart talk with him. He
assured me that the shortage was
not anything like what the bank ex-
aminers had said and that he would,
by hard work, be able to recover a
large amount of assets. After that
he was willing, so he said, to take
his medicine.
at appeared to me that it was to
the best interest of everyone to allow
Smith to do that, so I finally agreed
to go on his bond.
Later on I told Edward F. Clark,
the counsel of our association, that
I supposed 7 ought to have consulted
him first oh, I expect no harm has
been DONE, he said, although he in
that I ought to have spoken
to him.
"Of course, it all depends upon
Smith. If he does what he has prom
Used to do we shall be justified in our
action"
Mr.. MacEvoy said that Smith would
never have surrendered if he had not
been assured of his liberty on bail.
In regard to the reported hearth
ness with which he greeted the al
legged defaulter. Mr.. MacEvoy re-
marked that he had actually been
glad TO see Smith.
Anyone who knows what an in
solvable tangle the banks books are
in would welcome any glimmer of
hope of possible solution. That is
why I was pleased to see Smith. I
am with the depositors heart and
soul If there are other men guilty,
l want them to be forced TO disgorge
and then, II possible, we'll make them
pay the penalty"
Some of the depositors who have
been watching the situation closely
think that Mr.. MacEvoy, in going on
Smiths bond, made a mistake. The
fact that the head of the De-
DOSllOES -ASSOCllllOll 10 dSlinS lCSdAiy
as sponsor of the man who is charged
with wrecking the trust company Is
bound TO bring about embarrassing
complications. it is thought. In the
same manner. the fact that William
P. Odell. president of the trust COM
pany, appears both as complainant
against Smith and as one of the
bondsmen for him. also tends TO
make more peculiar an amazing tan
gle and Intervening of relations
that have followed the collapse of the