The Birmingham age-herald., 1915-05-22
JUDGE CONSIDERING
 MOTION ID DISMISS HE RIGGS BANK SUIT
Court Denies Relief Sought by Plaintiff Except as to Payment of S5000 to
 Cover Penalties

Washington. Way 2t--A the com ciusion of five days of argument, Ju-- ticc Mccoy Of the district supreme l court took under adyisement today s motion to dismiss the suit brought by the Riggs National hank to cnioin See retary McAdoo. Comptroller of the Currency Williams and Treasurer Burke from alleged unlawful persecu- tion of the hank.
 The court denied relief sought by the plaintiff pending litigation. except,as to the payment into the treasury of S5eo0 due the bank and withheld tn cover pen alties imposed by the comptroller for failure to furnish certain reports A tenn porary restraining order against payment of this money into the treasury was granted at the outset of the proceedings and the court later will pass upon the question Of continuing il.
 Justice Mccoy indicated that he would occupy sometime considering the case. fore July l.
 In denying the prayer for an injunction pending litigation the justice said that without considering what evidence might hereafter be presented there was noth- ing in the record before him now to show the government officials had eXer- cised arbitrary power or power arbitra- iily in regard to the refusal to select the Riggs bank as a reserve agency.
 Violation of Law
 Tt seems to me on the record as it stands that the government officials would be remss in their duty in select ing it as an agent for new applicant banks said the justice ''The evidence here is of persistent violations of the
 The court also considered. on the rec ord as now made ID, the charge that Secretary McAdoo showed malice in an Interview with Riggs bank officials. rhs justice said 1t appeared to him that the malice was rather Ion the other side At the opening of the days session Samuel Untermyer of government coun- ael presented a hookkeepers affidavit that there were 5000 stock transactions shown on the books of Lewis Johnso and company, stock brokers. in the name of the Riggs bank
 Untermyer, who made the concluding argument for the government after for 1IeT SeItlof bd1itN ildu cioset iOi th' bank. declared that it appeared that two officers of the bank were getting personal benefit from such transactions for which the Riggs bank furnished the security.
 Do you know" asked Justice Mccoy, whether there Is anything to show that Johnson &ACo. ii the market had goue wrong, could have held anybody respon- sible but the bank leaving out the ques- ton of whether the bank would have re- auired a reimbursement from a third psrty?"
 Recovery Only From Bank
 The attorney declared the stock brokers could have recovered only from the bank.
 'l think that the record. as now made up" commented the court, shows that the Riggs bank was dealing with Lewis Johnson X Co. in q legal sense whatever interest may have been behind the deal ing."
 Yes, and to say that such Is scandalous is to express it mildly" added Unter- myer
 There was no evidence today of the bit- ter feeling shown during argument yes terday when Attorney Bailey eashed with Justice Mccoy in heated discussion.