Evening star. [volume] (Washington, D.C.) 1854-1972, 1915-10-01
C. C. Glover, W. J. FIather
and H. H. FIather Ac-
cused of Perjury. &
TWO INDICTMENTS FOUND
AGAINST EACH OFFICIAL
Action Is 0utgrowth of Recent Suit
Against Secretary McAdoo and
Controller Williams.

Charles c. Glover. president Of the
Riggs National Bank: William ]. Fla
cher. vice president, and Henry III. Fla
ther. cashier, were indicted this after
noon by the grand jury for perjury.
Four indictments were returned to JUS
tice Mccoy in the Criminal Division o.
the District Supreme Court, he being
iithe only justice sitting. One charges
the three financiers Jointly with mak-
ing a false statement under oath be
fore a notary public concerning ma
terial issue in a case pending in court
The other three true bills" make the
like allegation against each Of the
bankers individually, one only being
named in each Indictment.
The charge of perjury is based on an
affidavit signed by Mr.. Glover and the
Flatker brothers and filed at the hear
ing last May before Justice Mccoy on
the application of the Riggs National
Bank for an injunction against the
Treasury officials to prevent the levy
ing Of a fine of $4,000 and other threat
ened daily penalties for alleged failure
to make certain reports to the con-
troller of the Treasury.
In the sworn statement the bank Of
ficials denied that the bank had ever
bought or sold any stock through
Lewis Johnson & Co, and that the bank
n
The statement was also made that If
any entries appearing on the books OF
the brokerage firm purported to show
such transactions such entries were
false.
Charge Account Carried for Bank.
The indictments allege that an ex-
animation of the books of the defunct
brokerage firm show that accounts
were carried for the bank. 1t is also
alleged that the entries on these books
were true and represented real trans
actions in which the Riggs National
Bank bought and sold stocks from and
through Lewis Johnson & Co.
The charge is made that the accused
and each of them subscribed and stated
under oath things material to the issue
involved in the hearing which were
false and which they did not believe
to be true"
The indictments by way Of preamble
recite that it was CHARGED in the suit
of the Riggs National Bank that the
Secretary of the Treasury and con-
[troller .oE~,the currency, had revoked
the designation of the bank as
depository Of government funds and
bank as a depository OF the funds of
other banks.
The reason for such action, it was
charged. was in pursuance of a malicious
Was claimed by the Treasury officials that
1t was the policy of the government that
it's funds and the funds of other banks
should be deposited in institutions which
would use them in legitimate commercial
transactions only.
Reason for Treasury's Action.
Because of their belief that the Riggs
National Bank was engaged in con-
Quoting a stock brokerage business
and was carrying speculative security
for it's loans, the Indictment states. the
Ereasury officials took the action COM
planned OF ,and for no other reason.
The statement is then made that
Wesley NJ. Bennett made an affidavit on
behalf of the government officials in
the Riggs Bank case then pending and
accompanied it with transcript of
an account of the purchase and sales
of stocks in the name of the Riggs Ma
tiona1 Bank appearing on the books of
Lewis Johnson & Co. To meet the
allegations of the answers of the
Treasury officials and the averments
of the Bennett affidavit, it is alleged
the accused bankers May 20 last filed
the affidavit which are based the
indictments.
Give Bail in $1,000 Each. i
Arrangement was made for the finan-
ciers to give bail of $1,000 each for their
appearance for trial. No bench war
rants were asked by United States At
torney Laskey, because of an under
standing with Attorney Frank ]. Ho-
sal 70. fbA