The Washington times., 1915-05-19
UNTERMYER CHARGES
: BANK WITH MALICE
Attorney For Treasury Men De-
cIares Riggs Officials Chafcd
Under Proper Supervision.
CONTINUED from Page One.)

because In the then sensitive conul-
far beyond the city Of Washington,
and a lsos and the attendant misery
and suffering. of these $4,000 depos-
itors was thus averted A.. ,-d
That was In November. On the Srd
and 4th of December a newspaper In the
city Of New York made vicious attack,
both upon the Secretary of the treasury
and upon the Comptroller Of the Cur,
rency, based upon that transaction ana
upon the fact that among the directors
of the ,Munsey Trust Company was
brother Of the Comptroller OF the Cur
re'nafS; ,'afS.re had been two trust eompan,..
or two banks seeking this thing and
It had been known throughout by the
Riggs Bank and by the other banks just
what the negotiations were. They were
parties to them. They knew the per-
sonnel Of the Munsey Trust Company.
They were familiar. with all the de-
tails Of the transaction.
when those articles appeared the
condition of unrest had not entirely set
tied. 1t was only a few days after 1t
had been aroused, and the Secretary Of
the Treasury was fearful that 1t would
again awaken distrust and lead to trou-
Bile In another direction; and, mas
much as the Riggs Bank had been a
party to that transaction and he had
heard that for some unaccountable rea-
son they or some Of their officers were
parties to this attack, which was un-
dermining confidence in the city Of
Washington. he asked the President ~
the Riggs Bank to como to his Off
not to discuss a private subject wiz
ject that affected the banks Of the city
Of Washington, to discuss a subject
with respect to which he was a party.
and with respect to which the Secre-
tary of the Treasury had become
party and the result Of which had been
to allay distrust. and the result Of the
articles being to arouse 1t again. 1t
was perfectly proper thing for him
View of Sarcasm.
The satrical comments of my friends
about his commanding this, that or the
other man to come there, do not con-
form to the facts. and I know of moth
ing easier than to discuss the actions
of people in a vein of irony. sarcasm.
or ridlcule: Whoever wants to do that
is at liberty to do so.
when Mr.. Glover came there, he
said he knew nothing about the articles,
and the Secretary Of the Treasury said
Ne had information that they had been
bank. 1t was Mr.. Glover's suggestion
that inasmuch as such a charge was
made or an insinuation to that effect
had been conveyed. 1t would be proper
and Just to send for the officers, and
at his suggestion these gentlemen were
asked to come there.
Each man was asked to tell his
story as he remembered 1t. and each
told it as he remembered 1t, and they
agree in all essential details. They
agree that there was nothing in the
nature Of threat. They agree that
there was something very nearly ap-
on the part Of Mr.. Allies. in the way in
which he made the charge that he had
been in some way concerned in the pub
lication OF those rumors: The first
- = q
I do not know anything about it.
Denied knowledge of 1t.
Tie denied haing had anything to
do with it or knowing anything about
It. but from something that he said the
Secretary said, Then you must have
known of this thing II you saw the ar
said. Let me see the article, and TAX
ing the article as though 1t were a nov
city to him. he looked it over. and he
dfd not cay. am responsible for It..
He said, 1T is all true
Mr.. Williams then said 1t was a It's
sue Of falsehoods. Finally he admitted
having seen those articles before they
were written, and II your honor Will
read them, having in mind the fact. un-
known to use. there was this feeling on
the part Of Mr.. Allies toward these
gentlemen for some reason We cannot
understand. you will see how and in
what way those articles were inspired.
Mr.. Glover was not party to that
transaction. Mr.. McAdoo was very
anxious to acquit him Of any respon-
sibility and said to him. Il am glad
to acquit you Of all responsibility for
it. do not believe you would be
knew about them or their expression.
or had anything to do with them" At
any rate 1t Is not true that there was
any, threat. 1t is not true that there
h1as lay hut y at he
is or not 1t Is immaterial. You can
understand some of the resentment
these men would feel when they find
that a party to the arrangement has
been trying to upset and to create
trouble in the city of Washington.
ut looked very much like the Riggs
Bank was a very reluctant party to
the arrangement. 1t seemed unac-
countable that they should have been
willing to be concerned in stirring up
tributing toward delaying it,"
Charge Flagrant Violation.
'I doubt your honor, whether you
will find in the history Of any bank
as fagrnnt a case of law violation as
that presented by the stock brokerage
transs ctions of the Riggs National
Bank" said Mr.. Untermyer, during his
arraignment of the plaintiff bank and
it's officials today.
The New York attorney asserted that
the Flather and Flather account carried
on the banks books meant that there
were In reality brokerage business and
a. banking business conducted by one
institution. He averred that the Riggs
Bank had broken every national bank
ing law except that there had been no
peculation Of funds by it's officers.
These officers, however, he continued
had freely used the money OF the bank
to carry on their own business trans
actions.
First the bank officers told the eX-
aminer from the Comptroller's office
that this Flather and Flather account
was aside from the bank and was owned
by Mr.. Glover and Mr.. Father" said
Mr.. Cntcrmyer Now the bank says
the account belongs to 1t. although II
has never appeared In any bank state
ment."
rs this the account wherein 1t Ii
claimed stock transactions were
handled?" asked Justice Mccoy.
Yes" replied Mr.. Untermyer.
In conjunction with real estate" in
terposed Mr.. Atkins of the Govern
ments counsel.
Claims No Animus.
Mr.. Untermyer declared that the cast
presented not animus Of Treasury Of
kAxr a.l ha =,