Evening star., 1915-05-19
.UNTERMYER CALM
IN RIGGS ARGUMENT
Declares Officers Have Fla
grantIy Violated the Ma
tionaI Bank Laws.
SAYS THAT INSTITUTIONS
SUCCESS IS DUE TO LUCK
Defends Treasury Chiefs Against Al.
legations of Conspiracy in
Injunction Trial.

! business" persistent and consistent
violator of the national ba mixing laws
\ and "a promotion agency from its in
| ception.'' were some of the terms used
by Samuel untermeyer in his argument
| before Justice Mccoy of the District
| Supreme Court this morning in support
| of the motion of counsel for Treasury
| officials for the dismissal of the suit of
| the Riggs National Bank against John
Shelton Williams. controller of the cur
| rency: John Burke. treasurer of the
| United States, and William G. McAdoo.
Secretary of the Treasury.
| In quiet. wholly unimpassioned
| manner strongly in contrast with that
| of Frank J. Hogan of counsel for the
| Riggs Bank. Mr.. Untermeyer. at this
| mornings session of court, argued the
| truth of allegations contained In the
| brief, supplemental briefs and answers
of the Treasury officials. and endeavor-
| ed to show why the temporary injunc-
! tion should be dismissed and the case
| thrown out of court.
| Admitting that the Riggs Bank is a
solvent institution. Mr.. Untermeyer de-
| clared. that its success had been
| achieved because 1t had violated and
def1ed practically every section Of the
national banking laws, and had been
lucky"
Says Law Flagrantly Violated.
"I doubt if your honor can find in the
entire history of banking" he said,
addressing the court las fragrant vio-
lations of the national banking laws as
are to be found in the case Of the
Riggs Bank"
He said that reports Of national bank
examiners showed that in recent times
the bank had loaned to its officers and
employees more than $750.00o OF the
banks funds a total, he asserted. large
enough to have wrecked many banks,
and such as has in the past wrecked
many banks. Speaking of the holding
by bank officials of seats on the stock
exchange. he said:
United States does such grossly IL
legal condition of affairs exist
Il wish 1t were possible. Mr.. Inter
myer said. in opening his argument in
support of the motion to dismiss. 10
avoid the unpleasant task of discuss
ing the issues of this case, but 1t Is not
possible, owing to the nature OF the
Charges that have been made here
against high public officials ! shall
endeavor, however. TO discuss the issues
without the heat and rancor that have
characterized the remarks of the other
side of this case. Fortunately or un-
blood. or the red-hot blood. Of my
friend on the opposite side"
Attorney Hogan interjected. That's
because you're not Irish.
Offers johnson Books.
Shortly before the noon recess Mr.
I-ntermeyer called attention to trans
cripts OF certain books Of the defunct
Lewis johnson corporation. purporting
to be a record of stockbroking trans
actions between the Johnson corpora
tion and the Riggs Bank. Senator
Bailey and Attorney Hogan imme-
diately objected to the presentation of
this record of alleged stock transac
tions on the ground that they. as
counsel for the bank. had not been
given opportunity to see the record.
Mr. I'ntermeyer stated that the
ords had been filed with the court, to-
gether with other papers pertinent to
the case since last Saturday. The noon
recess terminated a rather acrimonious
| colloquy between opposing counsel as
! to the ethics of attempting to present
documents TO which one side had not
had access.
At the opening OF the afternoon session
Mr. t'ntermyer continued his discussion
of alleged stock transactions In which
he stated r. II. and II. J. F'lather, the
Riggs Bank itself. and others OF its Off
GERS, were engaged
II became evident this morning that
be completed today, and that Senator
Railey's closing argument would not be
completed until tomorrow. thus making
the heal ring last two days longer than
was anticipated at the beginning.
Argument of Mr.. Untermeyer.
Mr.. Untermeyer in opening his argu-
nent said MAY it please the court.
in our view of this case it is disposed
hat
yolved, and that discussed in the
briefs that have been considered, and
| wish il were possible to avoid the un-
pleasant task of discussing the facts
| OF this case But it is not possible with
Justice to these public officials. in view
of the charactV of the charges that
have been made against them. We have
at least the consolation of knowing
| that we have not invited any such Is
sue and that we are simply here to
| defend ourselves against these charges.
| II think il is the duty OF these Of
! fcials, regardless OF the necessity on
| their part to make this defense. What
| would be thought OF public officials
\ against whom such grave charges OF
| violation OF oath. persecution OF a bank
1 iutrusted TO their care. II they were TO
4 come into court and simply gay The
| United states is not Joined here: II can
4 not he Joined. il is not a party. and
Won have "A remedy III the court of
| claims and stop there I think they
\ owe il 10 the public to make their de
! Tense and that is my excuse for going
/ into the facts Of this case.
| ..In the face of exceptional provoca
\ lion | shall endeavor to discuss those
| facts briefly, without heat and with
| o,,t the rancor that has characterized
/ ,he otherwise very able and lawyer
like argument of my friend upon the
J otber side Whether fortunately or
otherwise. | do not happen to have the
bot red blood, or the red hot blood. of
which he seems to be SO proud. And so
1 4 think it may be possible to state
| categorically and chronologically the
/, facts that led up to this controversy
| and that have created. apparently. all
| this difficulty, and to show not only
| that these officials have been absolute
" justified in the action they have
taken with respect to this bank. but
| that no other course was reasonably
| omen TO them, and that they were not
the aggressors in the arousing of any
| resentment or hostilities, but have been
the victims of the hostility Of the
| bank
Scores Bringing Mr.. McAdoo In.
.I say.rwith some hesitation. but with
all sincerity. and upo. the responsible
ity of my oath as an ofiicer of thi.
court, that I regard the joining OF Mr.
1 (Continued on Second Pngel