The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-02-07
BANKS MAY FIGHT
ORDER BY WILLIAMS
Pest Case Likely if He starts
Campaign to Recover
stock Losses.
SEEK HIDDEN MOTIVE


~>y,.t u,t...., ,.ls .,.nu.,d in Wall
CT .......i.,. .., ,,.,,
's'' ''r'' .''' '' .'' ''
t-I.Hl ui i'0 currency NIl.iihs h gong
back ton years jo bring about restitution
trnr, ir, diIr.io.a of Gin. Bank OF Com
mon, of +, los. .u Al STOCK transaction
- .,r.,.sfy f,lhdI,u by law. fl was
is,.r,d r,I .,,n,, big banks OF New
KIN. y... ... .....,.... .o stock underwent
Inc. .,rd,. tg. same n... .s.rr.lar. conditions
drfIY, in, p.r.od t.p and fifteen wears
ago are cyp.c.ng to n,ag from the
CowptroII.r rcsgFdirg them
II /, iui.fnatrd however. thai Z the
Comm roller lnuurh,s "a camp1tgu aggins,
f-r,t p ,,raci a. .,.uI,s ON mis- count
no may not meet with MS smooth a path
as i'm this on, instance.
Decided ou.r.1u was Expressed that a
suit brought against dnp,.,rs for re-.
cbvcry Oh such a loss could no success
fully defended II was therefore init
mated that in tine event Of further &C.
ttyItv Of M. Couu'rollor along this line
a legal test nigh. he rcsor.ed TO-
VA support of this contention, IL was
held that the absence Of prohibition In
the law against participation ,u stock
undertakings and the fact that the la
billty OF directors for losses other than
those resulting from fraud or negligence
where IN" directors have acted IN good
fJitn. IS not definitely established, leave
the legal authority Of the Comptroller
In the matter very much in doubt.
Participation In stock underwriting
syndicdtes hy national banks was by
no means uncommon IN the period OF
Dig hotauons OF securities hteen years
ago Iractca,ly an the 'lg hanks OF
New YORK Chl'aEo ana other large
nhnclaI centres engaged IN me pracuce
ana maui laISe pIoIts ne question
Iaiseu as 20 tne .egaii'F OF such par
u y,p 'eu 10 Ine torrnutloh ny Ihe
,IIS' Na''o"hI dhu 'le N"uuuaI Ivy
oanhS o, security tolnp"il,eS Whlcn en-
- '."l.S , ',.''9 ~, .u,s .n'
,, nu "'oa' 3'"eN' Us '"u'eu W
wy 'y.,., VI '''e ~ s.. 49,.
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NV, 20 .',''' i,''l M,
' 800 ,.,h az 49,, "s wol'
70 W, 80. So, y''l'' 80. "'"Ns'
1850 ~ ~ un,u. i ..'nsS ~ ,,'s 60, =
1uuseu ny "orlu s'aiut'ns tnereIore
Is SnoM '' 'I'as mere ~ .o'hihs IN
.,,I,,,' us d" -. - 'i'ue w
Sl Vi 'vsal me- t ~ l' s,,l'on y, tIe
s" IN "V' ~ mas "' ny "i""''
,I..e asa,''s, 1t, At >.-..-.,
LeS'ue', A'eN'il"'T Oh 'ne Nal'oi'a'
30" vi 'o'iue'Ns 'U''''' M" yes.e'-
's 80 S'o ". Wv " ~
uespalcn TO me SUI setting lotth ahe
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ii5 '' -. "a, u, ~ W., 's
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wan 'tt'e' me- :" 'he Specl"c
w. vi l"e DUN '"'nlue.Lc was
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o,''i W S'"sle Ou, ms Jam, N lI.
.,a, 7ul'' ','H u1''' - .''' ;''e
~, ~. ''''. re
-" ." "n'.NN' we MS 'o'o'u-
40" ~ ''a' me '"S'I zen. rem VIC "ol uh-
,, ~ W. "'N1,', "t'"er
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"u''" 'eN 10 !" ~, ~
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'' ""N ''" o"' y. 90. " 80.
"I Wv u, 'ne
81" So, -. 49, w. -, a." ~
W. ~. >.''"'''. W" ~, N''", ',e' g.
-. '''g 80 ,'''. M"Un wa VI
90 7'0' ''' ''s9 was
... ,....., ,..-, ,-.,..
t,,,'.,.', w., on "'sm %", ,l. ny ny
w. I - al" ~ :" ou' nv
80 ' ~. ~ "a. p'-T'.'' ua' ,s',C
- '''e' 80 P.""'D'! ""u I''',
t,is pa' - .'"','7 ~ VI We "NSe' a.
tooo. nmo nc n''N pNi ll'Sru nv
80. 9,,t,,,. -, ',e So ol ."e On'.ago
80, ha,da;S a. 'I'' INV WEI - n l,u