Evening star., 1916-05-10

o-> SooN' HUM SSNtlELD, MISS
OLDs. MISS RUTH GRAF AND MISS
put that the officials of the bank have
BEEN" etc
Mr.. Stanchfield then reviewed the
history of the affidavit as meant to
meet the charge that the bank, for
itsel1 and on its own account, bought
and sold stocks through Lewis John
ndavit because they knew the officials
dld not intend to make the bank a
party to these stock transactions
Before drawing the affidavits Attor-
ney j. Frank Hogan had gone
thoroughly into the history and rec
ords OF the bank and seen all the en-
trles which have been introduced into
Ine case by the prosecution, Mr. Stanch-
neid explained. Mr.. Hogan drew the
being present, that later it was gone
over separately by each defendant, and
mat to each he explained it's meaning
to state that the bank-for itself-did
not transact these stock deals
He read extracts from a statement by
attorney Hogan regarding the drawing
OF the affidavit and what it was in
tended to declare and convey-that the
pank-for itself-dd not transact stock
deals.
Justice Siddons interrupted Attorney
Stanchheld to ask his contention as to
why statements and extracts he was
ieaolng were admissible in his open
ing statement to the jury Mr.. Stanch-
field satisfied the court and was al.
lowed to proceed. He said he was pre-
pared to support his contention with
citations if necessary
Mr. Stanchfield went fully into the
arg Sunent IN court on these affidayits
at the time the indictments were is
sued.
Gives History of Bank.
History of the Riggs Bank under
two phases-romance and financial in
tesrity-was reviewed by ATTORNEY
Stanchfield in the opening address for
the defense to the jury He told of
the very prominent part the bank has
prayed IN the financial affairs of the
onlted states. He called attention to
the fact that the Riggs Bank, under
the various names under which it has
done business for eighty years. has on
many occasions loaned money to. the
United states government in times of
stress, and has done business with
every President from Buchanan to
Woodrow Wilson.
He said that its progenitors. Cor
coran RIGGS. came to the rescue of
the government in 1S47. 1oaning the
government S23.0O0.000 with which to
carry on Ihe Mexican war. When the
government was able to liauidate
this loan the bank interested English
capitalists. strengthening the credit of
the United States. The $1,000, 900 this
government paid to Russia for Alaska.
he said, passed through the Riggs
Bank. and the S20,000,O0O which the
United States paid to Spain to recoup
expenditures in the Philippines 1t
the Riggs Bank also, he said. thai
only two years ago paid to the Secre-
tary of the Navy S12,o00,o00 paid by
Greece for two obsolete battleships
United States VS.. Common Sense"
He paid tribute to the standing in
the community of the three officials
under indictment. He said that it was
not a rare sight to see bank officials
on trial for looting a bank and mis-
appropriating funds. but that it was
rare to see officials who have made
banking institution one Of the strong
est in the National Capital on trial
This case. he thought. might better be
docketed the United states agt COM
mon sense" than against Glover and
Flather.
From 1885 to 1s9e-a period of sixty
years-he said. this bank under its
various names had been a prosperous.
successful business institution con-
quoted as a cOpartnerShlp. 1t had been
buying and selling stocks and bonds
and negotiating real estate loans as
an accommodation for its customers.
When it ceased to be a copartnership
and was merged into the Riggs Nation
al Bank corporation, in 1896. he said.
it owned considerable stocks and bonds
and equities in real estate which were
assumed - liabilities and assets - by
the corporation.
To accommodate its many depositors
and hold them, as banking competition
has been keen in Washington, and
stock transactions flourish here be-
cause this is not a commercial city,
and that is how surplus capital is in
vested he said. officials of the bank
have continued to negotiate such busi-
ness for the customers of the bank.
He explained just how these transac-
tions were made, and that the rec
ords on the books of Lewis Johnson &
Co. were memoranda for their own
convenience and not true record of
sales, as Lewis Johnson & Co. was not
at the time notified for whom these
stocks and bonds were bought and
sold.
Done on Suggestion.