Orleans County monitor. [volume] (Barton, Vt.) 1872-1953, 1916-08-16

KAN my attention was called to an adver-
usement by the Larnoille County sav,nes
Bank and Trust company which T +ho,,h+
Wes very misleading, and Incorrectly ,tat
GU lie condition Of the bank I called
INC ATTENTION of the bank and Senator
20 the matter, and advised him
@"s theFe were two statements in the
advertisement which he must know
"Ie not proper. One, that the bank
olo not consider loans bearing more
tnan SIX per cent safe conservative
ioans' and consequently did not 60 aft
such loans, and the other, that the
Dank had no assets which were not
aosoiutely good for their face. Later
was assured by Senator Page in
conference I had with him that the adj
'eFt1sing had been turned over tn Mr.
culver. the treasurer, who would hava
enure charge Of it and that he. Senator
rage should not interfere with it. and
s1nce that time I have had no occasion
70 cT1ucise the advertisements and do
Rot mink there will be such occasion IL
nF' culver Is to control the matter. as I
consider him very competent, reliable
bank treasurer
In order that the people of the State
may understand what my position was
long before any political controversy
arose. ! make quotations from letters
which wrote to the bank and to Sem
ator Page.
IMPROPER PRACTICE
In letter dated July IL, 1912, to the
vtce-prestdent Of the bank I stated I
might say In this connection as 1 have
said before. that the policy Of your bank
OF requiring some Of its directors to guar
antee OF endorse paper discounted Ia not
proper one. and have expected that
Too have discontinued that practice So
1ar ~ endorsements and guarantees which
have been given for paper now held by
Tho bank. have taken the position
which you know, that such guarantees
and endorsers should not be released
ukon any of the papers held BIZ the
bank. but that the practice should be
discontinued
In a letter TO the vice-president, dated
November 30. 1914 said, 7 have Jus,
read the latest advertisement Of the
above bank In the Express g. Standard
and am somewhat surprised at some OF
tho statements therein made, for al
though perhaps technically. these state.
ments arc correct. yet they are, think
very misleading. understand this linz
OF advertising was abandoned after my
talk with yourself and Senator Page a
year ago last summer. You will 70.
member that you very frankly told m,
that you had overstepped the law II
the matter Of endorsements and 1uaran
tees OF out OF state loans and while 70,
did not. ! think. fully admit It, the re-
suit Of your statement induced me u
think that officers of the bank had bee,
receiving what In law would amount {.
commission for placing loans, although
your method was such as possibly Z
avoid that charge. My UNDERSTANDING O
the result OF our conversation was tina
the endorsements and guarantees O
loans by officers Of the bank shout
stand a. they We're until they were eth
er paid or 80 adjusted that the commits
sioneY and the bank were satisfied {
have the endorsers and guarantors re
leased; that no more business Of tha
character should be done BY the bank
that the officers Of the bank should re
duce their obligations to the legal lirni
as soon az It could be done without dis
turbance to the affairs Of the banl
and that the bank should abandon az
vertfsing that they made no loans GU,
side the state
SENATOR ASKS FOR CONFERENCE
las result Of this letter Senate
Page asked for q conference, made til
argument az have stated above, an
when refused to change my ruling
faithfully agreed to comply with then
TN a letter to Hon. c. 8. Page, pres
CLUB