The Bennington evening banner. (Bennington, Vt.) 19??-1961, 1916-08-17
Mr.. sENTER's CRITICISMS

criticism in those matters in the fu.
turc.
Mr.. sENTER's CRITICISMS
Some two years later noticed adj
yertisements OF similar character, an
swcring John Senter's criticisms, and
called the attention of Senator Page
and Mr. Mcfarland to the agreement
made two years before which
thought had not been honestly kept |
also discovered that the bank, at the
request of Senator Page, was about to
invest further in out of State mortag.
es and he had asked the treasurer to
accept the Endorsement upon such
mortgages OF a local corporation in
which Senator Page and other officers
of the bank were largely interested. |
objected to this and wrote letter to
Senator Page stating my objections.
He called for a conference upon the
matter and met him and Mr.. McF'ar-
land and spent a day with them going
over the matter fully. Senotor Page
insisted that their practices were
right and ought to be allowed. and
that the position which took was pre-
venting the bank from getting addi-
tional security. | took the position
that the only right and proper thing
for the bank TO do was TO observe the
law which governed in such matters,
and that II was bad policy in any event
for the bank to make out of State IN
vestmonts which they were not fully
satisfied we're absolutely sound and
safe and that when he induced his
directors TO guarantee out OF State
loans. paying them fer the guarantee.
he was Offering an inducement to ac.
cept loans in which the bank might
not otherwise invest, and that | should
insist that the banks Investments be
made according to law. If the law
was wrong he should take that matter
up with the Legislature, but that / be-
lieyed It was n very wise provision in
the law which prohibited directors of
hank from borrowing from the bank,
or becoming indebted to the bank in
such amounts and under such circum.
stances as prevailed in that bank. La
ter. very serious weakness developed
in one line OF out OF State loans guar
anteed by two directors. and Mr. Nc.
Farland frankly stated that the loans
would not have been made If Senator
Page had not paid the directors n COM
mission to guarantee them.
"Mr. Mcfarland secured the bank
against possible loss on these loans.
After several hours discussion Sena.
tor Page finally said that he would
comply with my request and that
should have no further cause for
criticism. although he believed | was
wrong in my position. From the first
criticism which | made of the policies
of the bank up TO the present time,
Mr. Mcfarland has always agreed that
was right in my position; that the
policy of the bank had been wrong.
and that he was very glad was in
ssting in a change and would cooper.
ate with me in every way possible to
improve conditions and eliminate all
had practices. which he has faithfully
done to the presnet time.
BANK STOCK TRANSFERRED
"ln the summer OF 1913 discovered
that several State banks had apparent.
~ purchased in March stock of other
banks and national banks held by Of
ficers of those banks, and that shortly
after April /. n part of such stock was
re transferred to its former owners AT
the same price at which II had been