News and citizen. [volume] (Morrisville, Vt. ;) 1881-current, 1916-08-16

1ail my attention was called to an adyer-
usement by the Lamoille County Savings
oahk ana Trust company which thought
was very misleading. and incorrectly stat
Gu the condition Of the bank 1 called
the attention OF the bank and Senator
["se TO tho matter, and advised him
enat thero were two statements In the
ooVertisement which he must know
were NOT pro oer.. Ono, that the bank
dio not consider loans bearing more
tnan SIX per cent. safe conservative
"ahs' ana consequently did not no aft
e< sueh loans. and the other, that the
Dank had no assets which were NOT
absolutely good for their face. Later
was assured by Senator Page in a
oonferenoe had with him that the adj
vertising had been turned over to Mr.
culver, the treasurer who would have
entire charge Of 1t and that he. Senator
rage, should not interfere with It, and
since that time I have had no occasion
10 criticise the advertisements and do
not think there will be such occasion If
MI. 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 perore any political controversy
arose make quotations from letters
which I wrote to the bank and TO Sem
ator Page.
IMPROPER PRACTICE.
In letter dated July Is. 1912, to the
Tce-president of the bank 1 stated I
might say in this connection as 1 have
said before. that the policy of your bank
OF requiring some Of it's directors to guar
antee or endorse paper discounted is not
proper one, and 1 have expected that
you have discontinued that practice. So
FAR as endorsements and guarantees which
have been given for paper now held by
the bank, / have taken the position
which you know. that such guarantees
and endorsers should not be released
UPON any of the papers held by the
bank, but that the practice should be
discontinued
In letter to the vice-president, dated
November 30. 1912. I said, I have Just
read the latest advertisement of the
above bank In the Express & Standard
and am somewhat surprised at some of
the statements therein made, for al
though perhaps technically, these state
ments are correct. yet they are, 1 think
very misleading. I understand this line
of advertising was abandoned after my
talk with yourself and Senator Page a
year ago last summer. You will re-
member that you very frankly told me
that you had overstepped the law in
the matter of endorsements and guaran-
tees Of out of state loans and while YOU
did not. think. fully admit it, the re-
suit of your statement induced me to
think that officers of the bank had been
receiving what In law would amount to
a commission for placing loans, although
your method was such as possibly to
avoid that charge. My understanding of
the result of our conversation was that
the endorsements and guarantees of
loans by officers of the bank should
stand as they were until they were eth
er paid or so adjusted that the commis
sioner and the bank were satisfied to
have the endorsers and guarantors re-
leased; that no more business Of that
character should be done by the bank:
that the officers of the bank should re-
duce their obligations to the legal limit
as soon as It could he done without dis
turbance to the affairs Of the bank
and that the bank should abandon ad-
vertising that they made no>loans out
side the state.
SENATOR ASKS FOR CONFERENCE.
las result Of this letter Senator
Pase asked for a conference, made the
argument as l have stated above, azid
when refused to change my rulings
faithfully agreed to comply with them
TN a letter to Hon. C. S. Page, presi-
T0RTAT. CHR