The Idaho Republican. [volume] (Blackfoot, Idaho) 1904-1932, 1918-12-24
EMBEZZLERS
WRECK SEVERAL
UTAH BANKS
PROMINENT SALT LAKE MEN
ARE INDICTED

SALT LAKE. Utah. Dec. 10
Criminal indictments Of John Pin
gree, president; = George e. Ford.
secretary-director and L. ]. Hays,
assistant cashier of the Merchants
bank were returned yesterday by
the grand jury, called to investigate
the failure OF this institution.
Mr.. Hays was arrested late yester-
day afternoon and allowed to 60 on
his own recognizance until this morn
ing, when it is expected that the
three men will be before Judge P. C.
Evans of the third district court for
fixing bonds.
The report of the finding of the
jury in five weeks of investigation
was completed within five minutes
after the seven jurymen were con-
Quoted to the courtroom of Judge
Evans at 2 o'clock yesterday after
noon by District Attorney Wilson Nc
Carthy. The court promptly ordered
issuance of warrants of arrest, which
were turned over to the sheriff.
Directors Scored
Fourteen points and separate in
dictments were returned against
the three men. A report filed by the
jury offered the explanation that,
while the evidence against the other
directors was not sufficient to in
dict, it was such as to justify the
most severe censure for "gross neg
ngence and inattention to their re-
sponsibilities as directors"
H. P. Clark, former president Of
the bank, came in for severe arraing-
ment in the report to the effect that
he had grossly violated the bank
ing laws of the state of Utah and
recklessly disregarded conservative
banking principles.
c. e Glazier, former bank exam
liner is severely critized for having
permitted continued operation Of the
bank with knowledge of its insol-
vent condition and methods Of man.
agement, w. =. Evans, present bank
examiner, is alos critiZed for tardi-
ness of action in closing it.
Fourteen Indictments
The fourteen indictments returned
are as follows:
Separate indictments of EN-
bezzlement against Mr.. Pingree, Mr..
Ford ana Mr.. hays.
Separate indictments of know
ingly making false entry in the
books of q corporation against Mr..
Pingree and Ford. ~
1.-TWO point indictments against
Mr.. Pingree and Mr.. Ford of max
ing and declaring an unlawful divid-
end MAJ
I. "A joint indictment against Mr..
Pingree, Mr.. Ford and Mr.. Hays of
knowingly making false entry in
a book or, record or statement of
corporation ,...
Six indictments jointly against
Mf. Pingree and Mr.. Ford of re-
ceiving deposits in insolvent bank,
knowing such bank is insolvent.'
The indictment of Mr.. Pingree for
embezzlement charges that on July
1 1918 he appropriated to his own
use $3.50 intrusted to him as treas
urer Of the National Treasurer Mines
company.
Mr.. Ford is charged, in the en-
bezzlement indictment against him
with having converted to his own use
$4,000 instrusted to him as secretary
director Of the Merchants bank by
the Bingham State bank.
Charge Misappropriation
Appropriation to his own use of
$4,000 instrusted to him as assist
ant cashier of the Merchants bank is
charged against Mr.. Hays in his in
dictment OF embezzlement.
The indictment against Mr.. Pin
gree of knowingly making q false
entry in the books of q corporation" !"
alleges that ,on July /, 1913 he
charged the account of the Prince
Consolidated Mining company with
$4,000 without the knowledge or
authority Of the company and with
intent to defraud.
The indictment Of like wording
against Mr.. Ford asserts he charged
$1,000 to the account Of the Bing-
ham State bank as a depositor in the
Merchants bank, on July /. 1918,
without authorization from or know
ledge Of the Bingham State bank.
In the two joint indictments