New-York tribune., 1919-07-17
Assets of Uniontown, Penn.
Institution Needlessly Liq-
Undated by Williams, the
Stockholders Conte
Building Sold at Loss
Structure Valued by One
Appraiser at Sl,87O.OOO
Auctioned for 100000
Ne1c York Tribuns
W1Shin dton Rnrenu

Washington Bureau
WASHINGTON. July 16.-The Con-
troler of the Currency, John SHELTON
Williams, declined to-day to reply to
charges by A. f. Jones, representing
stockholders of the First National
Bank of Uniontown. Penn, that the
Williams administration of the affairs
Of the bank after it closed its doors in
January, 1918, had caused loss of
$2780,000 to the stockholders.
Mr.. Jones, representing the Union
town bank stockholders, told the SEN
ate Banking and Currency Com
mittee that Mr.. Williams had begun
at the wrong end in the administration
of the banks assets after the ap-
pointment of Charles Strong as tempo
rary receiver. He charged that Mr.
Williams had deliberately forced a
sale of the bank building for $7OO 900,
in the face of an agreement in court
to redeem 10000 shares of coal stock,
valued at $75OOO0 belonging to J. V.
Thompson, president of the bank, as a
gratuity for his direct and indirect
Indebtedness to the bank.
Lost Dividends and Interest
Not only did the bank lose it's build
ing, while its indebtedness to deposit
Crs was fully covered by the Thompson
stock Mr. Jones said, but the stock
holders lost dividends and interest on
their money.
The total losses for which he held
Mr.. Williams responsible were: Inter-
est on deposits. S24O,000; dividends,
S44O 900; market value of the bank
stock. 100000; expenses of admins
tration, $1O0, 900; estimated value of
bank building, 81 100000
Mr.. Williams indicated that he
might have an answer to make to the
Uniontown mans charges at a later
date. when he resumes the defence of
his administration before the. commit
tee.
Criticises Riggs Bank
Jesse c. Adkins. Assistant Attorney
General at the time of the Riggs bank
suits, reviewed before the committee
all the atfidavts and charges that were
filed with the court in the Riggs suit
asainst Controller Williams and Secre il.
tary Of the Treasury McAdoo. He
charged that for eighteen years funds
that legally and equitably belonged to
the depositors were used by the oftl-
GERS for speculation in stocks on behalf
of the bank.
MIR. Atkins also charged that the
Riggs bank had made excessive loans,
that it had been almost constantly
short i'll its cash reserve and that 1T
had made dummy ioans. AS a result
49, nt lor Of a
Currency, Mr. Adkins said, all illegal
practices were stopped in 1915, and
since that time the conduct of the bank
las been above reproach
Controller Williams tonight gave
out copies of a letter he sent to Sena-
tor Owen, Democrat, Of Oklahoma, on
June 25, making a violent attack upon
former Senator Weeks. of Massachu-
setts. The Controller charged Mr..
Weeks. who had opposed his renomina-
tion before leaving the Senate, with
having uttered deliberate untruths be-
fore the Senate Banking and Currency
Committee in stating he had received
a great number OF letters from bank
officials opposing the denomination of
Mr.. Williams.
Association Didn't Exist
In his letter Controller Williams re-
called that Mr. Weeks had inserted in
the Congressional Record resolutions
Of protest against the Williams nom
nation, which, he said, were passed by
the Lexington, Ky, Clearing House
Association and the Winchester, KY,
Clearing House Association. Mr.. Will
Jams quoted from a letter reciting that
there is no clearing house association
of Winchester, Ky. The alleged reso-
lutions, said Mr.. Williams, we're con-
certed by two junior bank officials,
apparently at the instance or influ-
ence of some person or persons whose
identity has not yet been disclosed"