The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1919-07-12
Kansas Bankers Ask Allen
Rather Ticklish Question.
Wonder Why He ParOled abb
lene Bank DefauIter.
SALIVA CASE IS DISCUSSED
Broker Refused a Hearing
w. f. Wilson Is Endorsed.
State Committee Favored the
Course Hopkins Didn't Take.

Friday wasn't exactly a lucky day
for r. J. Hopkins. attorney general.
The executive committee OF the Kan
sas State Bankers association came TO
Topeka to talk over the salina bank
case and endorsed every course which
the attorney general had not taken.
Governor Allen VS. asked why he par
oiled John A. FlacK and a generally
pleasant day was spent in Topeka by
some twenty state bankers.
In the probe of the Kansas State
bank trouble at Salina. there were all
manner OF s.delights- The committee
took the view that since the bankers
were paying the bills which might ac-
cumulate as a result OF the Salina
trouble that the general public should
leave most o. the worrying TO the
bankers. They endorsed the action OF
Walter r. Wilson, state bank commits
s.oner, In trying to force alleged de-
faulters to restore the funds OF the
bank before arrests we're made. APP
proval was given as to the workings OF
the bank guaranty fund and demand
was made that the law be strength
cned
The action OF the bankers in ap-
proving the Wilson plan Of handling
state bank commissioner had kept his
action before committee members. On
the other hand the bankers forgot en-
tircly to mention the work Of r. J.
Hopkins, attorney general II was
Hopkins who had caused the arrest
OF Felix BroekCr in Kansas City. which
blocked a payment Of 5000, 600 into the
bank fund by Brokers associates
Comm ssioner Wilson and Receiver
Fitzpatrick had planned to arrest
BrooSer after the money was paid.
WHY Parole FIncIS?
Governor Allen and Attorney Cen
eral Hopkins attended the conference
Of the executive committee. Hopkins
did not speak before the committee,
aFtho Governor Allen asserted that he
proposed an Investigation of the ga
Ina failure and the method of hand
ling its affairs after the bank COM
missioner had completed his work.
one of the first questions asked OF
the governor was his reason for parol-
Ing John a. F'lacS, Abilene bank de-
faulter, without discussing the mat
ter with the Kansas bankers. The gov
ernor replied that he thought the con-
ference was to discuss the Salina stu
alton. He said that Flack might be
returned # such a course would aid
in meeting the Salina trouble.
II have discussed the Salina bank
situation with the bank commission
or several times and 1 have criticised
his notions in it," Governor Allen is
reported to have said. when the
bank failed Mr.. Wilson had the ma
tural reaction OF the bankers. This
was to get the money. He did every
thing he could to get the money back
into the bank and the guilty persons
who had stolen the money got away.
Hanna, Cobb and NIacferrnn.
a committee composed of Geo. w.
Hanna. of Clay Center; S. E. Cobb and
William Macferran, of Topeka, will
cooperate with the bank commits
sioner in the handling Of the affairs
OF the Salina bank. They will repre-
sent the state banks and banks inter-
ested in the guaranty fund.
Felix BrOCkey, arrested recently in
connection with the closing of the
Salna bank, paid $4,000 to Commits
sioncr Wilson short tirle before the
committee conference. Broker said
he was willing to make a statement
before the committee. In executive
session. however the committee re-
fused to hear the alleged bank
swreeker.
formal statement. issued by the
bankers and approving methods OF
the handling the bank situation, fol-
lows:
After a full discussion we were Of the
-npinion that the bank commissioner acted
IA absolutely good faith In deferring ar
.wrccknng OF the bank were making restitu-
ton Of part or all Of the embezzlement
our faith in the guaranty law IS un-
shaken, and we congratulate the legisla-
ture that passed the bill. and also the de.
.posltors caught In this. the second failed
bank under its protection. AS tho
ense with the Abilene failure. not one OF
its legitimate depositors will lose a dollar
OF either principal or interest. and as was
tho case Mt Abilene. not n depositor in the
other banks Of either city or any Other
rity In the state was in the slightest dis
.turbcd or uneasy Notwithstanding this
edepiorable event, perfect tranquility PelCns
among deposltors Of the guaranteed banks
of the state and business goes right on MS
ausual. n strong indication that this law has
stabilized the banking business in Kansas
and Il would be so II dozen such failures
were to occur tomorrow.
= There is over S2jOO0OOO back OF thi,
guarantee fund. The bankers pay the bill
and the people are letting them do tn,
worrying. We indorse the law nor,
strongly than ever tho are fully con
WINGED Il needs some amendments to pro
tcct the bankers who are members and who
pay the bill. II will he our aim to do this
We want the bank depositors' guaranty
Jaw Of the state Of Kansas brought up tC
date to stand the test, and endure for al