The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1920-12-07
NO LEGAL ADVICE
Wilson Says Attorney Generals
Office Didn't Help Him.
Retained Private Counsel to
Protect Own Interests.
OPINION SAYS CHARGES FAILED
Much Evidence Admitted Show
ing He Did His Best.
Every Effort Made to Safeguard
Bank DepOsitOrs.

Testifying in his own behalf in the
| custer suit against him, Walter E. Will
son, state bank commissioner. said he
, services from the attorney generals
office in meeting bank problems. For
the protection of his own interests as
well as those of state banks and bank
patrons, he said he retained private
counsel.
Wilson went to the stand today when
Commissioner Chalis resumed taking
of testimony for the supreme court.
Practically the entire morning was
taken up with testimony regarding the
Salina bank troubles. Many letters
and kilograms were introduced by
, John Hunt. attorney for the defen-
dant. in establishment of the claim
that Wilson exerted every effort to
safeguard interests of the bank.
No Advice from Attorney General.
Early in his testimony Wilson was
asked why he had retained s. NJ.
Brewster and John Hunt as private
attorneys in handling legal matters in
his department. He said he had found
thru experiences that he was either
unable to find the attorney general in
his office or to secure the services de-
sired in meeting legal problems.
Every effort was made, the bank
commissioner said. to protect deposit
tors of the Salina bank. Following
f. failure of the Kansas State bank and
reorganization of the institution, close
supervision was retained over the bank
by the state department
| In a period of five months, he said.
, five examinations of the bank were
made. The law requires two examina-
| tions a year.
1t was in November. 1918. Wilson
said, that H. ]. Lefferdink came to the
bank from Nebraska. He was highly
recommended and put $4,000 in the
| Institution. He held many property
| interests. This was the second move
| in. reorganization following the Felix
/ Broker smash.
| Learned of Irregularities.
/ December 80. he testified. the de-
partment first learned of Lefferdink S
irregularities during special exami-
nation by two examiners Immediately y
steps were taken to secure assign
i meTits of property from Lefferdink and
| other Officers of the bank An ex-
aminer was placed in the bank and
rigid supervision maintained. Sters
were taken at once, Wilson said, to
realize on property assignments. and
! many conferences were held with
| officers of the bank and their at
| torneys.
kilograms and letters from Broeker
ANidIANC ~ dAu 1OT Nilc Ddllh were Tcdu
into the records. From December 80,
| 1918, to May. 1919, the state depart
| ment sought to realize on securities
and stabilize the bank. When these
efforts failed, the institution was
( closed.
Told of Linn County Bank.
John Hunt, attorney for Wilson,
! took the stand to tell of the Linn
county bank affair. He told of the
payment to him of a $500 fee for han
ding certain work in connection with
transfer of properties to the bank
The retention of Hunt and Brewster
was one of the dominant features in
Hopkins's custer petition against Will
son. In spite of this fact, Hunt was
not cross examined relative to the af-
fair.
Following an almost entire day OF
arguments on a motion by Wilson'S
| counsel in support of a demurrer
Commissioner Challis overruled the
motion. However, he indicated clear
ly that in his opinion many of the
charges against Wilson had failed. He
indicated, tho, that he would welcom.
testimony from the defense relative
to policies of the department and tho
course taken by Wilson-particular
in handling the Salina trouble.
1t is probable that Wilson's direct
examination will occupy the remain
der of the day. His cross examination
will be taken up late this afternoon OIL
Wednesday morning.