Evening journal. [volume] (Wilmington, Del.) 1888-1932, 1922-02-22
BANK RECEIVER
WILLNOT TALK
Settlement of Affairs of Elk
ton Institution May Take
Long Time
NEWARK MAN WANTS
MORTGAGE MONEY

Special to The Evening Journal
EJKTON. Nd. Feb. 22.-No in
formation in regards to the status OF
the Second National Bank Of Elkton.
will be given out to the public by
r. Gordon Finney, the receiver.
who took charge Of the affairs Of the
institution on Monday. He has made
this plain and says any information
given out will come from the Comp
troller of the Currency at Washing
ton. TO whom Mr.. Finney will make
his report. The condition OF William
r. Warburton. president OF the
closed institution. apparently re-
mains unchanged.
The ultimate settlement OF the az
fairs Of the bank may be a long
drawn out affair. because, II is
understood. that quite a few OF the
notes now held by the bank were
given Mr.. Warburton, under certain
conditions and are termed accom-
mediation notes" The endorsers,
in several instances. arc preparing
TO give legal battle before making
payment. These notes amount up
into the thousands OF dollars, Il Is
said.
The reports published TO the effect
that the Examiners. since the bank
closed. found forged notes In tn
institution, has been branded
false. The Examiners did summon
J. to Elkton a large number OF per
sons. whom the books OF the bank
showed had notes discounted there
: since 1918. and a number OF those
persons denied that they had any
such transaction with the bank.
However. none OF these notes have
been found. II Is probable that
Z when the receivers report TO the
7 COMPTROLLER OF the Treasury IS made
. public. It may disclose many trans
actions which the public Is not
aware.
/ Finney the receiver OF the bank.
refused TO make any statement OF
the report that negotiations are now
under way to pay every depositor OF
: the institution dollar for dollar.
That the bank was not properly con-
Quoted was conceded by one OF tho
/ Government officials now In charge
OF the banks affairs. but the official
took an optimistic view OF the out
look.
Il was pointed out that there Is
due depositors in the bank less thar
$4,000. II is said there Is more
,lthan 100000 in good notes In tn
/ vaults OF the bank. $4,000 in Lib
erty Bonds. the 100000 worth o
bonds OF The Gilpin Falls Electric
, Company. the bank building fixtures
and real estate holding valued a
$4,000 and $4,000 worth OF capita
, stock are included in the assets upor
which the receiver might draw ane
, an extra $4,000 which the stock
b holders might be assessed.
Government bank examiners de
, ciared they had no records on the
r books OF the mortgage transaction
between W. T. warburton. president
OF the bank. and George Casio. OF
Newark, Del. Casho came to Elktor
yesterday and visited the cour
house.
Mr.. Casio said: "I advanced Ma
ior W. c. Purneu, Clerk OF the Court
$1,000 several years ago on a mort
gage Of a certain property. W T
Warburton. who Is president Of thu
bank and also an attorney made tn
arrangements for me. Major Purnel
later sold the house TO the Rev. W
II. Moon. who says. desiring to III
the mortgage he went 10 Mr.. War
burton and paid him the $1,000 ant
. the mortgage was released from tn
n court records. That was some tim
ago. and have been receiving inter
est on the mortgage from Mr.. War
d. burton. never received my inter
. est last December, and ] went to MI
, Moon. and he told me he had pai'
|, the mortgage in full some time ag
- to my attorney. have engage
two attorneys to attempt to regal
r my mortgage money"
a II has been learned that funds o
- the Eikton Postofiice are tied up d
d the Second National Bank. o. {
n Giles. postmaster OF Elkton, is a al
r rector and vice-president OF the banl
Mr.. Giles refused 10 tell the amour
II OF government money deposited {
IS the bank.
d Mr.. Finney said Il would be a
3. least week before any statemen
y could be made in relation to the as
sets and liabilities OF the bank.