Putnam patriot., 1926-01-15
PUTNAM BANK AND
 STATE TREASURY
Gov. Trumbull Appoints Com mittee and Orders Sweep
 ing Investigation
"He~ to the Line and Let the Chips
 Fall Where They May"

Following the receipt of letter from Receiver George Nj. Coffin of the First National Bank of Putnam. Gov. ernor Trumbull called tn conference the state treasurer and attorney gen erhl. last Friday. Following the con ference the governor announced that he had ordered a sweeping investiga- tion Of the state treasurer's office un- der c. Harold Gilpatric's regime Those appointed to make the investi- gation are former Governor Marcus H. Holcomb. Morgan B. Brainard. president of the Aetna Life Insurance Company. and Charles c. Morris. former Democratic candidate for gov ernor.
 The governor has said that he wants every suspicious circumstance run down no matter where the trail may lead. The treasury doors will be thrown open to the investigators. an appropriation of S10.OOO has been made. and more will follow if neces- sary. to carry out the investigation, and the order is to "hew to the line and let the chips fall where they may"
 The basis of the action last Friday was letter written to Governor Trumbull by Receiver Coffin, Decem- Der 29th, as follows:
 Receivers Letter
 Dear Sir;
 In the matter of the use of funds of the First National Bank of Put nam. Conn.,. for the purchase of Lib- erty bonds in February. 1921, which were delivered to the State of Con nectieut, have, up to this time, been silent
 As receiver of the Putnam bank l now deem it my duty to bring my claim to your careful attention and consideration. The facts supported by the strongest evidence are as fol- lows. Tn February. 1921. the follow ing transactions occurred. A check of the First National Bank of Putnam, Conn.,. for $l04.22i.73 was drawn on the account of the Putnam bank at the First National Bank of Boston. Another check for S20,000 was drawn on the account of the Putnam bank at the Merchants National Bank of Bos- ton. The proceeds of these two cheeks together with S39. .999.50 furnished personally by C. Harold Gilpatric. az gregating Sl64 .22i .32. were used to purchase SlS5.000 par value Fourth Liberty IT per cent bonds and these bonds together with Sli5000 more were turned into the Federal Reserve Bank by Gilpatric and by the Boston bank delivered to the State of Connec- ticut Sinking Fund and s30.000 regis tered in the name Of the Treasurer of the State of Connecticut. Custodian of Connecticut State Teachers Annuity Fund have in my possession the numbers of all the bonds involved in this transaction and all the evidence connected herewith. all of which shall be glad to show you.
 In addition to this 1 shall be will ing to give you or any agent author ized hy you. free and full access to all i the books and records of my trust and 1 to furnish you with all the informa- ] ton 1 have concerning the transaction in all it's phases which I have gained during my investigation of the matter.
 As l am confident that the State of Connecticut does not wish to re- tain in it's possession any property which does not rightfully belong to 1t, now write to ask you that you will join me in such a thorough examina- tion of hooks and records both of the state and of my trust is now in posses sion of bonds bought with funds of the First National Bank of Putnam to which the state is not rightfully en- titled For further consideration and discussion of this matter 1 suggest a conference between yourself and my counsel Mir. Lucius r. Robinson, and myself at such time as will suit your convenience
 Respectfully yours.
 Geo. NJ. Coffin,
 Receiver"
 The information contained in the receivers letter to the governor was augmented by facts presented by At torney J. F. Carpenter of Putnam. with whom the governor conferred last week Wednesday.
 Governor Replies
 Governor Trumbull has replied at length Co the letter from Receiver Coffin. saying that it is the first re- sponsible statement giving details made to him in regard to Gilpatrie' 8 administration of the state treasurer s office The governor alludes to the in- vestigations made by and on behalf of the state and the report that the state funds were intact. He also alludes to the fact that Gilpatric was the trusted agent of the bank long before he be- came state treasurer and that one of the claims to election as state treas urer was the excellent reputation giv- en Gilpatric by the directors of the First National Bank.
 The governor states that he does not believe that any citizen of Connec- ticut wishes the state to retain any property to which it is not entitled. and the receivers letter suggesting this to be the fact, the governor states that he is convinced that steps should be taken to discover the facts that fu- ture procedure may be had intelligent ly.
 The governor alludes to the proceed ure that must be taken and closes by stating that he proposes to take the responsibility in securing a most thor ough and careful report and that he will ask three prominent citizens, in whom all have confidence, to act as a committee in the matter, turn over to them Receiver Coffin's letter, see that they are furnished with funds, and ask them to thoroughly investigate all transactions of Gilpatric while he was state treasurer.
 Attorney Lueius F. Robinson of