The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1929-04-25
hint CRIME
IN Wild 90.
BOND DEAL
0epoSitorS' League SIapS
Prosecutor Stark for
His Neglect.
UNCOVER NEW FACTS
sCuritieS Sale With No
Registration Said to Be
Criminal Violation.

investigators Of the Depositors'
Protective League of the defunct
J. F. Wild & Co. state bank we're
al work today uncovering facts
pointing to alleged violation Of
criminal laws in circumstances sur
rounding closing of the bank in July,
1927.
Several matters are before the cx-
eCUtiVe committee of the league
ullich, members believe. would @ear
grand jury investigation. They.
however. we're not touched upon BY
Prosecutor Judson L. Stark when he
sought publicity on his opinion that
criminal prosecution could not be
brought against bank officials.
One of the most important points
revealed was that some Of the Ing
lerose Investment Company second
mortgage bonds on a Kansas City
building were sold b. agents and
officers of the Wild bank within the
last two years without being regis
tered with the state securities
commission.
Bonds Were Sold
One block Of these bonds was sold
i'm Wayne county. May l8, 1927, and
another in Decatur county July 20.
The banks records show receipt of
money for these bonds.
The sale Of these bonds without
REGISTRATION is said TO be a criminal
Law violation that has not been out
iawed by the statute of limitations.
STARK did not mention any probe
along these lines.
Joseph r. Williams. attorney for
the deposltOrS' league. said the or
ganization now was considering
unlawful sales that. without doubt.
brought more loss to the depositors.
There seems to be no doubt about
violation of the blue sky Law exist
ing in connection with the matters.
but it. doesn't seem as though this
angle has been investigated by Mr..
Stark" Williams asserted.
Securities commission officials are
known to have conferred with bank
CTS from several Indiana counties in
indianapolis and had considered
bringing criminal action, but this
investigation also lies dormant
SchOrtemeier Is Attorney
Frederick Z. Schortemeier. attor-
uey and former secretary of state. is
representing several persons who
have filed claims in probate court
for return OF their money on these
bonds. Schortemeier is basing his
civil action on the allegation that the
bonds were not registered and there
fore the plaintiffs are entitled to a
refund of the money paid.
The Indiana Law makes sale and
solicitation for sale of unregistered
bonds q criminal offenSe. punish
able with a prison sentence Of one
10 five years and fines up to $1,000.
PERHAPS Stark never has heard
of perjury but ii would be interest,"
ING to inspect the published state
meut of the Wild bank July s, 1927.
and investigate IT," Williams said.
There is A S270.000 Liberty bond
theft that ought to be cleared up"
The bank acquired $4,000 worth
Of the second mortgage bonds of the
Inglerose company through a man
ner not yet disclosed in any court
proceedings.
Stock Held Worthless
Included in the so-called assets OF
the bank when its doors we're closed
by bank examiners was S62. 500 stock
in the investment company that has
since, as have the bonds. proved
worthless 10 Richard Lowther, re-
cCiver.
The claims OF holders of the COM
pany bonds are expected to be tried
next month III probate court.
Persons interested in the bank Sit
uation also are planning further in
veStigation of the Florida mortgage
the defunct institution held.
All Florida mortgages are now
due. but as the certificates mature
there is not sufficient money COM
ing from Florida to pay them.
1t IS reported that bank officials
did not intend TO make this situ-
alton public and also are reported
70 have been ready to use depoSt-
Tors money to take Up the certtfl-
Gates.