Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-04-18
for F. H. Smith
Co. Accused of Taking
100000 UnethiCaIIy.
SUM ALLEGED RECEIVED
FROM BUILDING FIRM
Structures Erected by Financial
House Is Charge of Com
plant in Court.

Disbarment proceedings were inSti-
tuted today in the District Supreme
Court against r. Golden Donaldson, for
mer president of the Commercial Ma
tional Bank and former attorney for the
F. H. Smith Co. He is accused Of ac-
cepting 100000 from the Boyle-Rob-
ertSon Construction Co. for obtaining
three contracts for that company to
erect buildings for the F. H. Smith Co.
while he was attorney for the latter
company.
The grievance committee of the bar
has had the matter under consideration
for some months and Justice Frederick
L. Siddons today directed the filing OF
the complaint of the committee which
is signed by C. F. r. Ogilby, Michael
M. Doyle, j. Wilmer Latimer and
G.. Bowdoin Craighill, four OF the COM
mittee members.
Justice Siddons directed that Donald
son be served with a copy of the COM
plant and he will have 20 days after
service to make answer to the charges.
Report of Committee.
The committee in its report to the
court charges that Donaldson was
conduct and of conduct rendering him
unfit to be a member of the bar and
unworthy of the confidence Of the
court, of his clients, and of the public. u
The committee recommends the filing
of its charges and that Donaldson be
tried thereon.
The committee reports that Donald
son was admitted to the bar December
%, 1898, and has since continued as
a member and that during the years
1925 and 1926, as a member of the
law firm of Donaldson & johnson, con-
sisting of said Donaldson and Hayden
Johnson, engaged in the practice OF
law in this district.
During the year 1925 and previously
the law firm had been counsel for the
Boyle Robertson Construction Co., and
in 1925 and 1926 acted as attorney for
the F. H Smith Co., receiving in In
StallmentS a retainer of $4,000 for the
year 1925 and $4,000 for the year 1926.
The legal services for both of the
companies were performed by Mr.. john
son and not by Donaldson, the court
is told, but Donaldson received share
of the net income of the law firm, part
of which was derived from fees made
by these companies.
Reviews Contract Case.
While Donaldson was president of
the Commercial National Bank, where
the Smith Co. were regular depositors
and borrowers from that bank, and
while these relationships existed shortly
before July 8, 1925, Donaldson is said
to have approached James G. Robertson,
treasurer of the construction company,
and offered, for a consideration of ap-
proximately per cent of the contract
price to use his influence with the
Smith Co. to secure for the construction
company a contract to build an apart
ment house to be known as Cathedral
Mansions, in Pittsburgh, Pa, the con-
Struction of which was to be financed
by the Smith Co., which would control
the letting of building contracts, and
on July 8, 1925, entered into an agree
ment by which the construction COM
pany agreed to pay Donaldson $35 900;
$1,000 out of the first payment and
$4,000 out of each of the second, third
and fourth payments received by the
company on account of the contract.
Again, it is alleged in the committees
report, that shortly before January IL,
1926, Donaldson approached Robertson
and offered for similar consideration
to use his influence with the Smith
company to secure for the construction
company a contract to build an apart
ment house to be known as the Boule-
ward Apartment, in the District of Co
lumbia, for which the Smith Co. would
control the letting of the contract. IN
der date of January II, 1926, Donald
son accepted contract with the con-
struction company to pay him 100000
for obtaining the contract to erect the
Boulevard Apartments at 2121 New
York avenue. He was to be paid $4,000
out of each of the first three payments
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