Evening star., 1932-07-14
BANK
|. PRESIDENT IS HELD.
Counsel Declares Raymond |.
Schreiner's $50, 900 Short.
age Will Be Paid OFF.

| Raymond L. Schreiner, president of the
Bank OF Brightwood, 1913 Georgia ave
| nue.. surrendered at the office of United
States Attorney Rover at noon today.
following the disclosure that the bank,
which did not open this morning was
approximately $4,000 short.
Schreiner was charged with the
larceny of $50 700 and sent before
United States Commissioner Turnage,
where bond was set at $4,000 pend
ing preliminary hearing week from
today.
The controller of the currency, who
has taken over the institution and Is
appointing a receiver, said liquidation
! would be carried out in an ORDERLY ano
economical manner and that creators
need have no fear.
Assigns All Property.
The Controllers call, as Of June 80
showed the bank, savings institution
had deposits of 1891. .35037. A state
ment by Harvey l.. Cobb counsel fer
Schreiner, put the shortage at $50. ZOO
! and said all of Schreiner's property mad
been assigned to the bank. which, with
| the s25. 900 bond carried by the bank,
will more than cover the loss
| Two officers of the bank also said the
loss was about 60,0o0, and one OF these
asserted the cnly reason the institution
was closed today was to prevent a run
| that. it was feared. might develop as
| the result of widespread rumors yester-
day that Mr.. Schreiner had committed
! suicide.
| Attorney Cobb's statement follows:
The bank shortage will amount to
$50. 700. Mr. Schreiner Is making
ASSIGNMENT to the bank of all his real
and personal property which, with the
bond carried by the bank in amount OF
SIS 900, will more than cover the banks
loss.
None of the proceeds taken from
the bank we're lost in gambling in the
stock market. Approximately one-third
CT the shortage is accounted for by the
fact that Schreiner personally under
took to repay some $4,000 OF bad loans
which he had authorized as president
of the bank and for which he had been
criticised by the Treasury Department.
Took Over Properties.
approximately another third Of the
proceeds taken from the bank, namely
Sl9 100, were invested in a local finance
company, which proved a financial
failure.
THE remaining one-third was in
vested in local property which. because
of the depression, Schreiner has been
unable to sell except at sacrifice. These
properties were taken over by Schreiner
as an individual to prevent the bank
from sustaining a loss, the bank having
made first or second trust loans on the
properties.
"A runner of Schreiner's suicide was
predicated upon the fact Schreiner was
not at the bank yesterday, being in con-
ference practically all day with local
bankers in an effort to have the bank 8
affairs taken over by local interests
Schreiner who is married and has
two children. has been connected with
the bank since its organization in 1922
and has been president and cashier
since 1926 The bank was started at
the instance of the Brightwood Citizens
Association and he was its first cashier.
Prior to that he had been assistant
cashier of the Union Savings Bank,
which was consolidated with the Con-
tinental Trust Co. He also was asso-
ciated with the later institution.
At the time of his election to the
presidency, he was credited with being
the youngest bank head anywhere in
the country. Born in this city in 1898,
he was educated here. AS boy he
served as a page in the Senate, was in
newspaper work for a time and then
started his banking career as a messen-
ger He served overseas during the
World War with the 104th Signal Bat
TALON and was wounded in action.
In the 10 years since the bank was
opened its assets have grown from
Sl22,00O to $l,000,000