Evening star., 1933-06-13
PARKSAV|NGS BANK
PROBE REPORT IS
RECEIVED BY ROVER
U. S. Attorney May Place
Facts Before Grand Jury
After Examining Papers.
DEPOSITORS MAY GET
IS PER CENT OF CLAIMS
Chairman Thompson of Special
Committee Gives Estimates
at Meeting.

The Justice Departments report OF
its investigation Of the Park Savings
Bank, Fourteenth and Kenyon streets,
now In the hands of a conservator was
submitted today to United States At
torney Leo A. Rover Cor further action
Justice Department investigators
were sent to the bank after the suicide
of Robert F. Stuntz. vice president
and director of the bank. Stuntz shot
himself on March IA.
Mr.. Rover said he has not had op-
portunity to study the report and that
what further action, if any, may be
taken until after he has completed
this study. He intimated it would be
several days before he would be ready
to proceed one way or another.
If Mr.. Rover'S examination OF the re-
port convinces him there were violations
of law by persons now living, it is ex-
pected he will place all of the facts un-
covered by the Justice Departments in
vestigators before the grand jury.
Depositors May Get Is Per Cent.
Estimate that the bank may pay
no more than Is cents on the dollar
was made before meeting OF nearly
a thousand depositorS last night at
Central High School, by Joseph W..
Thompson, chairman of special in
vestigating committee of oepositors.
The old committee. at its own re-
quest, was discharged with apprecia-
ton, but a new Depositors' Committee
was formed, consisting of four men,
bers of the old committee and two new
members.
There was considerable discussion OF
the need of community bank in
Columbia Heights and speakers counsel
ed further patience on the part of the
depositors, in the hope of getting more
than is cents on the dollar, by more
delayed procedure The nature of the
new procedure did not appear clearly
at the meeting last night.
bank" was hinted at: the need OF such
a community bank" was stressed.
Chairman Thompson said that there
was ret enough cash for depositors
left in the old Park to start new
bank
It was not evident at the meeting
why the old committee was discharged
and a new one of similar personnel
appointed.
DIR. Dudley Presides.
The presiding officer for the evening
was Rev. DR.. George F. Dudley. The
first resolution Of the evening dis
charged the old committee. The Sec
ond resolution authorized the chair to
appoint a new committee, which he
did Immediately. Objection was raised
from the floor and the resolution was
changed to provide for election OF the
committee, and finally new name was
added to the slate, William j. Neale,
attorney, who formerly handled ma
tional bank cases as special assistant
TO the attorney general The resolu-
tion submitted by Charles M. Barnes,
and amended, authorized the new COM
mittee to act ION behalf Of the deposi-
tors of the Park Savings Bank to pro-
tect the interests of the depoSitorS,
either by the working out of plan OF
reorganization or by other means, and
TO secure the settlement of the affairs
Of the bank for the best interests OF
the depositors The committee was
authorized to confer with the National
DepoSitors' Committee. The committee
consisted of the following: John c.
Drake, Lyle O. Cook. Col. Robert H
Young William J. Neale, Joseph W..
Thompson and w. r. Frank Hines.
Mr.. Thompson, as chairman of the
old committee, made report, declaring
that there had been little information
Forthcoming from any source, including
the Treasury Department but based on
what had leaked out" he told the
depositors there is very little hope for
you"
II wouldn't dare estimate more than
Is cents on the dollar" he said. and
II the conservator remains much longer
he may reduce that.
New Bank Impossible.
"It is not only impractical but i'm
possible for the depositors from the
share received from the bank to start
a new bank" he said
To start a new national bank, Mr..
Thompson estimated that $200,00 capi-
tai and $4,000 surplus would be re-
quired.
The conservator told him. Mr..
Thompson reported, that defalcations
in the bank were about Sl,600,000
Robert F. Stunz. vice president of the
bank, killed himself the day the bank
failed to reopen with license March IA
The bank had been organized under
the laws. of the State of Alabama, Mr.
Thompson said, and in that State no
double liability was provided for stock
SO tIldI the SlUU,UUO duulCAOlldl WAiiCAi
would have been forthcoming from that
source could not be counted on now to
help increase the assets
Deposits of the Park Savings Bank
Mr. Thompson said, were listed at ST.
302 600. according to the last official
statement of the bank issued in re-
sponsA 70 the call of the controller OF
the currency for a condition of the
bank. as of December 81, 1882. But
now we have information" said Mr.
Thompson, that deposits we're really
about 5000 900 instead. or about q
million dollars more than reported ir
t.rr last report, SO that depositors vii
get even less than We at first expected.
Mr.. Thompson said the report. which
he held in his hand, was signed BY
directors of the bank. II don't chargt
they made a false report he saic
carefully. II would rather say thest
men were imposed upon
From the audience came demands
that he read the names of these mel
who were imposed upon" Mr.. Tho;np
son read the entire list.
A woman frCm the audience asked
"Are those officers liable for making
statements that are not true" Mr.
Thompson said he would not like Il
answer the question directly. but sug
gested they might have inquired NOR
carefully into its truthfulness.
Indebtedness $4,000 Larger.
Also, Mr. Thompson said, he had de
termined that the Indebtedness of tn
bank was $4,000 more than originall
had been estimated.
In response to a question from tn
hoor as to the cost per month of tn
army Of occupation under the so
called conservator," Mr.. Thompson sal
gentleman yesterday gave him a.
estimate Of $4,000 a month, but tn
speaker said he thought that wa
"about half low"
There was an argument from tn