The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1934-06-26

nd to the new grand jury. n
The charge that the City
Trust Company continued to
accept deposits after its Off
GERS knew it was insolvent
featured Mr.. Fuckers report,
which will be supplemented at
a later date.
Afidavits did not accompany the
partial report Mr.. Rucker says, DE
cause it appears useless and for the
reason that the prosecuting officials
now have our former affidavitS
executed for the Meyer-Kiser cases,
which may be used as a form
should any desire"
PraiSing other prosecuting attor-
neys of Marion county for doing
their duty, the special court prober
points out, Il have high hopes that
Mr.. Wilson (the prosecutor) will
turn seriously to these bank frauds
and uphold the true traditions OF
his office.
Should these hopes fail" he adds,
"as so often is the case when rested
on public officers, justice need not
fail. The judge of the criminal
court has taken his solemn oath TO
uphold the laws of the state. Upon
him is the duty to see that justice
is not thwarted by any man.
1.-THE prosecuting attorney may be
superseded in cases where he re-
fuses to prosecute as the law re-
quires. The people are not helpless
before the whim of two-year po-
litically elected officer"
He explains in his report that a
special prosecuting attorney may be
appointed by the criminal court to
prosecute the case.
Funds DisSipated, Is Charge
In charging acceptance of deposits
while the bank was in an alleged in
solvent condition, Mr. Rucker says:
Trust funds were dumped
into the banks general fund, never
kept intact even when required by
court decree, were dissipated into
thin air with practically a total loss
to widows, children"
There may be-" he continues in
the report, "a small dividend to de-
poSitors, who, on Oct %, 1880 (the
day the City Trust closed it's DOORS,
bad $1,770, 672,33 deposited with this
oompany, but it seems probable
that the GREAT BULK of all de-
posits are lost, never to be returned"
Mr.. Fuckers report attributes
the major portion of the failure of
the City Trust to the City Securi-
ties Corporation, subsidiary.
Assails wildcat" Banks
The history of this trust com.
pany seems to be the general his
tory Of all bank failures in this city.
None of our carefully managed
banks, with perhaps rare exception,
have failed, but are today in ex-
cellent shape. We have Demon
strated before our eyes that it is
the validating banks which fail
NAAOoO OcAAhO WAlOOC OlllLClS VI SOiIl6
of them, are so greedy for money,
power or ambition that they ignore
the sacred rights of depositors and
beneficiaries of trust funds and
launch into pipe dreams, but
using the depoSitors' money for the
finance of their speculations.
This is not banking business"
oNTiC fhp RI Ia
direct violation of the law"
Mr.. Rucker points out that state
bank commissioners are paid sal.
aries to prevent this very thing.
Hits Bank Commissioners
With entire kindness, one may
truthfully say that it was a griev-
Gus fault in the bank commits
Sioner's office not to call a halt to
these speculative investments and
improper conduct of the City Trust
Company and others, years ago."
the report says, as it charges again
that trust funds we're "Shoyeled"
into commercial accounts.
Officers of the City Trust at the
time it closed its doors were, ac-
cording to the report, Dick Miller,
president; H. o. Garman, vice.
president; Z. H. Richardson, vice.
president; j. D. Peterson, vice-presi-
dent; D. A. Murphy, vice president
and secretary; c. Milton Kelly, vice.
president and treasurer; K. E.
Smith, assistant secretary; E. w.
Davy, assistant treasurer, and JUS
tin Forsyth, auditor.
1T was not hard luck or hard
times that broke this bank" de-
clares the report. Illegal practices
and validating closed its doors"
Mr.. Rucker points out that in a
recent suit in Johnson county by
creditors and depositors against
stockholders that the court held
that the bank was insolvent and
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