15992. Title Guarantee & Trust Company (Portland, OR)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
trust
Start Date
August 1, 1907*
Location
Portland, Oregon (45.523, -122.676)

Metadata

Model
gpt-5-mini
Short Digest
0f4fd86f197f551b

Response Measures

None

Description

Newspapers report heavy withdrawals beginning after the August failure of Oregon Trust & Savings, culminating in the Title Guarantee & Trust Co. being placed in the hands of a federal receiver on Nov 7, 1907. The bank remained suspended/defunct (receivership) and officers were indicted; later reporting indicates no simple reopening as an independent institution. OCR typos corrected (e.g., J. Thorburn Ross).

Events (4)
1. August 1, 1907* Run
Cause
Local Banks
Cause Details
Run triggered by the failure of the Oregon Trust & Savings bank in August 1907, which prompted deposit withdrawals (about $485,000 withdrawn through Oct. 28).
Measures
None reported (steady withdrawals exhausted ready funds).
Newspaper Excerpt
The failure of the Oregon Trust & Savings bank in August caused a steady run on the Title Guarantee & Trust company.
Source
newspapers
2. October 28, 1907 Run
Cause
Bank Specific Adverse Info
Cause Details
Continued heavy withdrawals compounded by large illiquid loans and investments (real estate, irrigation projects) and a final demand by State Treasurer Steel for $100,000 of state funds drained cash.
Measures
Bank attempted to secure surety bonds and assign collateral to cover state deposits; no successful measure to stave off suspension reported.
Newspaper Excerpt
In the past two months $500,000 has been withdrawn ... the climax came when State Treasurer Steel demanded $100,000
Source
newspapers
3. November 7, 1907 Receivership
Newspaper Excerpt
Judge Wolverton appointed George H. Hill, vice-president of the bank, as receiver. The bank closed on Monday ... with only $9,000 bank money in its vaults ... liabilities at $2,560,000 and the assets at $3,000,000.
Source
newspapers
4. November 7, 1907 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Placed into receivership by federal court due to insolvency from bad loans, illiquid real-estate and irrigation investments and depletion of cash by withdrawals (including state funds demand).
Newspaper Excerpt
The Title Guarantee & Trust Company, of Portland, went into the hands of a receiver late yesterday afternoon ... was the determining factors in the Trust company's failure.
Source
newspapers

Newspaper Articles (21)
1. November 7, 1907 Daily Capital Journal Salem, OR
Article from Daily Capital Journal, November 7, 1907

Click image to open full size in new tab

Article Text

ROTTEN PORTLAND BANKING Title Guarantee & Trust Co. Has $9000 on Hand to Meet Deposits of Nearly Two Millions-A Fine Example of Hysterical Finance. (United Press Leased Wire.) Portland, Or., Nov. 7.-The Title Guarantee & Trust Company, of Port land, went into the hands of a receiver late yesterday afternoon, on the order of the federal court, a victim of hysterical finance. Huge loans, made on uncertain real estate speculations, promoted by Lafe Pence, running up to $225,000, and realty investments to $175,000 and heavy plunges into irrigation projects in Eastern Oregon, equaling $500,000 in loans, and the accumulation of thousands of dollars' worth of inconvertable securities, whose value has not yet been thoroughly established, were the determining factors in the Trust company's failure. At the time of the receivership the institution had $9000 of cash in its vaults and $9000 in other banks. Against this was the potential right of demand on the part of 6700 depositors of $1,800,000. The state's deposits of $395,000 is amply secured by $600,000 surety bonds. In a statement this morning J. Thornburn Ross, president, states that he believes the greater part of the trust company's assets will yield a cash valuation up to the bank's estimate, if given time to market their property.

2. November 8, 1907 The Morning Astorian Astoria, OR
Article from The Morning Astorian, November 8, 1907

Click image to open full size in new tab

Article Text

State Treasurer Precipitates Title Guarantee Failure. BANK'S AFFAIRS IN BAD SHAPE Cash Was Drained From Vaults After Failure of Oregon Trust & Savings Bank-Some Loan Securities Are Also in Poor Condition to Negotiate. PORTLAND, Nov. 7.-Precipitated by the demand of George A. Steet, state treasurer, for $100,000 of the $395,000 state funds deposited in the bank, the Title Guarantee & Trust Company was forced to go into the hands of a receiver late yesterday afternoon, George H. Hill, vice-president of the bank, being appointed receiver by Federal Judge Charles E. Wolverton. The assets of the bank are roughly placed at $3,000,000 and the liabilities at $2,660,000. Although the bank has 5500 savings accounts and 1200 accounts subject to check, the deposits amounting to $1,800,000, there was but $9000 in the vaults and $9000 on deposit in other banks when the legal holidays were first ordered. The heaviest debt of the Title Guarantee & Trust Company is an account of $607,000, due Ladd & Tilton, drawing 8 per cent interest, payable monthly. This debt has been an incubus of long standing and, as one of the bank officials declares, has been a millstone around the neck of the institution. Contrary, to general belief, W. M. Ladd is not an officer in the bank, although he owns 755 shares, valued at $100 each. Originally Mr. Ladd was president, but resigned July 1, 1906, being succeeded by J. Thorburn Ross. Mr. Ladd was carried as a director, however, until last July, although recent advertisements of the Title Guarantee & Trust Company carried his name as director until the suspension. The withdrawal of Mr. Ladd was, apparently, unknown even to people in the bank, for a few days ago Receiver Hill said that Mr. Ladd was back of the bank to the best of his knowledge. Failure of the Oregon Trust & Savings Bank in August caused a steady run on the Title Guarantee & Trust Company. At that time there was in the vaults of the latter $485,000. The deposits at the time were $2,245,000. In the past two months $500,000 has been withdrawn, and the climax came when State Treasurer Steel demanded $100,000, which he b intended scattering among other banks B in the Willamette Valley. Before the receiver was appointed yesterday Steele was secured for the $395,000 by surety bonds, timber land in Benton county 4 valued at $600,000, on which the bank B had loaned $500,000, and a mortgage 1 on land near Silverton valued a $428,000. b While the bank made the state a pren ferred creditor, this action is meeting with denunciation on the street, as the W state money was secured by the bondsfi men of Treasurer Steel. t M. B. Rankin was the heaviest born rower of the bank, having secured $500,000 for timber deals in Benton county S on one transaction alone. Lafe Pence induced the bank to lend f him $225,000 for his scheme of filling Guilds Lake, by sluicing down the hills back of the city, and the bank also in 6 vested $175,000 additional in the Fair h Grounds. Pence secured his loan through T. T. Burkhart, the treasurer, and Ate chison, the secretary, during the absence of Ross in Europe. r About five months ago Ross and Pence ( had a falling out, because the banker refused to lend the promoter more coin. PROV. The Pence enterprise was considered visionary, and although a fortune had been placed in sluice boxes and other paraphernalia, the work ceased.

3. November 9, 1907 The Morning Astorian Astoria, OR
Article from The Morning Astorian, November 9, 1907

Click image to open full size in new tab

Article Text

MAKE INVESTIGATION. 1 PORTLAND, Nov. 8.-District Attorney John Manning has begun an investigation into the affairs of the suspended Title Guarantee & Trust Co. and the methods pursued by that institution in the making of loans. Preferred creditors, such as State Treasurer George A. Steel and Ladd & Tilton, are not to be protected to the detriment of the general depositors of the defunct Title Guarantee & Trust Co. No additional depression has been felt on account of the failure of the bank.

4. November 9, 1907 The Free Lance Fredericksburg, VA
Article from The Free Lance, November 9, 1907

Click image to open full size in new tab

Article Text

Receiver For Trust Company. Portland, Ore., Nov. 7.-The Title Guarantee & Trust company was placed in the hands of a receiver. Lia bilities are $2,640,000 and the assets $2,500,000.

5. November 9, 1907 The Seattle Star Seattle, WA
Article from The Seattle Star, November 9, 1907

Click image to open full size in new tab

Article Text

PORTLAND BANK OFFICIALS WILL BE ARRESTED Attorney Manning at once, and ar(By United Press.) rests will probably be accomplishPORTLAND, Ore, Nov. 9.ed before night. All of the bank's Charging J. Torburn Ross, presiofficials are in Portland and none dent of the Title Guarantee & will attempt to escape arrest. Trust company. George H. Hill, vice Immediately upon information president and present receiver, T. that the complaint had been sworn T. Burkhardt, treasurer, and John out against the officials, Vice PresE. Atchinson, secretary, with reident Hill, who was appointed recelving his deposit of $1,330 after ceiver by the federal court. went they had knowledge that the trust into consultation with bls attorcompany was insolvent, C. F. neys. It is understood he is makEhman, a Portland real estate dealing the necessary arrangements to er, today swore to a complaint relinquish his position as receiver against the bank officials. Warupon his arrest. rants will be asked for by District

6. November 9, 1907 The Seattle Star Seattle, WA
Article from The Seattle Star, November 9, 1907

Click image to open full size in new tab

Article Text

(By United Press.) PORTLAND, Ore, Nov. 9.Charging J. Torburn Ross, president of the Title Guarantee & Trust company. George H. Hill, vice president and present receiver, T. T. Burkhardt, treasurer, and John E. Atchinson, secretary, with recelving his deposit of $1,330 after they had knowledge that the trust company was insolvent, C. F. Ehman, a Portland real estate dealer, today swore to a complaint against the bank officials. Warrants will be asked for by District

7. November 10, 1907 The Salt Lake Herald Salt Lake City, UT
Article from The Salt Lake Herald, November 10, 1907

Click image to open full size in new tab

Article Text

TROUBLE AHEAD FOR OFFICIALS Warrants Sworn Out in Connection With Portland Bank Failure and Arrests Made. Portland, Ore., Nov. 9.-J. Thorburn Ross, president; George H. Hill, vice president, and T. T. Berkhart, treasurer, of the Title Guarantee & Trust company, which went into the hands of a receiver Wednesday last, were arrested today, and a warrant is out for John E. Aitchison, secretary of the defunct institution. The charge lodged against them is accepting money on deposit while knowing the bank was insolvent. Under the laws of Oregon this is a felony, punishable by a maximum fine of $1,000 or imprisonment in the penitentiary for two years, or both fine and imprisonment. The arrests were made on complaint of C. F. Ehman, who alleged that on Oct. 28, the day before the present dayto-day holiday period began, he deposited in the bank the sum of $550. Ehman alleges that the officials of the bank knew on that day, and had for some time previous, that the bank was insolvent. Aitchison is now in New York City, but will be arrested on his return. Those defendants who have been placed' under arrest were released this afternoon on furnishing $2,500 bail each. Will Be Made Good. In a signed statement to the Associated Press tonight, William M. Ladd, head of the firm of Ladd & Tilton, bankers, who is a large stockholder in the Title Guarantee & Trust company, which failed here Wednesday last, says he will guarantee the savings depositors in. the institution will be paid in full within two years from date, and as representative of W. S. Ladd's estate, which is back of Ladd & Tilton, states that Ladd & Tilton will relinquish to the general creditors of the Title Guarantee & Trust company the securities which they hold for the debt of $607,000 due to Ladd & Tilton. The total obligation assumed is more than $1,000,000.

8. November 12, 1907 The Semi-Weekly Messenger Wilmington, NC
Article from The Semi-Weekly Messenger, November 12, 1907

Click image to open full size in new tab

Article Text

BANK OFFICIALS ARRESTED Accepted a Deposit While Knowing Bank Was Insolvent. Portlanl, Ore., November 9 -J. Thorburn Ross, president; George H. Hill, vice president and T. T. Berkhardt, treasurer of the Title Guarantee and Trust Company which went into the hands of a receiver Wednesday last were arrested today and a warrant is out for John E. Aitchison. secretary of the defunct institute. Aitchison is now in New York city. They were released this afternoon on furnishing $2,500 bail each. The charge against them is accepting money on deposit while knowing the bank was insolvent. Under the laws of Oregon this is a felony punishable by a maximum fine of $1,000 or imprisonment in the penitentiary for two years, or by fine and imprisonment. The arrests were made on complaint of C F. Eman. who alleges that on October 28, the day before the present day to day holiday period began. he deposited $550. Eman alleges that the officials of the bank knew on that day and had for some time previous known that the bank was insolvent.

9. November 14, 1907 The Daily Morning Journal and Courier New Haven, CT
Article from The Daily Morning Journal and Courier, November 14, 1907

Click image to open full size in new tab

Article Text

BANK OFFICIALS UNDER BONDS. Portland, Ore., Nov. 13.-J. Thorburn Boos, G. P. Hill and T. B. Burckhardt, president, vice president and treasurer respectively of the Title Guarantee & Trust company, which suspended last week, were to-day bound over to the state court under $5,000 bonda each. The charges are accepting deposits while knowing the bank was insolvent.

10. November 14, 1907 Heppner Gazette Heppner, OR
Article from Heppner Gazette, November 14, 1907

Click image to open full size in new tab

Article Text

BEST ASSETS ASSIGNED. Preferred Creditors Get Cream of Resources of Portland Bank. Portland, Nov. 8.- - Developments yesterday in the bank failure of the Title Guarantee & Trust company were as follows: Marquam building, included as $400,000 asset, is not available for meeting claims of depositors, because held as security by Ladd & Tilton, for $607,000 debt. Three depositors of broken bank, dissatisfied with appointment of George H. Hill as receiver, petition Federal District court for involuntary bankruptcy, their object being to supplant the receiver with trustee appointed by bank's creditors. Validity is doubted of assignment to State Treasurer Steel for security for $395,000 state deposits, of timber land collateral in Benton and Marion counties. So much of assets of bank are assigned to preferred creditors that it looks as if depositors will suffer heavy loss. State Treasurer Steel exacted only $100,000 security for $395,000 deposits of public funds, thereby violating the law. It seems likely that Treasurer Steel's bondsmen will be called on by the state to make good the loss of public funds. The American Surety company has given bond for $650,000, and six Portland men for $50,000-J. Thorburn Ross, Wallace McCamant, Louis G. Clarke, J. H. Peterson, M. B. Rankin and J. W. Cook. Ross' liability is $25,000. District Attorney Manning hears that the bank received deposits while insolvent, and that there were swindling operations, and will make investigation.

11. November 14, 1907 Heppner Gazette Heppner, OR
Article from Heppner Gazette, November 14, 1907

Click image to open full size in new tab

Article Text

RECEIVER FOR BANK IS NAMED Affairs of Title Guarantee & Trust Co. of Portland in Bad Shape. Heavy Investments on Which Officers Could Not Realize* Quickly and Steady Drain on Depssits Are Chief Cause of Suspension-Action in Federal Court. Portland, Nov. 7.-Distress of the Title Guarantee & Trust company reached a climax yesterday when Judge Wolverton of the United States District court ordered the institution into receivership, on application of Nathan Coy, a stockholder, through Joseph Simon, attorney. Judge Wolverton appointed as receiver George H. Hill, vice president of the bank. The matter was taken into the Federal court because Coy is a nonresident of Oregon, living near Boston. The bank closed on Monday of last week, with only $9,000 bank money in its vaults and $9,000 due from other banks, out of deposits aggregating $1,800,000. In the succeeding holidays proclaimed by the governor, the bank, unlike the other money institutions of the city, remained closed. The trouble of the bank was precipitated by the call of State Treasurer Steel, on the last day it was open for business, for $100,000 of state funds. The state has on deposit $395,000. This money, says J. Thorburn Ross, president of the company, and other bank officers, is amply secured by surety bond in Treasurer Steel's favor for $100,000 and by timber land collateral made over to him in the last few days, from the assets of the bank. How much depositors will get of their money depends on the handling of the bank's assets, which are of a kind that cannot be turned quickly into cash. They consist chiefly of real estate. The liabilities are placed at $2,560,000 and the assets at$ 3,000,000. The failure of the Oregon Trust & Savings bank last August, started a run on the Title Guarantee & Trust company, resulting in withdrawal of $485,000 deposits up to October 28. This exhausted the bank's supply of ready funds and it was unable to realize on its several big projects.

12. November 16, 1907 The Parma Herald Parma, ID
Article from The Parma Herald, November 16, 1907

Click image to open full size in new tab

Article Text

RECEIVER FOR BANK IS NAMED Affairs of Title Guarantee & Trust Co. of Portland in Bad Shape. Heavy Investments on Which Officers Could Not Realize Quickly end Steady Drain on Depssits Are Chief Cause of Suspension-Action in Federal Court. Portland, Nov. 7.-Distress of the Title Guarantee & Trust company reached a climax yesterday when Judge Wolverton of the United States District court ordered the institution into receivership, on application of Nathan Coy, a stockholder, through Joseph Simon, attorney. Judge Wolverton appointed as receiver George H. Hill, vice president of the bank. The matter was taken into the Federal court because Coy is a nonresident of Oregon, living near Boston. The bank closed on Monday of last week, with only $9,000 bank money in its vaults and $9,000 due from other banks, out of deposits aggregating $1,800,000. In the succeeding holidays proclaimed by the governor, the bank, unlike the other money institutions of the city, remained closed. The trouble of the bank was precipitated by the call of State Treasurer Steel, on the last day it was open for business, for $100,000 of state funds. The state has on deposit $395,000. This money, says J. Thorburn Ross, president of the company, and other bank officers, is amply secured by surety bond in Treasurer Steel's favor for $100,000 and by timber land collateral made over to him in the last few days, from the assets of the bank. How much depositors will get of their noney depends on the handling of the bank's assets, which are of a kind that cannot be turned quickly into cash. They consist chiefly of real estate. The liabilities are placed at $2,560,000 and the assets at$ 3,000,000. The failure of the Oregon Trust & Savings bank last August, started a run on the Title Guarantee & Trust company, resulting in withdrawal of $485,000 deposits up to October -8, This exhausted the bank's supply of ready funds and it was unable to realize on its several big projects.

13. December 12, 1907 The Spokane Press Spokane, WA
Article from The Spokane Press, December 12, 1907

Click image to open full size in new tab

Article Text

RECEIVER IS REMOVED PORTLAND, Dec. 12.-Federal Judge Wolverton today appointed E. C. Mears, formerly cashier of the Bankers' & Lumbermen's bank, as receiver of the Title Guarantee & Trust Co., removing George H. Hill, who was acting in that capacity.

14. December 30, 1907 East Oregonian : E.O Pendleton, OR
Article from East Oregonian : E.O, December 30, 1907

Click image to open full size in new tab

Article Text

That grave suspicions are entertained by the public in regard to the failure of the Title Guarantee & Trust company of Portland, is shown by the following from the Portland Oregonian of December 29. The Oregonian says: Poverty is not the share of J. Thorburn Ross from the wreck of the Title Guarantee and Trust bank, according to a statement of his property left by him with the bones of the institution. The statement shows the president of the defunct bank still to be the possessor of a good income and wealth to the value of $202,435, plucked from the Title company during the halcyon days, largely from rakeoffs and stock jobbing. And not only were the pickings fat for Ross, but also for Ladd and Tilton, who in less than seven months of the present year collected from the now defunct bank the sum of $193,363.40, of which $167,363.40 was principal and interest payments on two notes for $740,000 owing Ladd & Tilton, and amounting on April 15, 1907, to $769,794, including interest. That debt is now $607,256.86. Where Did They Get It? Whence came the $167,363.40 payment to Ladd & Tilton? As the Ross bank was run on the money of depositors and the state, and this money was not separated from the earnings, there is little room to doubt that it came from depositors. If be added the $26,000 which the bank paid Ladd & Tilton on November 6 during the holidays, from the proceeds of a mortgage sale, the total money collected by Ladd & Tilton from the institution since April 15, 1907, was $193,363.40. Ross will be called upon to give over to the Title bank the property in his hands to help pay the bank's creditors. He obtained his holdings. as the books show, by means of rakeoffs from deals between the bank and its various subsidiary companies.

15. January 2, 1908 The Spokane Press Spokane, WA
Article from The Spokane Press, January 2, 1908

Click image to open full size in new tab

Article Text

PORTLAND, Jan. 2.-T. T. Burkhardt, late secretary and treasurer of the defunct Title Guarantee & Trust Co., is ready and willing to tell all he knows of the deals and transactions of the suspended bank provided the district attorney grants him immunity.

16. January 24, 1908 The Athena Press Athena, OR
Article from The Athena Press, January 24, 1908

Click image to open full size in new tab

Article Text

PORTLAND BANKS WILL OPEN Institutions Are to Resume Business By the First Day of February. Unless the unforeseen happens, all three suspended banks in Portland will be in operation within a little more than two weeks' time. The Title Guarantee & Trust company is scheduled to pass under the control of William M. Ladd about Monday or Tuesday. The plan of absorption of the Oregon Trust and Savings bank by the German-American should be in such shape that liquidation of the defunot institution may be begun some time during the week of January 25 to February 1. As for the Merchants National, President J. Frank Watson states that while the officials hoped to be able to resume operations February 1, it might be a few days later than that before the reorganization plan was in such shape that it would meet the approval of Special Examiner Wilson and the controller of the currency.

17. March 10, 1908 East Oregonian : E.O Pendleton, OR
Article from East Oregonian : E.O, March 10, 1908

Click image to open full size in new tab

Article Text

# MORE LIGHT ON STEEL. State Treasurer's Wife Owned Stoolk in Defunct Bank. Added light was thrown on the connection of State Treasurer George A. Steel with the tangle of the wrecked Title Guarantee & Trust company in the federal court this morning when W. C. Bristol made application for the settlement of the account of the Home Security & Investment company, says the Oregon Daily Journal. At that time it was stated that Mrs. Eva Steel, wife of the state treasurer, owned practically all of the stock of the Home Security & Investment company, which was a subsidiary corporation of the Title company. According to the statement of the district attorney made to Judge Wolverton the Home Investment company was formed as a subsidiary organization under the wing of the Title Guarantee & Trust company, practically all of the stock in the concern being held by Mrs. Eva Steel. Prior to the failure of the bank the Home Securities company purchased lot 2 of block 57, being property in the business district. The Home investment company borrowed $13,000 of the Title Guarantee & Trust company with which to swing the deal, giving in return for the money, a mortgage on the property. At the time of the failure this amount was still owing, while the private account of Mrs. Steel was $7018. Application was therefore made this morning to the court to allow Mrs. Steel to apply the amount due her, $7018, on the mortgage of $13,000 due the bank, or the receiver as the matter now stands. It was explained by Mr. Bristol that an arrangement had been reached whereby Mrs. Steel agreed to clear the property of all debt and to repay at once to the bank the amount due after deducting the $7018 paid by the transfer of her private account against the mortgage. Judge Wolverton allowed the motion and made an order to that effect.

18. April 4, 1908 The Evening Statesman Walla Walla, WA
Article from The Evening Statesman, April 4, 1908

Click image to open full size in new tab

Article Text

# BANK WRECKERS WIN # THE FIRST ROUND J. THOBURN ROSS ET. AL. GRANT- ED A CHANGE OF VENUE TODAY. PORTLAND, J. Thoburn Ross, T. T. Burkhardt, J. E. Atchinson and G. G. Hili of the Title Guarantee and Trust company, charged with fraudulantly handling the funds of the suspended Title Guarantee and Trust company, won the first round in their fight for liberty today when Judge Cleland granted the bank officials a change of venue. The case will be heard in Marion county, probably either by Judge Burnett or Galloway.

19. April 4, 1908 Daily Capital Journal Salem, OR
Article from Daily Capital Journal, April 4, 1908

Click image to open full size in new tab

Article Text

THE SCENE SHIFTS TO MARION GO. INDICTED OFFICERS OF DEFUNCT TITLE, GUARANTEE BANK SECURE CHANGE OF VENUE. (United Press Leased Wire.) Portland, Or., April 4.-J. Thornburn Ross, T. T. Burkhardt, J. E. Altchinson and G. G. Hill, of the defunct Title, Guarantee and Trust company, charged: with fradulently handling the funds of the suspended bank, won the first round in their fight for liberty today when Judge Cleland granted the bank officials a change of venue. The case will be heard in Marion county, probably by either Judge Burnett or Galloway at Salem.

20. April 28, 1908 The Morning Astorian Astoria, OR
Article from The Morning Astorian, April 28, 1908

Click image to open full size in new tab

Article Text

Conclusions From Correspondence of Steel and Ross TRACED VARIOUS ACCOUNTS When the Investigators Discovered That the Home Security & Investment Co. Was Represented, They Concluded They Knew Enough. PORTLAND, April 27.-Behind an entry of $4148 on the trust ledger of the Title Guarantee & Trust Company, under date of June 6, 1907, the day following the segregation of the educational account of the State of Oregon on the books of the institution, may, in the opinion of investigators, lie an explanation of the relations really existing between George A. Steele, State Treasurer, and J. Thorburn Ross, president of the company. Considering the item in the light of other entries and various debit and credit accounts, as well as checks and deposit slips and the correspondence between Steel and Ross, Attorney W. C. Bristol, who represents the state relative to receivership proceedings, and Governor Chamberlain formed certain conclusions. Their deductions were aligned in every particular with those made by Ben W. Olcott and J. W. Ferguson, the expert accountants, who devoted much of their time while investigating the bank's affairs to throwing light on this phase of the situation. Three per cent was paid by the Title Guarantee & Trust Company on check accounts. That the educational fund of the state was deposited in the bank by Treasurer Steel as a check account is undisputed; in fact, the defense during the trial of Ross at Salem was founded on the theory that in view of court decisions this procedure was lawful and proper. It is a peculiar fact that $4148 lacks only 89 cents of being the exact amount of interest on $69,148, the average of daily balances of the state accounts with the bank from January 15, 1907, until June 5, 1907, at 3 per cent for two years. Mr. Steel took office January 14, 1907, and the educational account by his order was segregated by the bank June 5, 1907. His term of office was for four years. The amount of $4148 was credited to him June 6, 1907. The amount of $4148 having been

21. June 11, 1908 The Hood River Glacier Hood River, OR
Article from The Hood River Glacier, June 11, 1908

Click image to open full size in new tab

Article Text

H. H. Palmer, former editor of the Elgin Leader, who so mysteriously disappeared from La Grande several weeks ago and who it was thought had committed suicide, has been found. This discovery was brought about by his request for funds from his former partner, Mr. Snyder. J. Thoburn Ross, president of the defunct Title Guarantee & Trust Co., was last week sentenced to serve five years in the state penitentiary and pay a fine of $576,853, or double the amount of the state school funds in the bank when it closed, and to serve one day in the Multnomah County jail for each two dollars of the fine not paid. The new railroad up the Calipooia river from Brownsville is being surveyed. Work on the line will commence soon. The line will run out from South Brownsville and thence east for about 20 miles to Crawfordsville and Holley. It will open up a vast timber belt, said to be the best in the state.