Holston Union National Bank (Knoxville, TN)

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merely passing through Tennessee haulloads freight on our highways, and that in other instances the safe and proper use of the roads our citizens being interfered with by the operation of vehicles long, too and moving at dangerous speed. There no doubt in my mind that we should take effective steps to protect and our highways from this sort of operation. were struck with the admitted fact that motor trucks for hire busses are now paying little or nothing the way of taxes the counties and cities through which they operate. of the cities in which hearings were held, called our attention to the fact that their streets were damaged costs by these vehicles from which they received no "Two strongly differing views were presented on the question of increased taxation for motor The truck and bus lines insisted that any additional would force out of business: the railroads that the motor lines were here to stay, but should pay additional taxes for the use of the public roads. It appeared. also, that present taxes freight trucks for much lighter than on passenger busses job the gather and consider the facts and to work out some system of taxation and regulation of these vehicles will equitable the peothat burden the the private motorists of the state by forcing them to pay more than they should for the extra wide and extra strong roads necessary carry extra large and extra heavy vehicles. and that protect the people's roads and the roads they own from abuse by operations Our task not easy. but know none greater importance before this legWe urge to favor us with information suggestion.'

PROSECUTOR AT CAPITAL DRAFTING INDICTMENTS

NASHVILLE Feb. 22 (P).-Opening the sixth week of probing by islative committee investigating state affairs found the investigators prepared drive hard down the various lanes information in the belief that it will result in indictments against some state officials and financiers. particular charge aimed at the state officials tion with the switching state tunds from bank to bank that resulted in more than $6,000,000 now being unavailable because of the failure four the banks. Violation of state banklaws the charge directed financiers actually who influenced the of the money Testimony during week to be an effort bolster these charges. Already the district torney has started work on the draft indicuments, but the information may withheld grand the committee gets farther along with Over week-end the committee virtually abandoned its plans transits inquiry Knoxville, where funds were involved the failure of the HolNational bank and the ston Trust company. The committeemen had their previous Asheville, to inquire into the late Central Bank and Trust company that has been charged before committee manipulations with the broken Liberty Bank and Trust company, of Nashville, and New York the ords Lehman who the two Tennessee bond issues $50,000,000. Final decision on the New York trip, however, has not been reached. Some members of the committee expressed the opinion that they can oball the needed information and vigorous steps that end during the next before must write preliminary report for the legislature. This preliminary report will be prepared the view furnishing the crux of the investigation on which the grand jury and the legislature may make their cases. During the first part of the week the highway department to OCcupy the center stage with its commisR. Baker, the leading actor. The commissioner, tall appointee of Gov. Henry H. Horton, opened his testimony but

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POLE DENIES BANNING PROBE

U. Comptroller Contradicts Letter Read to Committee.

John W. Pole, U. Comptroller of the Currency, flatly contradicted testimony before State vestigating committee that ordered bar against federal spection Holston-Union tional Bank records, according to Associated Press dispatch from Washington. The dispatch said: "John W. Pole, Comptroller of the Currency, said today he not familiar with the action the federal receiver had taken in gard. requests that the records the Holston-Union National Bank be made available to the Tennessee Legislative Investigating committee investigating bank failures. said the matter was being handled the federal receiver and his and reports had not been made to Washing- letter signed by Receiver Herbert Pearson, read to the mittee this morning by Attorney Harley Fowler, Pearson said: reply to your request that (the committee) permitto examine into the affairs the National Bank. respectfully advise you have been instructed by the Comptroller the Currency to not agree that this be

SCREAM KILLS LISTENER

LYNN, woman's two weeks ago scream, the course of radio mystery realistic that Mrs. Cecile Dane suffered shock. She died yesterday.

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Closed Bank Director Kills Self, Officers Say

March (By Mims. 62. lawyer director large Holston Union National Bank Knoxville, died today from officers said were bullet wounds.

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Receiver Tells How To Get Your Bank Dividends

How to get your dividend: You will first be notified by postcard by the bank receiver that has been approved. Take that postcard and receipt given you when you filed appear at Union branch Street National Bank, 300 South Gay Appear at the proper teller's window and present your post. card and be issued receiver's Go National Bank and present your dividend order. That bank credit your ac. count with the amount due and you may the it on the bank's check Preserve your receiver's cer tificate must be shown when later dividends are paid. claims have been approved may call at the Union branch of the old Holston-Union 300 South Gay Street and receive their dividend orders. The first set of 500 cards was mailed out last night Each day 500 names will be selected at random from the list of whose claims have been approved. Pearson said Hamilton National Bank has $4 in credits which to honor the dividend orders, having purchased assets to that value from the defunct HolstonUnion last week President C. M. Preston said yesterday that the bank staff been thoroly schooled in the clerical work required in paying claimants

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MORE ABOUT

U-T Trustees

STARTS ON PAGE ONE earned for us about which will nearly offset the estimated loss on our deposit in the bank. That loss is figured the basis of total dividend of 70 per cent expected from the bank The trustees approved the installation of new tem for the university following report by W B. Franke, New York auditor The system went into effect July Under the new system, President H. Morgan said, the reports are made uniform and available to prompt for details than heretofore. The legislative committee last spring investigating U-T. more accounting system of the sytem, however has been under way since last and follows lines of special national committee which worked out the first uniform system for accounting in institutions of higher learning Franke was a member of this To Handle Law Review The trustees authorized the ganization of corporation for handling the Law Review, publication of the U-T College of Law, in relation to the State Bar Association. The Bar Association recently adopted the publication as its official organ and the new corporation will make this effective. The name of Henson Hall for the new girls' dormitory was approved. The name honors the late Martha Henson, who left bequest for building dormitory. The meeting to have started but the hour was 10 before Governor Horton, last to appear, arrived and the trustees closeted themselves. Budget Is Lower

Dr. H. Morgan, U-T president, said the budget would be around $936,000. or about $100,000 less than last year's. It was to be the finance committee's job to spread this reduced fund over each department of the University without crippling operations. The finance committee, headed by Paul Kreusi of Chattanooga, was also to report the collection of the 40 per cent dividend from the Holston-Union National Bank receirevrship. When the bank closed last November U-T had about on deposit including in building funds. Those on hand were the following trustees: Stokely of Newport Gen. Spence Kreusi Major Memphis. Wassell Martin. Col. Shields of Knoxville and Will White of Memphis did not appear Ex-officio members present: President Morgan. culture. Fitts, commissioner of agri. cation. Harned, commissioner of edu. Dean Hoskins was also present to report on administrative affairs.

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SUES DAVIS FOR $274,272

Holston Bank Receiver Says Asheville Man's Notes Unpaid.

ASHEVILLE N. C., Oct. Herbert receiver of the closed Holston Union National Bank of has filed suit here against Wallace B. Davis, president of the Central Bank Trust of Asheville for $264 and $10,000 interest, unpaid the Knoxy bank bought from the bank which were endorsed by the latter's president. Mr. Pearson alleged that on June 30, 1930, the Central Securities Company of Asheville, a subsidiary of the bank, executed $125,000 note which was secured by 2,050 shares of stock of the Mortgage Company, 192 shares Central Bank Trust Company stock and 100 shares of Federal Mortgage Company stock. In addition, Pearson alleged, Davis endorsed the note as part the consideration. The Holston Union National Bank also purchased of from the Asheville bank which Davis IS alleged to guaranteed This series originally totalled $15,716.60 but has been reduced to $139,272.67 Pearson said. This series consists of obligations of many Asheville companies individuals, the complainant concludes.

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RAMSEY RENEWS PREJUDICE PLEA

Seeks Change of Venue From Knoxville for Trial

KNOXVILE, JAN. Attorneys Basil Ramsey, president the failed Holston Union National bank, renewed motion change of venue the banker went on trial in criminal court today on charge fraudulent breach of trust. They charged that the same and ill feeling" existed against on June last, when Judge D. Moton overruled change of venue motion. Ramsey sat with his four attorneys and gave close attention to opening proceedings. Attorney General Fred Bibb informed court that the State Highway Commissioner R. H. Bakstate witness, could not present until Wednesday, while other state witness, H. Briley, accountant for state highway department Nashville, was on vacation in Texas.

News Articles Cited. Kennerly, defense attorney, presenting his motion for change of venue, introduced numerous newspaper articles which ported court cases in which Ramsey had been involved since last June.

He cited the indictment of RamCol. Luke Luke Lea, and three others Nashvlile last August in which they were charged conspiracy defraud the Liberty Bank and Trust company of Nashville. He read accounts of the indictments Ramsey and Col. in federal court here last September, Ramsey being charged with misapplication funds and false entry and Lea with ting Ramsey in the alleged application of funds. From the Knoxville papers he gave count of Ramsey's bondsmen being sued in federal court for $150,000 alleged have been lost, the ticle said, "on account of the honest acts of Ramsey.

Called Lea Tool. The article referred to Ramsey tool of Rogers Caldwell and Luke In conclusion the venue motion said "heavy run by the East National bank, Friday, November 1931, created great and further prejudice against banks, bankers and former bankers and especially the defendant." 150,000 persons, Kennerly declared, were effected the

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MOVE AGAINST CURTIS NEAR

Indictment of Confessed Hoaxer Likely Today.

'JAFSIE' CLUE WRONG

Identification of 'John' Proves To Be Error.

HOPEWELL, N. J., May 25 (AP)—Speedy grand jury action in the "enormous deception" perpetrated by John Hughes Curtis, hoax negotiator, was near tonight as negative developments impeded the progress of the main hunt for the kidnapers and killers of the Lindbergh baby.

INDICTMENTS CONCEDED

Prosecutor Anthony M. Hauck was ready to lay the Curtis case before the Hunterdon county grand jury tomorrow morning and W. C. Pender, attorney for Curtis, conceded in Norfolk, Va., that there was little doubt his client would be indicted. Any indictment, however, would not be reported formally until Saturday.

TO ATTACK LAW

On the time of a trial of the charges of obstructing justice and furnishing false information the prosecutor and Pender were in disagreement. Hauck said he hoped to conclude the case before the end of June, but Pender asserted preparation of the defense, including probably a legal attack on the old statute involved, would require more time than that.

Meantime, Dr. John F. Condon, the ransom payer, remained in New England, while one of the clues he supplied police collapsed. "Jafsie" had picked out a picture as the likeness of "John" to whom he paid $50,000 April 2.

Investigation of the subject disclosed, authorities related, no possible connection with this case. The exact source of the picture was not divulged.

TO CONTINUE HUNT

Dr. Condon will continue his inspection of rogues' gallery photographs later and will visit the state bureau of identification at Trenton, N. J.

Police bulletins also told of the temporary detention of a man subsequently turned over to federal authorities on a narcotics charge.

Mrs. Lindbergh remained in seclusion at home after making a brief visit yesterday to her mother's Englewood, N. J., residence.

U. S. DISMISSES 3 INDICTMENTS

Caldwell Freed Entirely of Bank Charges Here.

OTHER CASES PENDING

Lea, Ramsey to Be Arraigned Next Tuesday.

Indictments obtained at Greenville against Rogers Caldwell, Luke Lea and J. Basil Ramsey for violation of the national banking laws, were nolle prossed in federal court yesterday, as District Attorney W. J. Carter had stated previously would be done.

This frees Rogers Caldwell, Nashville banker, entirely from federal charges growing out of the failure of the Holston-National bank here.

This also clears Ramsey of the sixth case in connection with the closing of the bank, of which he was president.

Ramsey was acquitted by a direct verdict in a hearing several months ago before Special Judge J. D. G. Morton on a state indictment charging fraudulent breach of trust. Subsequent to the acquittal the court ordered four other indictments against him nolle prossed.

The only federal case pending against Caldwell is at Louisville, where he is under indictment with James B. Brown and Charles F. Jones for conspiracy to misapply funds of the National Bank of Kentucky. U. S. District Attorney Thomas J. Sparks announced at Louisville yesterday the tentative postponement of this trial from June 6 to July 5, according to The Associated Press.

Other indictments are pending against Lea and Ramsey, who will be arraigned here next Tuesday.

The principal charge in the federal indictments nolle prossed yesterday was of passing a $98,000 check through the Holston bank when there was not funds to cover. The check is alleged to have been to the Sanford estate as part payment for The Knoxville Journal, which Colonel Lea formerly owned.

Quashing the indictments required a bare 30 seconds of time. In an interval between other cases, Carter announced that he wished to nolle prosequi the cases, to which he referred by their docket numbers, and Judge Taylor replied, "Let the nolle be entered."

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INDICTMENTS DISMISSED FOR LEA AND ASSOCIATES

KNOXVILLE, May 25 (P).-Indictments returned at Greeneville more than year ago charging Col. Luke Lea and Rogers Caldwell, of Nashville, and B. Ramsay, of Knoxville, with violation of the national banking laws, were formally dismissed in federal court today. Application of United States District Attorney W. J. Carter for an order nolle prosequi was granted by Judge George Taylor without The indictments followed the failure here in November, 1930, of the Holston Union National bank of which Ramsay was president and Lea and Caldwell stockholders. Lea and still face charges out of the bank's failure. have been postponed until the next term of the Knoxville federal court. A trial date will be set next Tuesday. Carter said the Greeneville cases against Lea, Caldwell and Ramsey were nolle because he was forced either to "try or dismiss' them and he wanted to try the Knoxville indictments first.

Truck licenses in Michigan for 1932 are expected exceed 1931 in state revenue by $100,000.

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BASIL RAMSEY IS WITNESS

Appears In Court Here In Bank Note

J. Basil Ramsey former president the failed Holston Union National Bank, was back in Federal Court This time he was witness. in case brought by H. Dulin against Carpenter, the bank's receiver. Dulin is suing for $6100, which he says is due on agreement he had with Ramsey His allegation is that note he held was sold the bank with the understanding that he would not draw the money of the bank until the note due. On the date the note was renewed by the and Dulin alleges his responsibility ended and was due him. The bank failed