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BASS CIVEN 3-YEAR TERM
(Continued From Page One.) that the bank was examined two or three times every year after Mr. Bass sold his stock and other officials were installed until it was closed in May, 1925. hat did they find ?" he inquired. "They four that the new cashier owed the bank $10,000 and the bank never got a cent of it. They found that another man owed the bank $2,700 which was never cell cted and never will be. That was all after Bass was gone. After relating that the board of directors met on June 23 and declared a 100 percent dividend for the purpose of reducing the bank's taxes. Mr. Frankl n stated that there still $5.100 left in the surplus and undivide profits of the institution after the dividend was paid, adding and yet, the commonwealt. is trying to show you it was that divident that wrecked the bank "Dr. Bailey and his family got part of that dividend just like Claude Bass did," he said. "O course. Bass got more than they did because he owned most of the stock. If Dr. Bailey had ONTER most of the stock. then he would have received most of the dividend." Mr. Franklin said that the Billey family had just as many employes in the bank as the Bass family had. "Then. why. he shouted "if there were any irregularities did Dr Bailey know no hing about it? Dr. Bailey kne that Mr. Bass cred ted those bonds to the emergency fund. Says Memory Fault The defense lawyer stated that he didn't charge that Dr. Bailey would deliberately swea. to falsehood but that his memory was bad, quoting that. is very fleeting thing He told of the many stocks the prosecuting witness had bought through the Farmers Bank and that Dr Bailey had testified on the witness stand that Studebaker was the only stock he had ever Lought through that institution 'He was placed back on the stand and didn't deny that ne nad bought those stocks Gentl he has also forgotten that ne knew all about the b. nd plan O. that bank. Mr. Franklin said that n a dollar of the money in t.e sale of the Liberty bonds went into the surplus or undivided of the bank, ror did it go pay that 100 percent div.dend h dividend was not even paid 11 cash," he continued It was paid in time deposits due in on an two years. So gentlemen. u can see that this bond mo ey didn't go to pay the dividend. Says Hung Jury Sough Charging that Bass' "stock in trande has been fooling credulous people John L. Grayot, veteran prosecutor launche into vere arraignment of the forme: that the defendant 11 actu tt d would "go out and grin abo.1 how he fooled the people Charging that the Le ens torneys had attempted to throw a smoke screen acout the rea issue in the case, Mr. Crayot said, in part They want to hang the They want to try to the av smiling detendant and ly deadlock the jury Mr. Grayot sald that the receipts presented in the d ne cid not tel. him the bonds wer 1.1 Louisville whe he h.s. tried to collect the interest, as the former cashier has mai Who Lied:
"Who lied. gent.emen he asked Which world you believe on the stand that he was never told such thing "Would you believe this sic ducki this smooth article, gran. bing money herever he can put his ands on it Bass swore that when he gave D. Bailey nis the emergency fund and that no (Bailey get the money 01 the bonds whenever he called for them he knew that if he couldn't get the jury to believe those lies n would go to the pen quicker than a snowball would melt in heli. lieve Dr. Bailey on his word without being sworn before Pd believe ( Inude Bass if he swore in every court of the country Bass Family Profited. "They declared a 100 per en dividend with the trenzed reason given to 'beat the state out 0 the payment of taxes ther were other Basses on the board or directors Who protited Claude Bass drew $7.900 of the $15,000 declared in the d vider.a. His father and sister brought In amount of profit for the Bas: family up to around $12,00) 0 Whatever you say about laud Dass. he is no fool. Claude knew e bank was coming tumbing down in wreck and Claude was getting away from that wreck A 100 percent dividend in a Claude Bass can manage a ban like that. he can make a big sal ary in any city bank in the coun try. Whover heard of a bank declaring a 100 percent dividen but the Farmers Bank of White
Signature Missing. Mr. Grayot contended that the absence of Dr. Bailey's signature on the bond book "shows plainly a permediated effort to sell those bonds without the knowledge of Dr. Bailey. In keeping this emergency fund, it is strange, strange, gentlemen, that there is not one scratch of the pen to show the bonds were sold Is that banking During Mr. Grayot's speech, a hot verbal encounter ensued between opposing counsel, which percipitated from continual ob jections advanced by Mr Waddill. The prosecutor made reference to these objections and Mr. Waddill was immediately on his feet stating that he knew bis rights in court as well as Mr. Grayot, who charged that the 00jections were merely intended to throw him off the line of his speech. Judge Laffoon informed the defense counsel that he could object as many times as he wished. Admits Bond Sale. Bass, the only defense witness, was severely cross examined by Commonwealth Attorney John L. Grayot Thursday afternoon, ad mitted he sold W. B. Bailey Liberty loan bonds. valued at $4.250, entrusted to his care while he was cashier of the Farmers Bank of White Plains, and said Dr. Bailey had knowledge of the sale for he (Bass) had informed him of the Dr. Bailey testified Wednesday afternoon he did not know his bonds had been sold until after the bank suspended in May. 1925, and discovery was made only when liquidation was in progress under the direction of the state banking department. Dr. Bailey testified he had not given Bass or anyone else authority to sell the bonds. Bass, in his testimony. stated he had inormed Dr. Balley OF the bank opening bond d partment and had explained it to him in detail, telling him bonds would be bought and sold The def endant said he did not give Dr. Bailey credit for the $4 250 Liberty bonds at the bank when sold, but placed the saie proceeds in the emergency fund because Dr. Bailey m ght want to draw on it or buy bonds When Bass was asked by Commonwealth Attorney Grayot if it was customary for banks to sel: bonds placed in their cust dy. Bass said "some do, but not all. He said he got the bond department form he used from a Louisville bank and thought it was from Liberty Insur ince bank When asked if it was not state on the back of certificates issued following receipt of bonds by the bank while he was cashier that bonds like those described would be returned to the owner, Bass stated any bonds like those n.ent oned in the certificate would do. Get New Receipt. He said Dr Bailey's reason for not signing the bond register was because he was issued a new receipt when his oll one was taken up and it was not necessary to sign the registe y. Plains declared its 100 percent dividend June 23, 1923, payable June 30, 1923. Bass said He testineo he owned 19 shares of stock then and he received about $7,900 as his dividend pait; his wite owned 33 shares, receiv ng $3, 300: his father, 5 shares, got $500: sister, 10 shares of st ck receiving $1,000 and a consn named Murphey, owner $1,000 when the shares receiving wife received more than at that time Bass admitted The bank had declared a 13 and at that time it had $15.00 fits. When the June, 1923. divi dend was declared it reduced in surplus to $5,000 and lef $1 0.03 as undivided profits,
When Commonwealth Attorney Grayot ha: clicited this information from Bass he led the witness back to the Bailey Libe.ty bonds and asked ni.n why no entry O. Bailey might have lost the recelpt. the record he had of his bonds deposited in the tank for safekeeping. Bass replied, "in the first place Dr Bailey would not have lost his receipt (this being new receipt issued April 13, 1922. after the old one had been taken up by the bank) but if he had there was small book at the bank which contained the names of owners 01 bonds who had money in the emergency fund. Commonwealth Orders. Orders entered in commonwealth cases follow: Lem Davis and Eugene Davis, ontinued to second day of Septerm W. P. Westherly, continued to first day of the same term. Malcom Smoot continued to second day of September term. W. W Williams (appeal coninued to third day of the September term Neison Stevenson. two cases, ontinued to th.rd day of September term Howard Hunt. continued to second day of September term. ne grand jury recommended he dismissal of the housebreaking harge against J. H. Robb, in jail, nd he released from custody Civil Case Orders A. Y. Rudd etc., VS. J. K. Rudd. te., B L. Nisbet appointed guardian ad litem for infant defendCallie Hogan Staples vs. Sam Staples, oodie Gaynelle Stone vs. staude Stone &c., Beulah Eaves S. George Eaves. Oscar Henderon VS Nevaline Henderson, Paul Harris vs. Myrtle Harris, Beatrice Harvey vs. W. J. Harvey and Lillian Blanche Cain VS. John Cain vs. John Thomas Cain, sub-