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RETAN, "BUSTED BANKER,' " TAKES STAND FOR SELF Will Claim He Operated Flat Rock Institution Under Uncle's Direction TESTIMONY GIVEN TO SUPPORT THIS PLEA One Witness Declares That Site For Bank Was Bought by Power Guerd H. Retan. former banker of Flat Rock, charged with obtaining money under false pretenses, took the witness stand in Judge Collingwood's court, Tuesday afternoon, to tell the judge his story of the organisation of the bank, its failure two years ago, and the resultant loss of $80,000. According to Percy Grose, counsel for Retan, the defendant's testimony will be that he was at all times operating under the direction of D. H. Power, his uncle. It is against Power that the heavy guns of the defense will be directed. Power has repudiated all connection with the bank. He is reputed to be wealthy, and some of the depositors have started suit against him in an effort to recover their losses. "Power has denied that he had any connection with the Bank of Flat Rock," said Grose, "but Retan will tell the jury that it was Power who got the first $1,000 for the organization of the bank. He got it from Retan's mother, who made the investment in the hope that It would be the foundation of a successful business career for her boy. It was Pow. er who ordered the printing of the pass books of the Flat Rock bank, which bore his name. "Retan, throughout all the time that he was with the Flat Rock bank received nothing more than a monthly salary of $75. Retan first worked for Power in the latter's bank in Pontiac. After being sent to Flat Rock, he frequently wrote Power. and sought advice from him on loans and other business matters. "When Retan first realized that the bank was about to fail, he tried to save it by reorganizing, under the state banking law. The bank was first operated as a private one. Retan thought he could make good the losses by reorgarizing. When a few of Retan's enemies heard of this, they went to the state bank commissioner and told him Retan was a thief. Retan, therefore, was not permitted to reorganize, and the bank went to the wall. "Since then he has been hounded by two or three men who had money in the bank. He turned over his home, his furniture, everything he owned. to try to make good the loss, moved to Detroit and found work. He worked four weeks and then his enemies trailed him to his office, told his employer he was dishonest, and succeeded in having him discharged." It is the contention of the defense that the prodecution of Retan is but a part of a scheme agreed upon by the former depositors. "They told Retan," said Grose. "that he, or Power or someone else would have to make good the losses, or else he would be sent to prison." The name of a prominent Detroit lawyer has been mentioned in connection with this alleged threat made to Retan. The first witnesses called by the defense Tuesday morning contradicted the testimony of Power. Augustus F. Limerich and his wife, of Northville, Mich., formerly of Flat Rock, test fied that tney sold the site on which the Flat Rock bank was built. "Who paid the first deposit?" asked Grose of Mrs. Limerich. "Mr. Power," was the answer. Archibald C. Adams, formerly employed in the Pontiac bank when it was owned by Power, was the next witness. "Did you go from the Pontiac bank to the Bank of Flat Rock?" he was asked. "I did" "Who sent you?" "Mr. Power." "Did you consult with Mr. Power about affairs of the Flat Rock bank?" "I did." "Why did you consult him?" "Because I was under his direction." Following the cross-examination of Mr. Adams, Retan took the stand. The prosecution rested its case, Monday afternoon. Mark W. Hearn, receiver for the defunct bank, was last witness summoned by the the people. He testified that it was next to impossible to realize anything on the notes held by the bank. "We might be able to collect small here and there," he said, "but sums expenses of the collecting would probably the be greater than the returns." Immediately after the prosecution rested, Percy Grose, attorney for Remade a motion that the proceedings tan be quashed on the ground that the people had not proven their case. The motion was denied. The testi- Flat of former depositors of the mony bank. other than that of Dennis Rock Dunivan, the complaining witness, also attacked by Grose as inadmissible. was Judge Collingwood reserved
