9357. First National Bank (Rochester, MI)

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DeafDefendant "Sick" Banks Are Successfully Wins Acquittal "Treated" By Detroit Jurist In Joplin Case heard cattle in the yard and had gone out to pasture them. He testified that his uncle's explanation had been made in reply to question from his sister Defense witnesses were used throughout the afternoon in an effort to show that Goodwin Miller was drunk on the night preceding the early morning fire. Gilber: Kincheloe said that he had seen Miller about 10 o'clock at lunchroom several miles from his home that night. He testified that Miller was drunk and quarreled with the proprietor who threatened to kill him. Dr. Stewart McBryde, Manassas physician called by the defense, said Miller and his wife could have been suffocated and then burned to death in their beds. Under cross-examination the doctor admitted it was "not probable' that two persons possessed of their full faculties would have burned to death in their bed. Dr. E. H. Marsteller Prince William County coroner, at the first day of the trial told of viewing the bodies in the Miller home. He said it was his based on their positions side by side the collapsed bedsprings, that both Miller and his wife were killed before the fire The trial is the most sensational in this county in a century. The courtroom has been packed both days by spectators. many of whom have traveled for miles to hear the testimony Hundreds of curiosity seekers have been unable to find seats or standing room in the building They have beenl constantly standing nearby with the hope of gaining entrance receiving news of the progress of the case. Judge Lacy Says "Take Depositors Into Confidence" By E. A. Baumgarth DETROIT. Dec. 12-A doctor called on his patients one day last week and found them doing splendidly and quite happy This would be licitous experience for any physician, but when the patients happen to be sick these times-the matter is more than out of the ordinary It is And still more astounding, because of its simplicity, is the prescription On each bottle it is printed, not in pharmacists' Latin but in the plainest of English Take the depositors into your The doctor is Judge Arthur J. Lacy of Detroit His patients, now very robust patients indeed, despite the blow the economic depression dealt industrial Michigan. the First State Bank of Milford, Mich. the First National Bank Rochester. Mich. and the First Peoples State Bank of City Mich., which Judge Lacy helped out of the First National and the Peoples Sav. ings Banks of that city And there are more patients coming to his office Just here may be mentioned. to give it the emphasis due, that Judge Lacy believes two-thirds or five-sixths the banks that have failed in the United States could have been saved without the into hundreds of millions that has ruined whole The first bank which called on Judge was the First State Bank of Milford. It was not unsound. but banks all around had begun to slip, and panicky feeling was abroad. its assets had "frozen. Both capital of and surplus of $20,000 were clause requiring sixty notice before withdrawal had been put into effect, however, and 150 depositors gave notice of withdrawals totaling more than $100,000. The bank was plainly headed toward failure. Judge Lacy suggested that the officials lay the whole situation before the and ask their co-operation. A meeting was called in the high auditorium and was packed to the doors. That meeting was sensational success. A Crisis Is Overcome. The Milford bank is now doing business as usual, as is the First National Bank of Rochester. In the latter case another bank had failed, causing a run on the First National A ninetyday ban savings withdrawals was put on. Notices for withdrawals totaling more than $160,000 had been filed. was at hand. The bank was actually sound, and again Judge Lacy bold, open, frank attitude to the depositors. Again the response was wholly gratifying. In Traverse City the First National Bank and the Peoples Savings Bank were in distress. Judge Lacy was called in. He made careful examination advised merger, asked the stockholders in put new cash, and then consulting the about the whole thing Let us look into their meeting in the high school auditorium of Traverse City, with Judge Lacy speaking. "Instead of pursuing the policy which has been quite the habit among bankers in the past, he said sitting behind closed doors and going into huddle and thinking things over. and worrying about what you depositors are your two banks have decided the best thing to do would be to talk it all over in open could meeting. "Probably not one in six of the banks in Michigan which have closed should ever have had to do so. The stockholders, director officers and depositors did not get together and work to the same end and purpose. Their banks were not going to fail, Judge Lacy assured the depositors, but it was felt that merger would make for sounder condition. "Now your banks are just like every other bank in this country, he continued. "No bank can stand run: no bank keeps enough money on hand to enable it to out all of its depay posits at one time. Why the United States Government itself could not pay what it owes if it were asked to do so within any limited period.' Banking in Primer Form. In the same simple language, avoiding technical banking terms, Judge Lacy explained bank's business "One of the great reasons for the depression, he went on to say, that there is so much of the actual currency withdrawn from circulation that it is bleeding business and industry white It has exactly the same employment of labor as anemia has upon an individual. and is just as pernicious as anemia. "When we get into depression and people are out work and taxes high. some of us are not able to make enough money to get along, so we have to go our our savings accounts, to draw little now and then. That is happening all over the United States it means constant drain on the banks. But that is not disastrous it might appear. because when people draw money for necessities they pay it out. and the people to whom they pay bring it back to the There nothing very serious about that part "But in depressions we worry about things. We wonder if it would not be good idea to get that money when we know right where it is, and somebody else gets the same idea. Do you realize what such people are actually doing? They are trying to get the jump on every other depositor. They theirs first. Four or per cent of the depositors almost any Judge Lacy put that bank in very great danger of closing. "If you people and the directors and of these banks all stick together," advised Judge Lacy "and that goes for every bank in this part of the State if you act rationally and do not let any one get you startled, you can maintain sustain your bank in perfectly fine way." Judge Lacy asked the depositors to agree withdraw deposits standing to their credit in the two banks September 28 in an amount greater than uniform percentage of their respective deposits "as may be fixed by the Banking Commissioner of Michigan in his discretion from time to time, or, in the absence of determination of such uniform percentage by him, then by the directors of the merged banks." The agreement, he explained. would not apply to deposits after September 28 "Those made after that date may be withdrawn just as freely as can he said. "That would be just as you would do normally. You take the money to the bank, put it there. and draw it the day. you What Do You Want it For? He asked the depositors further to agree that the bank could require notice of withdrawal of deposits if the was to prevent any depositor not agreeing to the from taking out his money at the expense of the others. Suppose somebody wanted more of his money than the bankers thought he needed. Judge Lacy asked. "We would say. he replied to his question. Do you need the money?' Yes. 'What do you need it for?' My wife has got to go to the hos. pital. All right, it is as free as water. We have plenty of money for you. have to pay some taxes.' All right. 'But suppose some one says when you ask. What do you need it for?' Well, it my money have right to it: didn't put it here on time, and want "As said to another audience such as this, 'As square deal to the rest of you people who are co-operating, am here to tell you that man is not going to get that money. There is no living man coming in here and getting the jump on the rest of you." Secure Receipt and Ship Christ. Packages Responsible Way-Railway Express Agency.-Adv