Indianapolis Times, Volume 46, Number 39, Indianapolis, Marion County, 26 June 1934 — Page 1

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STATE LOSING THOUSANDS IN STAMP RACKET Counterfeit Excise Labels Offered to Druggists, Is Report. FRY GETS COMPLAINTS Situation Said to Be Bad in Calumet Area: By-Drink Ruling Due. BY JAMES DOSS Tlh Writer Use of counterfeit excise stamps, reuse of genuine stamps that should have been mutilated and the dispensing with any kind of stamps on whisky are costing the state of Indiana thousands of dollars of revenues. Sale of counterfeits, it is reported. is growing, although Paul Fry, state excise director, said yesterday he had been unable to verify complaints by retail druggists that they have been offered bogus stamps and that other druggists are buying them. The writpr knows of two Instances where stamps have been offered for sale in sheets at 5 cents a stamp. In neither case was purchase admitted. Mr. Fry said he has had reports of offers of sale at from 5 cents a stamp to $1.75 a sheet. A sheet includes $6 worth of stamps bearing a face value of 25 cents each. Stamps Not Mutilated Thus, a druggist with a desire to cheat the excise law can save a maximum of 20 cents on each pint sale. Under the law. the excise stamp on each pint of whisky or alcohol is supposed to be scratched at the time of sale. This regulation frequently is ignored. leaving each "dead soldier" with a value of 25 cents, quite aside from its old bottle value. Sale of whisky and alcohol without going through the formality of attaching cither a counterfeit, reused or genuine stamp is becoming more general, investigation reveals. Particularly is this true in the northern part of the state. Legitimate Dealers Hurt An operator of a Gary chain drug store, which obeying the state excise law. told this writer that legitimate liquor dealers “have no chance at all in the Calumet district because hardly anybody bothers about the excise law." “Consequently." he pointed out. -we are undersold at least 25 cents a pint, and a quarter is a lot of reduction on the cheaper grades of whisky blends, although it might not make any difference to the purchaser of higher priced whisky." A glance around Gary bars and liquor stores will show that whisky is profusely displayed without stamps. Another way in which legitimate liquor dealers^—dealers who obey the excise law’ —are handicapped, is through sale of the so-called “Cuban pints.” -Cuban Pints" Again The “Cuban pint" is a small bottle holding from an ounce and a half to two ounces of liquor. Thp state has ruled there is no way the state tax of 25 cents a pint can be split, so the "Cuban pints" can have no sale except through the boot legger. The “Cuban pint" of whisky has been sold in Indianapolis for some time and this week, a "Cuban pint" of a popular brand of gin made its appearance. Their sale tn the Calumet is general and no effort i made to hide thetr display to the public. With dissatisfaction with the liquor laws general among legitimate dealers, the hotel men await a “by- ' he-drink" sale ruling which Governor Paul V McNutt has indicated will be forthcoming this week. By-Drink Ruling Awaited It generally is reported that the attorney-general's office will rule this sort of whisky sale illegal and bolstering the report is the grapevine warning received yesterday by bars and taprooms, telling them to “lav off." Sale "bv-the-drink" has been completely in the open in Indianapolis in the last few months, at prices ranging from 15 rents a “shot" for bootleg whisky to 25 cents for blended whisky. Cocktail shakers rattle on demand. with the fancier drinks—--anything you want'—offered at from 25 to 40 cents a copy. Some of the taprooms have invested in expensive equipment in the belief that the state will “liberalize" the whisky sale laws. Court Showdown Expected This investment, it is reported may lead to a showdown in the courts, if an unfavorable "by-the-drmk" ruling is issued. Here’s the general feeling among dealers who are selling liquor “bj.-the-drink -It’s just as legal to sell whiskv that ways as it is to sell draught beer. The state passed a law saying specifically that beer had to be sold in bottles. Then it 'liberalized' the law by ruling so draught beer would be legal. So it must be legal to sell draught whisky.*" SETTLE IS THREATENED Former Kidnaping Victim Believed Target of ’Cranks.' Sy Umitrd Prett LOS ANGELES. June 26.—Letters threatening to bomb the home of William F. Gettle. once rescued from kidnapers, unless he paid a MS 000 extortion demand, today were branded by department of justice agents as the work of cranks."

NRA W BO oua Mkt?

VOLUME 46—NUMBER 39

Armed Guards Ride Milwaukee Trolleys as Workers Strike Barbed Wire Barricades Erected Around Plants as NearNormal Operations Are Maintained Despite Walkout of Union Men. By t tntiH l’"‘i MILWAUKEE. Jur.e 26—Armed guards rode Milwaukee's street cars today and barbed wire barricades were thrown up around company plants as near-normal operations were maintained in the face of a strike of operators and electricians. The strike was called shortly before daybreak today as members of the regional labor board and industrial leaders pleaded with the Milwaukee Electric Company to give jp its stand which caused recall of the

SWINDLE TRIAL GOES TO JURY Impassioned 3-Hour Arguments Made by Rival Attorneys. The SB,OOO swindle trial of Joseph B. Weintraut, 58-vear-old Shelbyville gambler, went to the jury at noon today. The jury, which had listened to more than three hours' impassioned oratory bv defense and prosecution counsel and had heard Special Judge William R. Ringer's charge, went to lunch beiore it began its deliberations. The complainant in the case— Miss Mabel Gentry, attractive 18-year-old Indianapolis school teacher, who testified that Weintraut made love to her and promised marriage to obtain SB,OOO in Liberty bonds from her —wept throughout the morning. She figured largely in the closing arguments, the state making much of w’hat it described as Weintraut's despicable conduct toward her before the alleged embezzlement, and the defense denourcing her vehemently. Both George Tolen, Shelbvville. and Clyde C. Karrer, Weintraut's local counsel, made much of a trip Miss Gentry made to Chicago w'ith Weintraut, u'hen the pair registered as man and wife at a Chicago hotel. The jury, however, appeared to pay closer attention to Deputy Prosecutors John J. Kelly and Gerritt M. Bates, who closed for the state. Much of the defense plea was based on the technicality that the state had not proved agency, a necessity in an embezzlement prosecution. John Dillinger s name entered the trial when Mr. Karrer sarcastically asked a character witness, B. L. Coy. Shelbvville insurance man: “I suppose you have heard tha* the defendant is a Dillinger henchman also?" Mr. Kelly immediately took up the issue on cross examination. “Which do you think has the better moral character.” he asked the witness, “a man like Dillinger who takes your money at the point ot a gun. or a person like Weintraut, who fleeces innocent women of their life savings with promises of marriage in sweet and honeyed words?” HEAT WAVE PROMPTS BEER SALES RECORD Slate Collects 571.844 in Taxes for June I-IS Period. The heal wave early in June set a rerord for beer consumption in Indiana. Paul Fry. state excise director. announced today. For the first fifteen days in June. 1.436.895 gallons of beer were consumed. 1.069.766 gallons of which were Indiana brewed. The excise department collected $71,844 in taxes for that period. pierpont7makley see SLAYER GO TO CHAIR Dillinger Gangsters Look on as 52.60 Killer Dies. By Unitrd Press COLUMBUS. 0.. June 26 —lrmel Kittrels. 26. Negro, who obtained just $2.60 from the home of Thomas Mitchell after slaying the retired farmer at Hillsboro. O. a year ago. died in the electric chair at Ohio penitentiary last night. Kittrels. who freely confessed the crime, ate heartily before he was executed. He went calmly to the chair. Watching thp preceedings in the death house were Harry Pierpont and Charles Makley, Dillinger gangstefs. convicted of slaying a sheriff and sentenced to die July 13. Norma Near Acting as By Unit, and Pn ft DEDHAM. Mass.. June 26. Norma Brighton Millen. minister s daughter, steadfastly denied today that she had any part in or knowledge of murders at Lynn and Fitchburg, of which her bandithusband is accused. A few minutes after she made these denials, the trial was halted for the second time during the morning session because she seemed near another collapse. Superior Judge Nelson P. Brown himself noted that Norma was breaking down and called a recess so she could be treated in an anteroom. A few minutes later Norma had recovered sufficiently to again resume the stand. Her first breakdown came while District Attorney Edmund R. Dewmg was questioning hex regarding the name under which she reg-

The Indianapolis Times

Unsettled with thundershowers this afternoon or tonight followed by partly cloudy and slightly cooler tomorrow.

blue eagle tw’o weeks ago. The number of men on strike was variously estimated at between 700 and 1.400 workers, union leaders and company officials disagreeing on the figures. Although strikers gathered at street corners, booing and shouting at strike breakers, there was no violence during the morning. The city's 590.000 residents, reacting calmly to a strike which had threatened for several months, found the situation one of mild diversion. Hope for an immediate settlement of the trouble was blasted today when directors of the Employes Mutual Benefit Association refused to meet with officials of the striking unions. The American Federation of Labor claimed 1.000 workers on strike—about one-third of the total employes. Pickets w’ere on patrol duty at the car barns, hut caused little difficulty as the trolleys rumbled out of the barns with protective coverings of heavy wire mesh. The union had threatened that enough “key men” would strike at the huge Lakeside Pow’er plant of the electric company to disrupt light and power service—a paralyzing blow to industry and residents —but service continued today.

BOSTON CLEW PROBED IN TUFVERSON CASE New York Detective Arrives to Investigate Mystery. fi;l Unit'd Press BOSTON, June 26. Detective Sergeant Hugh. Sheridan of the New York police arrived here today to work on the Boston end of the investigation into the disappearance of Agnes Tufverson. Captain Stephen J. Flaherty directed Lieutenant George V. Augusta and Special Officer Joseph Decker to co-operate with Sheridan. EDGAR G. M'COLLGM DIES; RITES ARE SET Brief Illness Fatal to Grain Elevator Chief. Edgar G. McCollum. 63, secretary and manager of the Indiana Farmers’ Co-Operative Elevator Company, died here yesterday after a short illness. Funeral services and burial will be in Monticellc tomorrow. In addition to his work with the elevator company, Mr. McCollum was employed by thi United Statea Grain -Association. He came to Indianapolis fourteen years ago from Walcott, where he had taught school twenty-one years. He is a former state secretary of the Indiana Farmers’ Grain Dealers’ Association and was a member of the Monticello Methodist church and Modern Woodmen. He is survived by the widow and a son. Lowell McCollum. Indianapolis. PRIEST MURDERED BY CHINESE COMMUNISTS Young Clergyman Slain After Capture of Seminary. By t nit( 4 I*•"ess HONG KONG, June 26. Word was received by the Dominican mission today from Santuao in southern Fukien province that the Rev. Father Urbano Mertin, a young priest who came to China in 1932 from New Orleans, had been murdered by Communists. Quintuplets Gain Weight By United Press NORTH BAY. Ontario. June 26. The Oliva Dionne quintuplets continued to gain in weight and strength today with Cecile showing the largest gain in the past twenty-four hours.

Collapse as She Denies Lookout in Fatal Holdup

istered at a New’ York hotel, while supposedly fleeing from the killerbandit she later married. The second interruption came after she had denied telling stare detective John F. Stokes that her husband, his brother Irving and Abe Faber engineered the Paramount theater robbery in I.ynn, where a bill poster was slain. She also had denied telling Mr. Stokes that two Boston cab drivers, who were then on trial charged with the Lynn murder, were innocent. Mr. Dewing sought to show that she not only was present when the Fitchburg crime occurred, but acted as lookout. Norma denied, also, that she was with the trio when they attended the Boston automobile show’. It was there, a little later that they stole the state police exhibit, a collection of weapons they used in the Needham bank robbery and murders of Feb. 2.

INDIANAPOLIS, TUESDAY, JUNE 26, 1934

CITY TRUST’S DEPOSITS WASTED, CHARGES BANK PROBER IN REPORT

WHEN THE HELMSMAN OF SHIP OF STATE GOES TO SEE

jjL'" ~ " * ■ - : : \ ttLAHNAPQL/8 ** SAH PfiAHOOCO : When the U. S. S. Houston, : I UJ 0 ::: : : r above, heads out from Annapolis, ; i:i ' ' f j President Roosevelt will embark I- tU • \r. on a cruise that will carry hirr. ‘LtSk . ■' ; ; i more than 7,000 miles before he | reaches his destination, the Ha- '■■■*■ wanan islands. Tl,:e map shows Honolulu, ' j Puerto p/co ; : where stops will De made, Puerto •': • Rico being the first, then the ijiijiijijiilljjij!::' - Virgin islands. Later additions jriijjjljijijijij::!::” OCIE/\N ijir"' r COLOMB,A to the President's schedule are £|ij!:ii:il|i|l|lx: : l:. ’':' - • n SOUJTI-H Cartagena, Colombia, and Haiti. ' ’ °cahal j

When the U. S. S. Houston, above, heads out from Annapolis, President Roosevelt will embark on a cruise that will carry hirr more than 7,000 miles before he reaches his destination, the Hawaiian islands. The map shows where stops will oe made, Puerto Rico being the first, then the Virgin islands. Later additions to the President’s schedule are Cartagena, Colombia, and Haiti.

NAZIS PREPARE FOR TRADE WAR Moratorium on Debts to Be Announced Sunday to Powers. (Copyright. 1934. by United Press) BERLIN, June 26.—Five days away from a threatened trade war that might have world ramifications, Germany's Nazi government fought crucial battles on half a dozen fronts today. Sunday the government intends to put into effect a complete moratorium on foreign obligations. Great Britain, France and other countries are preparing to retaliate by seizing German credits in their territory to pay the services on the gilt-edged reparations bonds. Hjalmar Schacht, reichsbank president, planned to impose counter measures. In Britain’s case he threatened to ban imports from the entire British empire. German delegates sped to London to attempt an eleventh hour settlement. At home the fight for the “new Germany,” the “third reich” of w-hich Chancellor Adolf Hitler has dreamed since he emerged from four years in the mud and blood of the trenches as a common soldier, proceeded on half a dozen fronts. In economic, financial, political, social and cultural fields, the fight showed a growung intensity that seemed to make it certain new’ pages of history would be written Loon. ASTOR NURSES COLD: NUPTIAL DELAY DENIED Millionaire's Illness Is Slight, Relatives Say. By United Press NEWPORT, R. I„ June 26.—John Jacob Astor 111, 21, multimillinoaire, was nursing a slight cold today, but persons close to the family ridiculed published reports hinting that he might be too ill to go through with his w’edding next Saturday. Mr. Astor obtained a marriage license here yesterday to wed Miss Ellen Tuck French, 18-vear-old debutante daughter of a Boston broker. The wedding is expected to be the high spot of Newport's 1934 social season. Hourly Temperatures 6 a. m 76 10 a. m 84 7 a. m 78 11 a. m 86 8 a. m 83 12 (noon).. 87 9a. m 84 Ip. m 89

Mr. Dewing referred to Norma's talk with detective Stokes in the presence of her minister-father, the Rev. Norman Brighton, and a police stenographer. “Mrs. Millen. you went to Fitchburg with your husband and Faber and got out of the car and you were to be the lookout," Mr. Dewing persisted. “No. I didn’t” Norma answered. She was questioned at length concerning a note, found in her apartment, which allegedly indicated that she and Murt divided Murt's share of the Needham loot at $2,100 each. Norma said she didn’t know what the figures in the note meant: she wrote it at Murt’s direction and did not question him about it. She admitted that their departure for New York following the Needham crimp was hurried. "I was told by Murt to hurry,” she said.

POLICE SPREAD NET FOR HEAT-CRAZED DOG Terrier Emulates Dillinger in Hospital Escape. Emulating the tactics of John Dillinger and other prison breakers, a black and w’hite wire-haired terrier today escaped from the Davis veterinary hospital, 402 North East street. Police threw a cordon around the neighborhood for the dog w’hich is said to be suffering from rabies. The dog chewed his way out of his cage and jumped over a wall. LEGION OFFICIAL IS KILLED IN ACCIDENT Truck Rams cAr: City Man Dies; 5 Hurt. By Times Bpecinl RUSHVILLE, Ind., June 26. Struck by a truck while he was changing a tire in U. S. Road 52, four miles from here, James Earl Mitchell, 36, of 1114 North Butler avenue, Indianapolis, was killed today. Five other persons were injured, one seriously. Ray Monte Beville, 35, of 2029 Park avenue, Indianapolis, was sent to Robert Long hospital suffering from back and hip injuries. A heavy truck owned by the Bates Transportation Company and driven by Pat O'Day, Chicago, crashed into the parked automobile. O’Day was arrested and held pending investigation. The others injured are Charles Meyers and Mrs. Mary Meyers, Columbus, 0., and Miss Martha May Meyers and Miss Lucille Hurd, Indianapolis. Mr. Mitchell was a finance officer for the American Legion and had been employed by the Legion three years. He is survived by the widow, Lottie Mitchell and a 4-year-old son, Robert. SECOND SON BORN TO GENE TUNNEY’S WIFE Infant and Mother Doing Nicely, Hospital Announces. By United Press NEW YORK. June 26.—A second son was born to Mrs. Polly Lauder Tunney, wife of the former heavyweight champion, at the New York Medical Center today. Gene Tunney’s first son now’ is 3 years old. The new baby and his mother were reported in excellent condition. The baby, not yet named, weighed eight pounds three ounces. ROOSEVELT RESUMES WORK AT WHITE HOUSE President Arrives from Hyde Park Week-End Vacation. By United Press WASHINGTON. June 26.—President Roosevelt arrived at the Union station at 8:45 a. m. today from Hyde Park. N. Y., where he spent the week-end. . He planned to go to the White House immediately, where a mass of important government business required his attention. The President w’as accompanied by Post-master-General James A. Farley. Times Index Page. Bridge 4 Comics 15 Crossword Puzzle 6 Editorial 8 Financial 10 Radio 16 Sports 12, 13 State News 6 Vital Statistics 10 Woman s Pages .4, 5

PAGE HIRED FOR YEAR,IS CLAIM I. U, Trustees Deny Former Coach Had 3-Year Grid Contract. Three Indiana university trustees testified today in federal court that Harlan (Pat) Page, former I. U. football coach, had been hired on a one-year contract and not a threeyear contract as Mr. Page alleged in his $15,000 damage suit university for alleged breach of contract. The trustees. Benjamin Long, Logansport; Judge Oro Wiledrmuth, Gary, and Charles M. Neizer. Ft. Wayne, said that Mr. Page had been notified by the athletic board of controls that his services were “unsatisfactory” previous to their failure to renew the contract. They further testified that the three-year term had been mentioned unofficially to Mr. Page, because President William Lowe Bryan would consent only to a one-year contract. Later the trustees testified they had approached Mr. Page saying that it would be impossible to grant a three-year contract. After deliberation, Mr. Page signed the oneyear agreement, the trustees alleged. They said also that they had criticised Mr. Page for angling for other jobs while serving the university. Coach Page testified yesterday that he signed a contract calling for a salary of $6,000 the first year, $6,500 the second year and $7,000 the third year as coach. However, alumni contributed funds which brought his salary to SIO,OOO, SII,OOO and $12,000 yearly, he testified. Asked if he knew it was a violation of Western Conference rules for a coach to receive “extra” money, Mr. Page denied knowledge of the rule. Mr. Page claimed that it was a “mystery” just where the money came from, but that it always was paid at a Bloomington bank. MACHADO IS LOCATED Cuban Fugitive Living on Farm in Santo Domingo. By United Press PORT AU PRINCE. Haiti. June 26.—Former President Gerardo Machado of Cuba, sought for extradition by the present Cuban government, has been located on a farm fifteen miles from the city of Santo Domingo, it was disclosed semiofficially today.

Extortion Suspect Bares Jackson Plot, Cops Say

Reeves Brown, 26-year-old printer indicted yesterday in a the Irving W. Lemaux blackmail plot, today confessed to detectives that he attempted two years ago to extort $5,000 from Chester Jackson, head of the Standard Grocery chain, it was announced at police headquarters. Detectives said Brown.' a resident of Beech Grove, admitted he threatened Mr. Jackson that if the $5,000 were not forthcoming. Mr. Jackson would die as did his father. Lafayette Jackson, who was shot down by Louis Hamilton and Vernon Witt in a robbery. Brown detailed intricate and lurid instructions for wrapping the money in red paper, going to the general delivery window at the postoffic£ for further instructions and getting the final letter from the casuier of a downtown case The threatening letters were

Entered as Second-Class Matter at Postoffice, Indianapolis, Ind.

Suit Asking $500,000 From Directors Filed Within Hour of Time Alvah J. Rucker’s Findings Are Presented Court. PROSECUTOR WILSON IS UNDER FIRE Officers of Closed Institution Accepted Funds While Knowing Firm Was Insolvent, Investigator Says. Conduct of affairs of the defunct City Trust Company was criticised severely in a report filed today with Circuit Judge Earl It. Cox by Alvah J. Rucker, special investigator for the court in bank matters. Within an hour of the time Mr. Rucker’s report was filed, ten directors of the bank were sued for $500,000 by Oren S. Hack, receiver, on the ground that illegally they had declared dividends out of the bank’s capital and reserve. Just before Mr. Hack's suit was filed, Judge Cox had assured Mr. Rucker, whose report also contained forthright criticism of Prosecutor Herbert Wilson’s action in bank matters, that it would be given to Criminal Judge Frank F. Baker, to Prosecutor Wilson and to the new grand jury.

DILLINGER’S CYCLE IS TOO NOISY—BUT HIS FRIEND WILL FIX IT

Herbert Ward, 22, of 105 Berry avenue, is going to have Hubert Dillinger’s motorcycle fixed—and it's not because Dillinger, who lives at 1410 Otterbein avenue, is the famous John's naif-brother. Ward made the mistake of roaring up and down Whittier place Sunday afternoon on Dillinger's motorcycle with an open muffler. Patrolman Charles E. (Battling) Halstead w’as dozing in his home, 16 Whittier place. He didn't like it. He told Ward so and Ward said that, policeman or no policeman, patrolman Halstead couldn t arrest him because he was off duty and without a budge. Then, when patrolman Halstead went for the badge, Ward left. Patrolman Halstead swore out an affidavit and haled him into court today. Howard Bates, municipal judge pro tern., fined Ward $2 and costs and then suspended sentence on the provision that Ward repair the motorcycle and show it, repaired, to patrolman Halstead. FACTOR IS RELEASED IN SWINDLING CASE England Must Rearrest Him on New Warrant. By United Press CHICAGO, June 26—John (Jake tb- Barber) Factor, wanted in England on charges of swindling British investors out of several million dollars, today won his release from the Dekalb county jail at Sycamore, 111., on a writ of habeas corpus. Th' writ was issued by Feden'l Judge Evan Evans under a rp<-°nt federal court ruling that a warrant for extradition must be served within sixty days after a defendantv s arrest at the request of foreign authorities. The action of Judge Evans made it necessary for British*authorities, if they continue their efforts to return Factor to England for trial, to rearrest him on anew warrant. PROMISE SHOWERS TO 1 RELIEVE TORRID SPELL Weather Bureau Predicts Storm for Locality. Relief for the humid atmosphere which has choked Indianapolis the last two days was promised today with predictions of thundershowers today by the w’eather bureau. Humidity rose 9 per cent above the normal this morning, and this, coupled with high temperatures, has stifled Indianapolis recently. Cooler w’eather tomorrow w’as predicted by the w’eather bureau.

written crudely on brown wrapping paper, similar to the letters received by Mrs. Lemaux threatening the life of her son, Irving Lemaux Jr. The Jackson extortion plan never was consummated. Brown confessed, because he was unable to place the final letter. Mr. Jackson, however, drew $5,000 from the bank and followed the original instructions. City detectives co-operated with Mr. Jackson and patrolled the vicinity of the case waiting for the extortioner to place the final letter. Six menacing letters were sent to Mr. Jackson before he was instructions for the delivery of $5,000 Brown is alleged to have confessed. Brown was indicted yesterday by the federal grand jury and faces a severe prison sentence. If convicted, under the new Lindbergh kidnaping statutes.

HOME EDITION PRICE TWO CENTS Outside Marion County. 3 Cents

The charge that the City Trust Company continued to accept deposits after its officers knew it was insolvent featured Mr. Rucker’s report, which will be supplemented at a laer date. Affidavits did not accompany the partial report Mr. Rucker says, “because it appears useless and for the reason that the prosecuting officials now have our former affidavits executed for the Meyer-Kiser cases, which may be used as a form should any desire.” Praising other prosecuting attorneys of Marion county for doing their duty, the special court prober points out. “I have high hopes that Mr. Wilson (the prosecutor) will turn seriously to tnese bank frauds and uphold the true traditions of his office. “Should these hopes fail,” he adds, “as so often is the case when rested on public officers, justice need not fail. The judge of the criminal court has taken his solemn oath to uphold the laws of the state. Upon him is the duty to see that justice is not thwarted by any man. “The prosecuting attorney may be superseded in cases where he refuses to prosecute as the law requires. The people are not helples3 before the whim of a two-year politically elected officer.” He explains in his report that a special prosecuting attorney may be appointed by the criminal court to prosecute the case. Funds Dissipated, Is Charge In charging acceptance of deposits while the bank was in an alleged insolvent condition, Mr. Rucker says: “Trust funds . . . were dumped into the bank’s general fund, never kept intact even when required by court decree, were dissipated into thin air with practically a total loss to widows, children.” “There may be.” he continues in the report, “a small dividend to depositors, who, on Oct. 23, 1930 (the day the City Trust closed its doors), had $1,770,672.33 deposited with this ompany, but it seems probable that the GREAT BULK of all deposits are lost, never to be returned.” Mr. Rucker’s report attributes the major portion of the failure of the City Trust to the City Securities Corporation, a subsidiary. Assails "Wildcat” Banks “The history of this trust company seems to be the general history of all bank failures in this city. None of our carefully managed banks, with perhaps rare exception, have failed, but are today in excellent shape. We have demonstrated before our eyes that it is the wildcatting banks which fail . . those banks whose officers or some of them, are so greedy for money, power or ambition that they ignore the sacred rights of depositors and beneficiaries of trust funds and launch . . into pipe dreams, but using the depositors’ money for the finance of their speculations. “This is not banking business,” adds the report to the court, “but direct violation of the law.” Mr. Rucker points out that stale bank commissioners are paid salaries to prevent this very thing. Hits Bank Commissioners “With entire kindness, one may truthfully say that it was a grievous fault in the bank commissioner’s office not to call a halt to these speculative investments and improper conduct of the City Trust Company and others, years ago,” the report says, as it charges again that trust funds were “shoveled” into commercial accounts. Officers of the City Trust at the time it closed its doors were, according to the report, Dick Miller, president; H. O. Garman, vicepresident; E. H. Richardson, vicepresident; J. D. Peterson, vice-presi-dent; D. A. Murphy, vice-president and secretary; C. Milton Kelly, vicepresident and treasurer; K. E. Smith, assistant secretary; E. W. Davy, assistant treasurer, and Justin Forsyth, auditor. “It was not hard luck or hard times that broke this bank," declares the report. “Illegal practices and wildcatting closed its doors.” Mr. Rucker points out that in a recent suit in Johnson county by creditors and depositors against stockholders that the court held that tne bank was insolvent and (Turn to Page Three)