People's Pilot, Volume 4, Number 13, Rensselaer, Jasper County, 14 September 1894 — THE PLANKINTON BANK. [ARTICLE]

THE PLANKINTON BANK.

Sensational Disclosures Made Regarding Its Failure. Milwaukee, Sept. 12.—There were more sensational developments Tuesday in regard to the manner in which the Plankinton bank was managed, and no less a personage than Judge James G. Jenkins, of the federal bench, is very much involved. The national notoriety gained by Judge Jenkins by reason of the famous Northern Pacific strike injunction, and his general attitude in relation to Northern Pacific and other corporations will make this disclosure of national importance. The minutes of the directors’ meetings held just previous to the failure of the hank were read in court by ex-Congressman La Follette, and they clearly demonstrated that Judge Jenkins was not so ignorant of the way in which affairs were being managed as his friends and attorneys have maintained. The bank failed in May, 1893, and the records show that April 24 a meeting was held and upon motion of Director (Judge) Jenkius, Lappen was accorded an overdraft of $3,000 and given a certificate of deposit for three months of $15,000. Long- before the failure Lappen & Co. were under examination, but Director Jenkins was always found on the side of the big borrower and his friend, President Day. Meetings of the directors were held April 8, 7 and 10 and in each Judge Jenkins took a prominent part. Instead of being a merely figurehead director, as his friends have claimed, he was very much interested in the management of the business. The disclosures cannot fail to cause a sensation, and Judge Jenkins will again appear before the public. Among the witnesses examined was SI. Fichenbnrg, who was a member of the committee of five business men who overhauled Lappen’s accounts. He thought Lappen’s account of $285,000 was worth hardly SIOO,OOO, and that the $143,000 worth of Buffalo mining stock was worth less than $15,000. The case against the indicted bankers is being vigorously pushed now, and it is the prevalent opinion that the district attorney has finally got evidence in his hands that will be extremely difficult for the officers of the bank to overcome. A desperate effort was made about six months ag-o by ex-Senator Spooner, as the attorney for Judg-e Jenkins, to save the jurist, but the district attorney cleverly dodged the blow with a nolle pros. As it stands now Judge Jenkins maybe tried for complicity in wrecking the bank.