The Vermont Watchman

The Bradford Bank.

Two weeks ago the Argus and Patriot published a cock and bull story of irregularities in the Bradford Savings Bank, of losses incurred and dividends that would be passed. Only the too credulous, or the willingly gullible, or those who were uninformed as to its true inwardness, gave heed to the Argus and Patriot's sensational and slanderous tale. In justice to the institution and the persons assailed we republish from the Bradford Opinion the principal parts of its correct statement. The Opinion says: "Heretofore we have submitted to all kinds of abuse and slander at the Argus and Patriot's hands. The editor, Hiram Atkins, had forfeited all claims to journalistic courtesy, or even decency, years before we entered the field of journalism in Vermont. He had been compelled at the point of the bayonet to cheer the flag of his country and to retract vile slander under the sting of the lash. He was known to be an arrant coward and blackmailer: the friend and cajoler of the rich and powerful, the enemy of the poor and weak who were unable to defend themselves from his malicious assaults. Can we be censured for feeling unwilling to enter into controversy with a man with such a reputation well founded? Scores of times has he threatened to use the whole influence of his paper not only against individuals, but communities, for the sole purpose of bulldozing them into his servile support.

When this scurrilous paper sent its special representative to Bradford week before last, he did not interview any one connected with the bank management, but got what few points he had from a person who was turned out of the bank directory years ago, and whose judgment in financial matters (not the best at any time) is totally unreliable at this time, biassed as it is by his enmity towards the institution and its prominent supporters."

Of an alleged unauthorized loan, on insufficient security, made by the treasurer, and of Editor Parker's relation thereto, the Opinion says: "This bubble is punctured by the following official statement:

'The loan on Hotel Look Off, Sugar Hill, is one of the best loans the bank has. The loan was never over $20,000, on which semi-annual interest has been promptly paid. It is insured in staunch companies by local agents for $27,500 under the valued policy insurance law of New Hampshire, all which policies are now held by and payable to us. All the part Mr. Parker had in negotiating the loan was in introducing the proprietor, Mr. Noyes, to the officers of the bank. (Signed) E. O. Leonard, assistant treasurer; George W. Chapman, president; E. T. Smith, vice-president.'

Following is 'Mr. Arthur's statement:

'The Argus of last week published an article, purporting to come from its special correspondent, in regard to the Bradford Savings Bank and Trust Company, myself and friends, which is full of malicious insinuations, utterly false, and the source from which it emanated is very easily understood and not at all surprising to me, as it only follows the course that the Argus has used in opening its columns for the use of a few in Bradford whose object has been to pull myself and some of my friends down, if they possibly could do so; but Mr. Atkins and his confreres in Bradford may find out that they have overstepped their prerogative. Regarding the statement about the hotel at Lisbon, N. H., either the special correspondent or his wise counselors can not be well posted, to say the least, as the whole thing is false. True, the bank holds a loan on some hotel property, but not at Lisbon, which was taken after careful inquiries and examinations by the president, Mr. Chapman and myself, and considered at trustees' meetings. The trustees knew all about it, several of them have been all over it, outside and in, and consider it perfectly good security, as it is. As to 'the business through Mr. James S. Warden of Kansas City,' he is the largest stockholder of the bank, as he bought and owns the stock turned over by Messrs. Day, McDuffee & Co. on their retirement, and, of course, holding such a block of stock, would naturally be anxious for the success of the bank. Besides, the bank holds Mr. Warden's guaranty for a large amount, to protect them in case of loss on any of the securities negotiated through him, so that I do not see how any loss can accrue to the bank by or through Mr. Warden. Some slight loss may occur through the National Exchange Bank of Kansas City, in which this bank holds some stock, subscribed for after mature deliberation by the trustees, but the loss will not be a flea-bite. The correspondent, or his emissaries, also speak of my living expensively, which is too petty to notice, as all who know me and mine understand. I owed the bank on some paper, signed by myself, Mr. Chapman and others, which was perfectly good and is now paid, so that I do not owe the bank a dollar. Mistakes I may have made, as I confess I am not a machine—and who does not make mistakes?—but if any, they were errors of judgment and not of intention. The insinuation about some of my friends leading me astray and in regard to loans and overdrafts is childish, and the intention is perfectly evident. Any one who has done business at the bank knows full well that in business matters I neither knew friend or foe, Jew or Gentile, but treated all alike, in a straightforward, business manner, as my record shows in the business that has been worked up, the dividends that have been earned and paid and the surplus now on hand. Notwithstanding all the false slanders and insinuations, I have the consciousness of knowing that I have done my duty to the bank, its stockholders and depositors, as well as the knowledge that the citizens of Bradford and vicinity have entire confidence in the bank, its management, as well as myself, with the exception of a few men whom all despise, and whose sole aim and ambition in life seems to be to pull down decent citizens to their own dirty level. (Signed) George P. Arthur.'

The Argus and Patriot of last week had the following: "The last issue of the Bradford Opinion says that the Bradford Savings Bank and Trust Company will pay November 1st a four per cent dividend on the capital stock, but the state inspector of finance says he has, in accordance with power vested in his office, directed that that institution shall pay no dividends until its affairs are in different shape than they are now. Events will tell whether the Opinion or the inspector of finance knows best."

The Opinion published November 1 says:

"The Bradford Savings Bank begin to-day to pay their semi-annual dividend to stockholders of four per cent."

Coming to the points of real interest, the Opinion says: "What the citizens of this community wish to know, first of all, is: Has the capital of the Bradford Savings Bank and Trust Company been impaired by losses already made, or is it likely to be impaired by subsequent losses on loans in."