Business & Finance: Footing the Bill

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Partly this is because suave Mr. Steuer is a strong Tammany man and Mr. Kresel is Tammany's vigorous opponent. In the midst of his attack upon Tammany's Magistrates, this indictment was brought against him. Promptly Mr. Kresel resigned his post as investigator of the courts—score one for Mr. Steuer and a breathing spell for Tammany which had Deen severely discomfited through the attack upon its Magistrates. Enemies of Tammany saw partially in the fact that the City Government had acted so emphatically against the Bank of United States in comparison to its attitude in the failure of City Trust Co. two years ago (for which a Tammany Magistrate, Judge Francis X. Mancuso, has not yet stood trial).

But it was not mere political enmity that made the air vibrant between Mr. Steuer and Mr. Kresel. Sixteen years ago, in 1915, the late Abraham Lincoln Erlanger (theatre magnate) accused Mr. Steuer of blackmailing him in the trial for breach of contract brought by an actress. After the accusation Mr. Kresel brought disbarment proceedings against Mr. Steuer. Mr. Steuer was not disbarred but he may not have forgotten the incident. Today Mr. Kresel is counsel for the Erlanger estate, defending it from the claims of Charlotte Fixel (who asserts she was Erlangers common law wife) and Mr. Steuer is Mrs. Pixel's lawyer—another reason why the Erlanger incident has not been entirely forgotten. One more point of contact between the two gentlemen is that when Mr. Kresel became counsel to Bernard K. Marcus he succeeded Mr. Steuer in the post. If Mr. Kresel ever takes the witness stand and Mr. Steuer turns to him and purrs: "Now, Mr. Kresel, will you tell us. ..." no pins will be heard dropping on the courtroom floor.

Salvage.Last week a proposal was made to the head of the New York banking department for a reorganization of the bank under another name. The plan is understood to propose giving depositors 70 in cash and 30% in stock of the new bank so that payment would in effect be made 100% on all deposits.

The plan was offered by Samuel P. Rosoff, wealthy subway contractor. It was drawn up by the legal firm of Satterlee & Canfield. Herbert Livingston Satterlee is a brother-in-law of J. P. Morgan. The member of the firm who drew the plan was David M. Milton, son-in-law of John Davison Rockefeller Jr. Neither the young Jewish banker who brought the Bank of U. S. to glory and destruction, nor his methods were ever given much countenance by the higher financial community. If the proposed reorganization is carried out, the bank will pass apparently into another circle of financial society.