Show r BERN DEMANDS RESIGNATION OF 0 HAD 0 LOG LOCK K Charges State tc Commissioner With Viti Failing Falling To Meet Demand For Cutting Costs of Liquidating ing Failed Banks At the request of or Governor George H. H Dern Walter Vatter H. H Hadlock Hadlock Had- Had lock state bank commissioner for forthe forthe the past four years is expected 0 to sever his connection with that office today If he does not respond t to the k I governors governor's formal request for his as is expected the state law gives the governor InU in inthis U this Is case the power of removal at the pleasure of the governor The request from the governor followed ved developments at the Se Second See Sec ond district court at Ogden Wed Wed- Hearing is 12 being held there on the petition of 0 Mr Had- Had Hadlock lock as commissioner and R. R S. S J Jones ones as examiner in charge of the Ogden State bank for approval al of salaries and expense bills to totaling totaling to- to The request was delivered to Mr Hadlock V Wednesday night In writing in the following language Dear Mr Hadlock I have been very carefully watching the proceedings in Judge Barkers Barker's court in Ogden yesterday and today I have been astonished astonish astonish- ed by some Borne of the disclosures which are arc at variance with my past understanding of the conduct of your department I regret that for these reasons and also for the more general reaBon reason rea rca son Bon that you have not seen fit to comply with my repeated request for reduction of liquidation expenses expenses expenses ex ex- ex- ex in failed banks I feel impelled impelled impelled im im- im- im to ask you for your resignation resignation resignation nation as state bank commission commission- er Cr r Since the hearing at Ogden in inthe the court of Judge George S. S Barker Barker Barker Bar Bar- ker opened the governors governor's secretary secretary secretary secre secre- tary George C. C Sutherland has been a constant attendant at the trial The governor himself was present for half a day but nothing nothing nothing noth noth- ing of final effect occurred during durIng during dur dur- ing that period I Wednesday it developed that Mr Jones as examiner has been receiving receiving re re- re- re the flat sum of monthly monthly monthly mon mon- for his service The commissioner commissioner commis commis- testified that this was di divided divided di- di vided salary and for ex ex- I Mr Jones was under the impression he said that the amount amount amount a- a mount was divided for examiner examIner examIner exam exam- iner of the bank and as examiner examiner ex ex- for the trust department In any event it developed that Governor Dern had been told frequently frequently frequently fre fre- fre- fre by the commissioner that t L Mr Jones' Jones salary was a S month I The situation brought out the I fact that under the state law and 7 as a matter of practice the matter matter matter mat mat- ter of the tl selection of examiners to take charge of banks in receivership receivership either elther as to the number of such examiners or other or as to the number or salary of their attorneys or other necessary help docs does not come before either the governor or the state board of examiners The latter board I f must approve the selection of practically practically all other state 1 L c s and also the salary paid to each |