Eighteen months after the failure, Oscar L. Telling, the former president of the First National Bank, and Francis H. Richard, the former cashier, were indicted by the Federal Grand Jury on twenty-three counts charging them with misappropriation of the funds of the bank, abstraction, false entries in the books, etc. A bench warrant was immediately issued for the arrest of Richard, who was placed under bond to await trial.

Telling, the other defendant, went into hiding immediately following the closing of the bank, and later fled to Europe, where he remained a fugitive from justice until after the trial and failure to convict Richard, the cashier, when he returned to this country. He never was brought to trial, as the ruling of the court in the Richard case made it impossible to secure a conviction.

Telling, a few years before becoming president of the First National Bank, was a clerk in the office of the Comptroller of the Currency. He was transferred from a clerkship in the Mint at Denver in exchange for a stenographer in the Comptroller's office who desired to remove to Denver on account of the health of his child. Telling ingratiated himself into the confidence of Mr. Murray, when the latter became Comptroller, who appointed him a national bank examiner. His record as an examiner was a disgrace to the service, a discredit to the Comptroller's office, and a reflection upon the Comptroller who appointed him.

On July 9, 1913, immediately after the Acting Comptroller returned to Washington, he had a conference with Assistant Secretary Williams in regard to the situation in Pittsburgh when he left, there, and Mr. Williams inquired of him whether he knew of any other bank that was in as bad a condition as the First-Second National of Pittsburgh. The Acting Comptroller advised him that there was a bank in Washington, right under the eyes of the Treasury Department - the United States Trust Company-the capital of which was known to be badly impaired and the condition otherwise very unsatisfactory, and had been for a long time. Mr. Williams then remarked that he did not think it advisable to stir up any further trouble at that time.