BANK DIRECTORS

Nelson Evening Mail, Volume LXXI, 14 January 1938, Page 5

BANK DIRECTORS

SENTENCED IN BELGIUM IMPRISONMENT AND FINES I United Press AnNoeialion —By Electric I elegraph—Copy right] BRUSSELS, 13th January. Henri Barmet, brother of Julius Barmet, the Ukranian financier who was recently extradited from Holland at the request of the Belgian authorities, and died suddenly in his cell, was sentenced to four years’ imprisonment, Gyselinck to five years, and Lowenstein to four years, and each fined 14,000 francs and declared bankrupt on charges of banking irregularities. The accused were bank directors.

It was reported on 26th October that the Van Zeeland Cabinet had resigned. The crisis had arisen from the internal affairs of the National Bank, but was not associated with financial difficulties. One of the reasons for M. Van Zeeland’s action was his determination to be free to defend himself against attacks by a section of the Press. In a broadcast talk in which he gave the reasons for his resignation, M. Van Zeeland blamed a campaign of calumny against the unity of the Government against which it was impossible to work successfully. The attacks had continued, and they had finally arrived at the incident of the National Bank. “I do not remain indifferent to these attacks,” he said, “because they concern a great establishment to which I have belonged for 15 years. They must be cleared up quickly, and by resuming liberty of action I will assist in doing so.” At his own request, M. Franck, Governor of the National Bank, was granted three months’ leave of absence. He intended to devote the time to defending his honour against attacks. M. Van Zeeland’s opponents, among other allegations, said that the National Bank negligently discounted accommodation bills and other doubtful documents presented by the Goldzieher and Penso Bank, which had gone bankrupt with big liabilities.