The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1858-05-08

FINANCIAL FRAUps-THE Ono LIFE AND
TRUST COMPANY The example which has been
made, in England, of the dishonest bankers,
Strahap, Paul q Bates. and the dishonest direc-
tors of the British Bank should without delay
be followed by rs in this country with regard
to the most outrageous of the swindlers who
precipitated the revulsion last fall. Strahan
and his partners, when last heard Of were
crossing the ocean in q convict chip, in compa-
ny with robbers, murderers and burglars. on
their way to his place of punishment the d.
rectors of the British Bank are now moving,
without the least prospect of success, for new
trial to relieve them from the disgraceful sen.
tence lately passed upon them for the frauds
committed upon their depositors and the pub.
lie. The acts coUmitted by these parties were
not one whit more criminal in themselves or
or more Injurious to the public than those of
the managers of several of our leading finan-
cial concerns-such, for instance, as those of
the managers of the Ohio Life and Trust Com
pany.
The failure of the Ohio Life and Trust Com
pany was not one of those disasters which may
occur to any financial or commercial house.
There was no known cause for the accident.
The managers could not, or at least did not tell
where the money had gone. Two millions of
paid up capital and probably as much more
in deposits and credits of one kind and
another vanished suddenly like smoke
leaving 70 little behind that it is even said that
the directors have been Inconvenience. Thou
sands of innocent persons, widows, orphans, and
people in moderate circumstances, lost all they
had in a single day, and have not the poor salts
faction even of knowing where their money
went. Thus far their complaints and their in
dignation have not ELECTED one single word of
explanation or reply from the managers. The
only public utterance from them has been
mutual accusations of the New York officials by
those of Cincinnati, and vice cersa.
Now if the words financial frauds" mean
anything, they must surely apply to case like
this-where people are robbed of enormous sums
without the least attempt being made to explain
or justify the spoliation. If there be any use
at all in laws against fraud these laws should be
brought to bear here. A more fragrant case
one of more marked aggravation, as well in re-
spect Of the victims as of the manner in which
they were victimized-has probably never been
known before.
This community owes ii to itself to make an
example of the managers of the Ohio Life and
Trust Company, in the interest Of commercial
honor and probity. What have they done with
the money which the widow and the orphan in
trusted to their cares It is gone, they say
then wheres Who has takenit? These ques-
tons must be answered; the safety and honor of
this community require that the subject be pur-
sued until they are.
We call, again, upon every person who was .
stakeholder in or q creditor ofthe Ohio Life and
Trust Company, to 60 before the present Grand
Jury-who are intelligent enough and willing
enough to lend their aid to the publication of
the atmosphere of Wall street-and to lay before
them all the facts they know in relation to the
failure of the concern. There may yet be some
remains of its enormous wealth hidden away
somewhere, which o thorough legal examination
would bring to light. Even if there are not, it
will be satisfactory to ascertain what became of
the lost millions. But higher motive ought TO
operate than these-namely, the duty which we
all owe to society to aid in arresting and
Furnishing fraud. The arrest, trial and punish
ment Of some prominent flnanciers for the
frauds which must have ruined the Ohio Life
and Trust Company, would operate admirably
on the pulse and conscience of Wall street, and
would secure us against other failures of the
same kind, at least until they were forgotten
So we repeat our appeal to all sufferers by the
failure of the Ohio Life and Trust. Come for
ward, gentlemen, and make your complaints to
the Grand Jury.