The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1859-03-13

this other business Intelligence reached The public of
Mr. Chittendens failure Therefore proceeded once to
to me. When arrived at Mr. Chttendens s office
found number Of persons there with none Of whom
was acquainted except Mr.. Bliss at inquired of
him as TO the exsn Of the failure, the osscs liabilities
&c and also as to my own danger Of oss An arrange.
ment was made for meeting between Mr. Chittenden
my attorney and myself t which, my impression is Mr.
bhss was present), with view to q settlement. The
balance then due me was, my impression s sS5 o0o for
which Mr. Chitenden protested he could give bet
ter security than the foowing:-
Noe Noe of ot Topefi per- D. WA W 3o2 10
Notc VI h. ieCk, new YORK. 5000 90
Note Of J. b. Dee, Jancsvjlie Wisconsin 1000 90
Note Of A. Hyatt smith, GAINESVILLE, Wisconsin. 5000 90
No;o po 90, sp., do DO. do 1902 Is
DIaft Of G. Campion, J. P. Reznor.. ..... 5000 90
Note Of j. f. Beebe' OBSERVATION-DISCLOSURES. 750 90
Total =. .s3s, ,s5e As
paid and they adding nothing TO the probability Of i'm
provement In their value proceeded such Of the
parties seemed Indifferent to the payment of their ob
cations Mr. Peck, banker, insurance agent &c. whom
understood to be abundanty able TO pay when took his
Dote failed and then generally understood to be
hopeessy nsoven but willing to apply his assets to the
liquidation Of his Indebtedness Considering his ut
tery worthless, accepted the securities which
learned other creditors willing to receive and sur
rendered his note for sixty shares Of the Chicago St.
papl ara FOND du herewith handed to the At
Mr. Robert j. Walker declaring his inability TO nav his
note and ming that with moneyed the same was
considered TO be OF very doubtful value received from
him, in lieu Of his note, through agent 81 600 Of the
stock OF the Chicago Land COmpanythe certificate for
which shall as speedily possible place the posses
Sion Of the Attorney General.
In the Of his operations Bresn connected him.
self with the Kama ha Bank of Virginia. and the Com.
meica Bank of Toledo; in both these transactions he
tried to swindle the State pretty extensively The pur
chase Of the Farmers and Mechanics Bank of Green's
boIo', IN Maryland, involving the Of 1000 or
sI7ee ii money! was maze by Bresn after he went out
Of dihce.
Not alone in Maryland, Virginia. Ohio aud Indiana was
Mr. Bfesn contert to invest the idle funds of the State
Activity vas the life Of business with him In conunc
on with John Camp and Charles L. Johnson, therenp-
on he established the Ekhart County Bank Goshen In
dana.
The history Of the Elkbart Bank shows the Infamous
manner IN which Wild cat banking was carried ON in
every part of Indiana. But small advance OF money
was necessary; only requisite that the State
cbase Of State stocks aud ultimate protection 10 the
rags 100000 North Carolina bonds bought
through Atwood and Co.. and 100000 through
Corning Co.. New York, and altogether about S400 900
were Obtained, consisting Of Indiana ~ per cent and
North Carolina Virginia and Louisiana bonds and about
hank we're ever located Mt Goshen.
Biesn ackgowiedges he has yet under his control and
IN the hands Of three parties whom he declines to nae
$500 coo of te distracted moneys AS this sum is not
In money, IL proper watctulness is observed 1t in
part be obained Tor 1t is impossible for Mr. Besin and
hs three parties 10 close all the doors Of observation
discovery THIS portion Of the report thus concuies-
uch the secret and confidential nature is move
that they defy scrutiny In the hands or
the control OF three parties only admits he has
concealed about $500 900 Of the known efacaton the
acknowledged property OF the State"
WI II. GIBSON, DEFAULrING TREASURER NO. g.
That part Of the dea'caton which duplicates Mr. Glib
son ia Of difficult solution, yet he testimony taken,
GLIDING Mr. Gbsons own convcts him (say the commit
tee), as an accessory aud pi1cipai.o
1he books and papers Of the office show that $685.
treasurer to another and yet clerk in the office
any human being outside OF IT, must dollar, or even
its representative or be permitted know anything of
the conduct of these ueasurers who engaged an
official and not private settlement.
With the knowledge that this large amount due TO
the State from his predecessor and tnat TO him alone
4 I'M 'ouc he
guardian Of the funds Of the treasury and respon
sibe for their payment and security the people would
look Mr. Gbson as he says, receives from Mr.. Bresln
but 1858 So5 3d. and then asks for the balance
makes inquiry of what it consns, or where deposited
come Of il. but at once takes every step. in
conjunction with Mr.. Besin, TO coocea from the pro-
per authorities as well as the public, all knowledge
OF his losses and that he had not the slightest susp
con that thing was wrong that between his election
and the time he entered upon the duties OF his Office no
communication made TO him Of any kind which
him think even suspect that he was to aid Bresn
any in carrying any deficit his funds that
there would any difficulty bis closing his accounts
and paying balance found due, except the
amounts Of the suspended debts Of the City Bank Of Gin
cinnati Commercial Bank Of Toledo and W. w Cones &
Co., and d. BeckelS2C4 636 65wbich bad been sated
by Bresln in his last annual report suspended
He says he knew there were outstanding certificates Is
sued by Bres.n 10 ihe county reasures amounting to
57607l5 20, included In the sum OF SS55 S53 81 above
stated, which he bound TO receive cash their
6pa settlement and for which Bresln liable TO the
Sate and yet be demanded explanations from him upon
the subject did he seek any from other sources While
he has repeatedly in the moot solemn official orm re.
leased Mr. Bssin from all responsibility IT, and ao-
knowledged the receipt in full OF all moneys shown be
due from him. he has sworn that he received only part,
and referred TO his receipts and the acknowledgements OF
| his predecessor to sustain him,
The testimony Of Governor Ford 10 Gbsons cones-
sion Of investing with Bresn 500 900 Western lands
worthy of especial attention, proves conciusvey
existing connection between Gibson and Rrcsln for
their mutual protection. II an Dv,smen. OF this charac-
ter has in fact been made, prob lby with moneys
taken from The easury nnteoly either Immediately be-
fore or after Gibson became Treasurer.
GIBSON was q resident Of THIN Seneca county:
attorney aaw from 1874 TO 1855 President Of tho rn
and Fort Wayne Railroad Company from 1858 1856 the
Presdt OF the Seneca County Bank from 1854 to 1855
and Treasurer of the State from January Ia 1856 to
June 10, 1851 He was brother inaw Of Mr. Bresn--a
tcs they conndentaly intimate in ali their rea
TONS mutuaity of interests and desires for IN
business, and otherwise had cemented their relations
| degree not usually found TO exist.
Ar. Gibson was bold and INSCRIPTIONS aivcn.urer n
business; but previous TO the election Of Mr. Bresn a.
Treasurer IN 1851 had not reached any high point of sue
cess either his finances OF in his profession wltuesses
who bad known him intimately for years testified that at
he time OF Mr. Bresns election be was Possessed of bit
little property one Of them fixing 1t low SIS o0o An.
other, who had known him for iwon:y years, did
know of his owning any real estate outside of his fathers
| farm.
Yet this man, a single year, seems to have risen TO
the crate Of financial prince. We hear Of him Pre-
sident OF The Tn and Fort Wayne Railroad Company
organized Nov 9, 1862 and stakeholder In the com
pany to the extent OF 1000. Shortly afler Rrcsn bc
came Treasurer OF State would seem Gibson connected
himself with him and shared the spos. Hand In hand.
these interesting brothers nlaw invested In lands, bank
and railroad stocks and, in fact, in everything likely TO
pay good dividends
now FRAUD nxPLopED-1HE INSURANCE
| TRrrr COMPANY.
When Gibson became Treasurer hmsek, he felt bound
to keep the operation d his caiive secret He and
Bresn worked together to the interest the Sao
debt, and conceal the rsscay Of wch they had been
mutually guilty The object was, undoubtedly TO realize
enough from her Investments TO meet the demands of
the state. Unfortunately, however IN many Of their
speoulatons, every thing was destined 70 10 the
| light Like madmen, they rushed to New York cry
and resoted to the mort desperate mems 10 meet the
interest duo In July 1855. They tried TO raise money
at various banks and failed They borrowed fan John
Thompson $50 GOO on 600 Of domestic bonds heavy
these securities for Thompson, when no got alarmed and
| demanded back,hs cheek from Gibson n fsresn The
whole matter then exploded Tho treasurer was ony ablo
p'y $4,000 r $4,000 interest 70 the cashier Of the