Daily Iowa State Democrat. [volume] (Davenport, Iowa) 1856-1859, 1859-01-11

OteVci6uu ~f0HueuteT, OI tHc ctu Iust
1t would seem that Mr.. MMillen IL Q
"trump" in his way. We advise the
the Davenport Branch to keep its eyes
open for wildcat operators both insid'
and outside--Apropos--we would
like to know if Mr.. M'Millen is one
of those referred to bv the Iowa cor.
respondent OF Romans Bankers Mag
azine, as having large quantity o.
4Norai character and pecuniory re-
sponsiJtHty " Sand correspondent,
stated that great attention was given
to the guilty of the Bank Commiss
toner's.
Verify, Harrison's Branch Bank a,
Keokuk is some, according to all
| accounts
THE CANAL BANK FRAUDS.
The Cat out Of the Bag
"Button. button. who's got the Button. ''-.varseys
Hdys.
The official report of the Treasurer
of State has unveiled the rascally
transactions Of the late defunct Canal
Bank of this City, and shows that over
issues obtained by fraudulent represen-
tations has caused the depreciation OF
its bills and the coDsequ Mt loss to the
bill holders. We have long smelt
this rat, and are glad although at this
late day, to have hlm'smoked out. The
people are indebted to the vigilance
and perseverance of Mr.. Armstrong,
the Receiver, for this tit bit of infor-
nation. DR.. Ackley, it will be remem-
bered, when this Independent"
Institution shut down upon some
$4,000 Of his funds, took crow bar
and Slcdgc Hammer and walked
through the iron easement to IFS vault
But that was found empty as Mahom-
cts tomb. The money was out, and
the question then arose, who has
got the money" The question is
now answered fully and officially
Here is the extract from the Treasurers
Report relating to this subject
THE CANAL BANK OF CLEVELAND.
Since my last report it has been discov-
cred that there Is an overissue by this
Bank of some : S, 800. AS there was sur
plus IN my hands after reedeeming what
was legally outstanding, ! continued to re
deem these notes until the last dollar was
exhausted. There remains still unredeemed
aud for which / have granted certificates,
Sl3 500.
When this over-issue was discovered, J.
W. Armstrong, the Receive, visited Mr.
Breslin in Canada, to learn, if poss Bile, the
history OF this transaction. Mr. Breslins
version Of the matter, as learn from Mr..
Armstrong is this
A few months previous to the failure of
the Bark, a Mr.. M Jfiiier., Of Akron, who
was largely interested ir the Bank, came
into the Treasury and inquired if he, Bres-
lin, had received S5o,0oo of Ohio State
Stocks on account of the Canal Bank Of
Cleveland, and on being informed that no
such stocks had arrived manifested consd-
cradle surprise reuarking at the same time
that they had bought that amount Of stocks
of Messrs. Atwood Il Co., and had ordered
them transf red, aud forwarded to this office
Immediately, as they were in great want Of
circulation.
He requested Mr.. Breslin to have that
amount of notes signed, and registered, so as
TO he ready for delivery immediately on
receipt Of the bonds. Mr.. Breslin ordered
the Register to prepare the notes. The
next day Mr.. M-Nitten called again, aud
inquired if the bonds had arrived ami be-
ing answered In the negative, requested MIR.
Breslin to let him take the amount of notes
which had been numbered and registered,
SIS 300. that the bonds would certainly
arrive that day that Messsrs. Atwood d
Co. had probably sent their bonds to the
Bank of Cleavland, instead of direct to the
would send them Immediately on arrival
Relying on this statement he gave him the
circulation. but the bonds never came.
The Receiver thinks the books of the
Bank corrotorate this statement About
this time, the cashier, Mr. Severance, cred
tied himself as a depositor to this amount,
SlS,50O. Had he charged circulation ac-
count, as he should have done, it would
have shown a discrepancy between his cir
culatlon and stock account. Had he put in
circulation, without crediiing himself, or
somebody else, his cash account oud have
been over that amount. To avoid these
difficulties, like a very shrewd book keeper,
DESTROYS OF covering up very dirty trans
action. he credited the same to Mr.. Hewitt,
the President. After the failure of the
Bank Mr. Hewitt claimed this credit among
others, as an offset against his bills payable
and il was allowed him by the Receiver;
no suspicion of this transaction having ex-
listed at the time. Suit has been commenced
against the President to recover back this
amount. Should it be recov cred it will be
ample to meet the over issue, and leave