The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1869-12-29
THE OLD STORY.
The Latest DefaIcatiOn in New YOrk--The
mt Least y 10000.

MfrsGsnIs;' EISSS%hse National Bank Loses
From the NJ Y Sun Of this morning.
An extensive defalcation has been discovered
in the accounts of the Merchants Exchange Ma
tional Bank at No. 257 Broadway, owing to the
peculatons for two years past of Edward T.
Oakley, cashier of the institution. The amount
alleged to have been distracted by him is
$l50,000, and the mode of concealment was the
making of false returns in the books. OF these
his position gave him entire control, and his
frequent perusal of them at his own desk, rather
than at those of the different bookkeepers was
far more constant than was customary with
bank cashiers.
aroused last week, and for several days and
evenings examinations have been carried on
until n late hour by Mr.. Calender, the Govern
ment examiner. 1t is hoped that in two or three
days the full extent of the loss may be ascer-
tained. 1t may be much more than the sum
stated. The capital of the bank is 81, ,235, 900,
and the last quarterly exhibit on the 9th of Oct.
showed surplus Of $2l5,45S The last half
yearly dividend was per cent.
Oakley does not deny the charge, and Is daily
at the bank assisting in unraveling the maze
into which the accounts have been drawn. Con-
sidering his readiness to acknowledge his fault,
and taking into view his long services, he may
perhaps escape prosecution, especially as no
chance exists of recovering more than the
moderate amount of his security, which may be
$4,000. The President Mr.. Samuel f. Sproulls
processes not to know the amount or the names
of his sureties.
Oakley entered the bank as junior clerk
thirty years ago, and after PassiHg through
various grades in rotation, became cashier in
1852. His salary, until recently was $4,000, but
has been raised to $1,000. He is married, but
childless, and lives in handsome style at No. 206
w. Thirty-fourth street In the summer he re-
freshes at Long Branch. He is temperate, and
his business capacity is good, but he has never
been popular with the clerks under his control,
on account of his ill-natured bearing toward
them, and his frequent suspicion of their in
tegrity. His age is forty-eight.
The money purloined by him is stated to have
been lost in stock operations in conjunction with
his brother Cornelius Oakley, tobacco manu-.
facturcr of Water street, who failed on Monday
for large amount. He overdrew his account
in the bank by several thousand dollars on that
day with the concurrence of the cashier.
1t is asserted that upon the rumor leaking out
last week of the defalcation, the President,
when applied to, Indignantly denied all know
ledge of it. Mr.. Fisk, of the firm of Fisk &
Hatch. on receiving reply of this description,
threatened, unless information were given him,
to denounce the rumor of defalcation in the
mercantile and banking community as fact.
The President, it is said then confessed to a few
small Irregularities" The evening newspaper
announcement of his reply he excitedly denies,
as also the story that Committee of Bank Pre-
sideuts called upon him for a statement of
affairs.