The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1869-12-23
THE HOWARD (sOsrsS) BANK AFFAIR.
How Moncyed Institutions Are Conducted.
from the Boston Advertiser, Dec. 22.l

from the Boston Advertiser, Dec 22.l
Mr.. Ransom ana his ass STAINS nave completed the
examination OF the accounus OF the Howard National
Bank and nnd thai there Is discrepancy between
the books of the bank and the actual amount OF
cash Of 500 OCT. the manner IN which the deficiency
occurred Is Still mystery out there appears to DO
no doubt that the bank has actually lost the amount
OF money above mennoaed; bat how, when and
through whose means Ii still 10 be ascertained.
Mr.. RANSOM and hr. Lennon, the president OK
the bank, had long interview with Mr. Mack
intosh. the bO0kkeeper, ut his residence
few evenings since. TIE hookkeeper denies all
knowledge as to where when or how the deficit
occurred. ana states that he never has taken cent
OF the money or aided any one else TO. Aguty man
might easily say ss much, yet his honesty OF pur-
pose being stil undoubted by those VINO know him,
his statements are believed to he true even although
1t appears to be difficult To understand why he should
have pursued the course tie has In the regular
course OF MS duties he had nothing to DO with
handling the funds OF The bank. tie acknowledges
having known OF the discrepancy between the books
and the actual Cast In the bauk for about SIX years.
and his wife has known It about nyc years. At nrst
he thought 1t InlghC prove 10 be IN New
YORK account whlcI had not Deen verined,
but time passed wlthout his being able
10 ind the error, and dreaninR to expose the cond
ton OF his books TO the bank officers ne mas covered
the matter NJ DAY af5cr day and year after year IN
the individual depostor,' or 0taer ACCOUNTS. hoping
TO discover at last where the trouble was. One or
two small errors were found by Mr.. Kansom's ex-
animation. showing rather directive bookkeeping
but nothing 10 indicate designed error. Win TINS
examination Mr. Ransoms iapor In the affair ends
but the directors OF the bank who are men OF high
character. are pursuing the investigation with the
determination Oh asceriaining where and how the
HTeVularIy began. inc UuOhhcpcr nus ocen Cum
nected with the bank aUont hftesn years, and the
examination WIN probably nave TO 20 over the
accounts OF tnat long period and perhaps be car
RED sun further. 1ne bank eapita il oil right
ana there Is stu surplus Oi $4,000 over the
amount winch has NJ mysteriously droppci out.
some surprise having been expressed that although
this discrepancy IN the accounts OF the bank has ex
listed Tor i've or Six years IL not been discovered
In prevo Gus examinations IL Is proper TO state THAT
until this year the examiner ms had no authority to-
verify the accounts OF deposltors, knowing which
the bookkeeper was enabled TO cover uD Ia this ac~
count the amount Of the deficiency. fhls shows the
advantages OF the new system OF examinations and
IL IA OF the utmost TO stockholders and
all concerned that all irregularities should be dis
covered as early as possible measures taken by
the examiner to insure the correctness Of accounts
should receive the active cooperation OF bank
Oflcera.