The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1869-05-27
HEAVY DEFALCATION.

Wall street Experiences Another season Of
Excitement-A banking Firm DecamD with
Wall street has received another sensation in the
shane OF defaulting business men; but such things
have ceased TO be novelty, and therefore the tte
stir they cause is forgotten, except by the VIC
tins of the defaulters The Messrs. Scott Munsen
have been engaged in the storage business for
little over year, during which time they had ac-
qured the confidence of many OF the most promi-
nent business men. They occupied six stores on
the north pier of the Atlantic Docks, Brooklyn,
and had their office at No. OF Wall street During
the last two months they have had an unusual large
quantity Of grain in store most OF it the property of
grain merchants of this city. Last week the firm
sold large quantity of grain, ana also delivered
very large quantity, which consisted in part Of the
grain owned by other persons who had sold It. IL is
supposed that the fraudulent sales of grain have
been carried on for some weeks. Several OF the mer
chants who owned grain on storage had effected
loans on it through the United States Warehouse
Company and the New York Guarantee and lndem-
nifty Company. When the agents of these compa-
MES visited the stores to inspect the grain, they
were shown grain that said to belong TO the
merchants e1ectng the loans. Whether this
was so or not matters not, as every bushe
has been sold by the dishonest hrn, and the pro-
Ceeds gone no one knows where. The abOve-named
companies do not lose ANYTHING by the defacatiOn
as they are secured by the persons to whom they
made the advances. The loss in these particular
instances is about $4,000. Several merchants how
ever, have lost considerably by the dishonesty Of the
abscohding pares but details of their losses can
be ascertaned, as they positively refuse TO make 1t
known. The heaviest loser is Mr.. Van NOstrand,
the well-knOwn confectioner This gentleman was
formerly partner with the Messrs. Scott Munsen,
and mad the most implicit confidence in them. He
states that he formed COpartnership with them In
order to establish a good business for his brother
in-law, who was then under age. Shortly after the
copartnershp formed, the brother-n-aw
died, and Mr. Van NOstrand having every confidence
in the integrity and honesty of Scott Munsen,
left with them the 100000 he had put into the bust
as capital. He also made himself responsible
for the rent of the stores, and in every way helped
the firm to become established on solid basis. The
sequel shows their base ingratitude to him and
others who placed confidence in them. No intelli-
gence OF the whereabouts of either Scott or Munsen
has yet been published. Mr.. Van Nosrand has OBJ
tanned warrant for their arrest, but has
taken no active steps to effect their capture.
He states that before he engages detectives
to hunt them up he will, if possible, ascer-
tain whether they have the money with them or not,
as he thinks he has lost money enough already,
without going to any further expense unless
there is possibility of his getting back some of that
of which he has been defrauded. They were both
seen on the street on Saturday. and it is thought that
they left by late train Saturday night, nothing
has been seen of them since that day. Both were
young men and Of unblemshed reputation previous
to the defacation Scott is married man and was
formerly for many years clerk with the Messrs.
Laimbeer, Pinto Il Co., storage merchants, Atlantic
Docks. Munsensis unmarried and was clerk for
many years at the Atlantic Docks with Mr.. Green
leaf 1t is believed that they tempted to engage
in the fraudulent sale of grain in consequence Of
having made lately several unfortunate specula-
tions which very much embarrassed their business.