The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1873-09-18

Highly Interesting Account Of the Treasury
psfalcations by the District Attprney-What
tho Trust Company's Money by
tho Trustees-sprague's State
ment to Alderman Ropes
Conflicting Stories.

Tho Treasury defalcation and the arrest of
Sprague, coupled with the revelations OF the late
deputy OF the latter, M. 7. ROdman continue to
excite public interest In Brooklyn. District Attor-
ney Britton, to whom the press is indebted for the
revelations made yesterday, in the published con-
fession Of Rodmsn eliminating ex-Treasurer
Sprague, desires to make few corrections In the
original statement OF the robberies. Mr.. Britton
states that 1t was an error to say that Mills agreed
to divide the interest on the loan Of $4,000 made
to Pruyn with Sprague and Rodman. Mills sug-
gested the loan, as he expected to get the money
back from Pruyn as loan. Sprague and Rodman
were TO divide the interest between them
The loan on the JEFFERSON car stock was not made
to Smith Baker, but to George O. Hall, OF this city,
now deceased With him Sprague had large busi-
ness transactions, and the loan was for their
mutual benefit. The loan to the Hope Mutual Life
Insurance was not $4,000, but $1,000. Mr., sprague
did not purchase $1,000 worth of Prospect Park
Club stock; 1t was bonds that he purchased.
Among the loans which did not mention yester-
day was one to George G. Hall OF $4,000. 1t was
really Tor the benefit OF Sprague and Hall together.
Sprague bought with city money $4,000 worth Of
Erie Junction Railroad bonds, ana these securities
he afterward used to borrow money from the
banks in order to cover his deficiency to the city
treasury There was q loan made to the Jefferson
Car Stock Company Of $3S, 900, for Sprague and
Halls JOINT benefit. which is still unpaid. On the
purchase Of his house in Willow street he Sprague)
paid $4,000 taken from the treasury.
There was loan made on Willimant1c Railroad
bonds Of $50 900, at Mills suggestion, which subse
quently Rodman took and assumed to pay, he hav-
ing purchased the contract to build the road. All
these loans were made, with one exception. upon
collaterals, and the operation really was
FRAUD UPON THE TRUST COMPANY
as well upon the city, because 1t was money that
should have gone into the hands OF the company,
and they would have had the right TO use 1t. And
In this connection let state, what said before,
that there is not particle OF evidence tending to
show that any other person than these three,
whether connected with the Trust Company or
otherwise, had any knowledge that the city
money was being misappied. There were
some other small loans made OF city moneys
by sprague and Mills, but which, 30 far as l
can discover, have not been made TO any
public man, and are not of any public interest
In this connection, however, let me say that
made a mistake yesterday in saying that knew
of no instance in which Rodman had got money
directly loaned for, his benefit That was not
strictly correct. There was one loan OF $4,000
made to Rodman, on q note, but which Rodman
transferred to sprague, Sprague assuming the obi.
CATION. There have been extensive rumQrs anQat
to the effect that among other loans fpede by the
trustees 1 think 1t proper TO publish the facts
which have come to my knowledge in that respect
30 that, the facts being known, rumors may be
ended.
LOANS TO TRUSTEES.
October % 1872 E. Bears, benefit Of l. Hustled $4,000
September IL, ls7l L. Bears benefit of $. l.. Hus- o