New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-09-27
A KEW-JERSEY BANK RUINED.

THE NEw-BRUNswTCK STATE BANK THE VICTIM on
IRACY-DIsAPPgARANCB or THE DE-
FAUIIING CASHIER AND THB PRESIDENT or THE
NEUTRALITY-SUSPICIOUS. CARPET COMPANy-WARBANis
OUT FOR THEIR ARREST.
Over three weeks have elapsed since the
rmored defalcatOn OF Greeneaf W. Appleton, cashier
OF the State Bank OF New Brunswick, thrc"
that little city into fever OF excitemeht'
Since then new developments bave estireV
changed the phase OF affairs, and on Thursday
the bank closed its doors Some Of the directors who
have Been deceived from tho beginning affirm tnat the
Institution has been. all ntents and purposes bsnk
rpt fer the last months. aud that the so-cied DEAL
cation has been one of the most enormous wholesale
robberes known IN the State Others beside the Tor
er cashier are said know about tho matter thar
they willing to disclose When 1t was known that
the bank had suffered loss through discounting paper
for the wBrunswick Carpet Company, the depoitors
were assured by John T. Ford, the President. Christie
pher Meyer by proxy all but two Of the directors and
several OF the stockholders that they would lose both
Ing and since then it has been reported that James b.
Ford. son Of the President when no received the te-
gram from his father no. knowing tho extent Of the
amount involved. brought from NewYork about 100000
and deposited in the bank. Since then the depostors
have been drawing out their money. and Thursday
bundle OF checks, representing $4,000 sent
back from NewYork through the National Bank OF New
Jersey aud presented at the State Bank payment was
refused and the bank declared inability continue
Mr. Ford it is said ignorant OF the true state Of
affairs until his return rom Europe last Thursday and
the statement that he advances 5000 currency the
bank can resume payment declared Mr. Underhill
tho expert to be absurd az that amount would last
about 30 minutes.
1t also rum0red that OF the other directors
and stockholders would like TO have Messrs Ford &
Meyer, who both rich men. make the stock Of the
other holders good by advancing money This.
hnyN thaaa fha
involved IL heavy Mr. Ford thinking that he has
lost enough through the mismanagement Of the
bank, and Mr. Meyer demurring on the same
ground. The depositors have drawn recently s2500OO
all the banks currency, and although Mr.. UnderhPs
examination Of the books Is still unfinished the total
defalcation II 1t 49, will lie between $500 900 and
S6OOOOO John #. Ford. the President, has furnished
nearly s2OoOOO securities ALL aud Christopher Meyer
last March. the bank needed money, gave
$4,000 OF securities in stock OF tho Penn
sylVania and New-Jersey Railroad, which
loan OF $4,000 was negotiated through Henry Cews &
Co. OF NewYOrk. Mr. Meyer before he vent to Europe
called for the bonds and Mr. Appleton, then cashier,
told the directors that he keep himself strong In
money, and could not spare them
The Meyer Rubber Co. also lose deposit OF So 900,
most OF which falls on Christopher Meyer, and tho
Novelty Rubber Co lose deposit OF a few thousands.
The hole through which all this has slipped Is the
New-Brunswick Carpet Co.. and the directors, though
considered honorable men, are uDfanllar WIN Danhng
matters and have erred through ignorance in gv ng full
power tn a young cashier who became tool In the
hands Of Mr. Woodwork President OF the Company.
said by of the directors that all this money
could have been used in the Carpet Company, and
the Impression created by them that Woodwork and
Appleton have lost the amount either IN real estate In
vesmens or IN Pacific Mail spe culaOns. The books OF
the Carpet Company show that the bank owes that Com
pauy $4,000 and side 10 Is claimed that this was
a most COnsummate conspiracy on the part OF wood
worth and Appleton by which b9th the BANK ana Lhe
hand IL is claimed that MT Appleton could give strong
evidence against others. Gov. Parker was In New
Brunswck yesterday and requstion has been applied
for. for both Woodwork ana Appleton, VINO were re-
a1oIner SG mor had It that they mad sailed
for Europe. This story, however, was not believed.
Speedy efforts will be made 10 bring both to justice
The directors say did not think Appleton would
the ALL and that he escaped through some
bun cling OF the local police Woodwork VIII De charged
with conspiracy with the cashier 10 OBTAIN tne banks
moneys and il said have made IL his boast In New
York that he could oyerdraw the State Bank TO any
amount
AZ the ba nix Yesterday afternoon. 1t learned by
TRIBUNE reporter that the directors had decided that IL
wa Po9soe 70 ghbiIitv the ereditors wtIijsppiy
the State Chancellor for the appointment or re-
ceiyer and they do not legal statement Will be made
the first week IN October.
Christopher Meyer, who returned from Europe on sept
In conversation with the reporter last night sad ne
from the first strongly opposed the dlscounng Of
paper IDe Carpet Company beyond line VI $lOOD
and repeatedly urged the Board OF Directors that they
should look sharply after the COmparys oVerdratts.
will guarantee" he added. " that the Board or
Directors implicated in the defalcatOn-n0t one
Of them you can nnd more INQUEST et oi ne III Wv
country and the whole trouble lies IN too Implicit con-
fdence In the cashier
It was rumored in this city last night that warrants
were for the arrest OF the bOokkeeper, VINO, at
AppletOns request Ia alleged TO have falslned the
books. and also against the receiving teller VINO
IL implicated. These now IN New BRUNSWICK
Mr. Appeton's absence is explained by his friends on
ground that he IL suffering from acute consumption
and, he cannot raise $4,000 pail Tears that prlsOh
man W