The Rutland daily globe. [volume] (Rutland, Vt.) 1873-1877, 1873-07-22
Worse and Worse.

Additional excitement is caused in Brook
Ign financial circles by the announcement
that Judge Alexander McCue, the larges
stakeholder of the Brooklyn Trust Com
pany, and on whose application it wa
forced to suspend payment, has since Mills
death been transferring his real estate il
heavy blocks to his wife to secure himsel
from loss in case the company proves in
solvent. The transfers which embrace ont
lot valued at 100000 on Montague street
are first made out by McCue to Edgar M
Cullen, then by the latter to McCue's wife
in addition to deposits hitherto reported
The United States government had 5000.
200 with the company, N. III. Clement
$4,000; and DIR. Bryant $50, 900. The
more searching the investigation the worse
the condition of the concern appears to be.
Secretary M. F. Rodman Indignantly de-
MES that he is also defaulter, asserting
that the Connecticut town bonds furnished
as security will fully cover his loan of 1884,
600 from the company. Mills friends
deny his suicide or that he acted strangely
and was not as cheerful as usual up to the
night of his drowning. 1t is reported that
his will to be opened tomorrow, leaves all
his property to his wife and children. He
did not use any of the funds of the Long
Island historical society of which he was
treasurer. The Trust Company was origin
ally started as sort of family concern,
many of the board of managers being re-
lated by blood or marriage to President
Mills.
The following are the latest facts and
rumors as to the affairs of the Brooklyn
Trust company. The capital stock of the
company was 100000, but this it is said
has been all absorbed. There is $500, 900
worth of what may be considered worth
less loans. The defalcation of Mills is be-
tween $50, 900 and 100000, and Mr. Rod
mans loans are 1000, so the prospect of
disposition realizing anything for some
time is not considered very encouraging.
Last Friday or Saturday Mills stated to
his son that he felt worried about his ac-
count in the Trust company, that it was
Overrun. His son then said to him ::
"Father, you had better attend to that at
once. Something might happen to you"
He replied: "I'll look into it right away"
He accordingly made arrangements with
a capitalist, relative, for loan to cover
his account with the Trust company, which
was to have been negotiated Tuesday, the
day of his death. 1t is stated that three
months since Mr.. Lowe resigned the vice
presidency on account of i'll health. A
few weeks since it was suggested by Messrs.
Chauncey, Rockwell and others that it
would be well to investigate the affairs of
the company, in order that some decision
might be made as to the Georgia and rail-
road bonds, and their true value ascertain
ed. Mills objected and tried to postpone
the investigation, although at this time no
defalcation on his part was suspected. In
this objection he was supported by Rod
man, the secretary.
There appears to have been occasional
dssenson anon the directors and the min
GRITTY were called by Mills and Rodman the
mechanics Bank Gang" On Monday
last, the day before his death, the former
requested that the investigation be post
poned. Rodman says that he (the pres-
denD expected to receive $4,000 on the
following day and the directors are of the
opinion that on Monday he found he would
be disappointed when it was discovered
that irregularities existed. The secretary
admitted that Mills account was over
drawn but said that $4,000 would cover
the defalcation. He said when the irregu-
larities commenced he demonstrated with
Mills who replied invariably that he did
not want to hear anything about it as it
would be all right before long
The company has also loaned further
sums of money on doubtful securities, but
the amount is by no means so large as
either Georgia bonds or Connecticut rail
road loans. The opinion is pretty general
ly entertained that Mr. Rodman will be re.
moved from his office of Secretary of the
Trust Company, as well as from the
Deputy City Treasurership. Some go fur
ther and say he ought to be punished as q
criminal for permitting the city to deposit
weekly with the company from four to
five hundred thousand dollars. OF course
the chief city treasurer, Sprague, and his
sureties were responsible to the city for the
safe keeping of the money.
AS against the theory of suicide the real
estate agents of the deceased say that one
hour before he left for Coney Island, Mills
agreed to contract to furnish houses
which had come into his possession by the
failure of their builders to repay money
advanced; that Mr. Mills was certainly as
cheerful and as genial as he ever seemed.
They transacted all the real estate bust
ness for him and say that from this source
Mr. Mills income was $44 200 per annum.
The value of his real estate is put at $473,-
600. including mortgages agregating $780,.
900. Secretary Rodman said to-day that
various eminent New York firms sold the
Georgia bonds and that the Broadway
Bank holds $500, 1000 worth of them.
He believes that the company will pay
every dollar it owed to depositors without
collecting on the stockholders for cent.
The assets were reasonably good, though
some of the securities were slow. The
amount of Brooklyn city funds on deposit
with the Trust company was $685., 500
dollars.