The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1874-03-29
THE OCEAN BANK CASE.
Trial OF charlottesville Summing Up
ConcIuded-Charge or the Judge.


~
Trial of Callender-The Summing Up
ConeIudeG-Charge OF the Judge.
The nirther hearing of the case OF Charles Cal
lender who is indicted for having accepted bride
of $40, 200 from the ocean National Bank OF this
city, to influence his official action as bank exam
Yner was resumed yesterday IN the United states
Circuit Court before Judge Benedict
Mr. \. II. Purdy United States Assistant District
Attorney, conducted the prosecution and Mr.. Will
liam Fullerton appeared as counsel for the de-
fendant
SUMMING Up FOR THE GOVERNMENT.
Mr.. Purdy resumed his address to the jury on be-
ma of the prosecution He asked why the de-
iendant had not put forward MIR. lid as witness
TO show that ne mad put his money into the Portage
Lake Company. Counsel for defendant had re-
peated himself with respect to the Chicago fire,
with its lurid names, and contenGed that il was
this fire that destroyed him and rendered hun I'M
able 70 take up his loans But what had that hre
TO do with taking bride OF $4,000? II was not
the Chicago fire that palsied the arm of Calender
in his long career OF thieving, but the Marshal
who arrested him in his black mailing opera
lions. 1t was wen known that there was
one in that Court who could obtain loan from
any national bank in the CITY OF New York on this
Portage Lake security; yet what commentary 1t
lender in the course OF three years was enabled
to secure from tie banks the stupendous sum OF
100000 on worthless securities. If the defendant
had produced liz Wild to show the bona tides OF the
Portage Lake scheme, in all probability he would
have said that he had believed in the scheme as a
good one. He had been induced by those
swindlers the Averys, TO put his money
into It, had lost al, =, ana, prqbaoly,
would show that Calender was black
mailer: but said MS counsel. II he wanted TO
coerce the banks into giving hm money, he would
have said :-'tome give me money or | will report
you.' Did they tnink Calender, d clever educated
man, would nave attempted TO strike the banks
Id That way l. a custom house ot1cer looks into
your trunk and sees valuable aces there, he shuts
down the I'D auu then says to you, "Lend me $40,
VIII your What did that meanr DID 1t not mean
black mail? That vas the KIND Of operation Cal
lender iniuiged IN. Calender got $1,000 ON an
overdralt Tor several days from tie Ocean Bank,
and yet no one in the bank seemed to know any
thing about IT, 1t was SAID that all tns money
was 20 go Tor the advAncenent OF this great Port
age Lake scLeme, inaugurated by the shores OF
Lake superior. But what evidence was there OF
thaty None in the world. IL would help some OF
the dep0sitors II they could find out where the
money went TO- IL would not do to let Calender
go out under the wing OF MIR. WId. why was he
not called a witness Tor the deiendanty Then,
again, as TO the letter TO Kuhn. Loeb IL Co. about
negotiating the sale of the Portage bonds in Eu-
rope what as the good OF Juggling in the names
OF those gentlemen unless u was intended to pro-
duce them and s1ow that such negotiations had
really been progress? Calender was getting loans
out OF the bank ali the time, because he had it
der his thumb, and Mr.. stevenson, the president,
u
Calender only that he was bank examiner The
charge against Calender was not for making
port oil the bank: he was charged because he made
no report at all 10 the government. the report he
mad made OF the bank on the SO and 4th OF Oc-
tooer, 1871, as 10 It's affairs and condition, was
iaise and wen calculated 10 deceive wealthy men,
who were Wiling 10 believe that the institu-
ton was sound, while IN reality it was rot
ten and unsOund bank was insoivent
when It's assets consisted OF unavailable Sc
eur1tes Judge Fancher vas Wiling to Join the
Ocean Bank as q director but before he did so he
desired a :
TO the sOuudness OF tnc oank-he would not trust
mis- word; and then Callender sat down and with
one hand wrote that false report about earnest
work and harmonious action" While with the
other he raked in his $4,000. The President Of me
Union square Bank lad sand ne was pleased 10 loan
money 10 Calender; but II ne Mr.. Purdyl were
ever TO have a bank account he would look CUT
for that president as a beacon night and AVOID him
as lar as possible. No 0ank would lend money on
such securities except Ior a present or future
emergency. This man could not have borrowed
a dollar Of this money If he had not been a bank
examiner. Counsel had said that the report made
by the DEFENDANT o. the state oft ocean Bank, on
the 80 ana Atm o OCTOBER, was not an Official one
True II was not an Oficlal report, but IL made
on the responsibility OF mis- official honor, and II it
was calculated TO deceive, the Jury would infer
that 1t was made for an improper purpose. Tney
could not reconcile Cailenders conduct with nuo-
cence. The bonds were worthless and a fraud
and not Il single witness had been produced to
show that they were not worthless and rand
He Mr.. furdyl denied that he had ever said mat
the defendant had not the benefit of doubt
All he said was-and this WAS the law-tnau
In any doubt upon the competency OF the evidence
ernineDt; ana II tne Court made mistake In the
law, the defendant would certainly he entitled 10
new trlal. He quoted in support Of tins view
from IL Georgia Reports, y. IS. Mr.. Purdy then
went on to state tbat Calender was the person
who, as the 'caOper ana stcerer," had decoyed
Judge Faneher INTO the rotten concern OF the
Ocean Bank, so that the appearance OF the Judge
at the Board OF Directors would lead people TO
suppose That the bank was sound.
Mr.. Fullerton think, Your Honor ought TO
place some limit to this. The evidence shows that
Judge Fancher sought out Mr. Calender ana asked
ID h.
Mr.. Purdy-lf Calender had been au honest
man. he would not have mt ms name 10 a false
report. on the contrary he should have informed
heightened gentleman Ike Judge Fancher that
the assets OF the bank consisted VI unavailable and
worthless securities. After dealing VILE the facts Of
the case at considerable length, M Purdy con-
Guided his argument al twenty minutes to lour
O'Clock.
THE JUDGES CHARGE.
Judge Benedict, Ia charging the jury, said he
would not express any opinion Of his own OF the
FACTS OF the case, as 20 whether the defendant was
guilty or innocent. The question lor The Jury TO
determine was whether he had taken money
rom the Ocean Bank 10 influence his Official
action, and not whether he borrowed money and
lntenced to repay IT, He mad right 10 borrow
that It the duty OF the defendant 10 report to
the comptroller OF the Currency the condition or
Tue bank. lt was conceded that that was his dnty
ana me only question here was why he did not so
report, lie was charged by the government with
having borrowed the money to induce him 10 with
noid NJ report OF the bank as ne found IL on ex
animation Inen how were they 30 ind out the
intent with which he TOOK the money That
W w JuuEeu ny tne surrounding circumstances.
Though Mr.. Calender was not on trial for taking
money from Other banks. yet, when the transac-
tons were OF the same character, they might take
them into consideration as tending TO throw igiS
on the charge alleged IN the Indictment. The Jury
would simply have TO determine whether the de-
PENDANT took the money With the intent TO iDhu-
ence his of1cial action as Bank Examiner, and II
the taking OF IL induced him to Withhold ms report
upon the condition or the bank.
The Jury reured at five minutes past four
O'Clock 10 consider their verdict.
AZ hall past i've O'Clock the jury wrote letter
statement book OF the bank the report OF the bank
maue 10 Inc Comptroller OF the Currency about
the otn OF october, 1871 ana a check Tor $780, al
legged TO nave been paid by the Ocean Bank for an
examination OF the Institution.