The Rutland daily globe. [volume] (Rutland, Vt.) 1873-1877, 1875-08-17

FIidoy iiiVs uiu1, ~ puuiiouou telegram
from Cincinnati to the effect that the
cashier Of the national bank of Chilicothe
had been discovered to be defaulter, that
he left Chillicothe some three weeks prior
to that time, ostensiblY to 60 to Cincinnati,
but was last heard from at Wallingford, in
this state and that his ''mysterious con-
''duct" induced investigation and, as result
thereof, it was found that he had, for eight
years, been using the bank balances in
New York for speculative purposes. Such,
we take it, is the bank story, and we are,
also, furnished with Snyder's--for such
was the cashiers name-explanation. He
says In effect that he has not 'absconded,"
and that his whereabouts have not been
secret as he vas in correspondence with
the president Of the bank as late as July
IA; that he does not deny that she has
fused certain funds of the bank, but says
that his defalcation was known to the
officers thereof as early as the sixth of
January, and that, before coming east, he
made arrangements with legal gentleman
and placed in his hands sufficient funds
securities We presume he means--to liqui-
date his indebtedness to the bank.
Taking the two statements together, we
do not see that Snyder's statement amounts
to much of denial, except of the fact
that he "absconded." He says no "used
" certain funds of the bank" and this, in
effect, Is all that the first telegram charged
He was, he says, in correspondence with
the president Of the bank as late as July
14th,-four weeks prior to the sending OF
the telegram-and that he and, presuma-
bly,, the other officers must have known
where he was up TO that time, while the
telegram only notes his absence for three
weeks. As to the time of the discovery of
the defalcation, so far as the culpabilty of
Snyder ia concerned, it is of no conse-
quence neither, as 1t seems to US, does it
matter much with that of the bank only as
one kind OF culpsbiity may be worse than
another kind. The fact remains that there
has been q defalcatiOn, that Snyder is de-
fsultsr, and that he is now in Vermont and
out Of tho reach of ordinary process issued
by the courts of Ohio.
Taking either the bank story or that OF
Snyder loose and dangerous mode OF
transactng business is disclosed, one which
must inevitably lead to defalcations, bank
failures and loss to those who have placed
their confidence in the officers of bank
The telegram states that Snyder has beer
using the bank balances in New York fol
eight years for speculative purposes, ant
hence the defalcation. The old story Of
stock gambling, tampering with trust fund
and ultimate exposure. But what shall W,
say of the management of that bank which
permitted its cashier for eight years to 81
tamper with and use Its funds? 1t is evi
dent that proper discharge of their duty
by the president and directors would hav'
prevented this, or, If the utmost watchful
ness could hot have entirely guarded
against it, yet that discovery must hav'
speedily followed and its further practice
stopped. The bank officers could hardly
have been made to appear more culpablt
than their own story makes them, without
the explanation Of Snyder. Assuming thu
truth Of the bank story that the cashier hal
been specializing with its funds for eighI
years, and Snyder's story that it was dis
covered in January last, In what light will
business men regard the action of the banl
In still retaining his services and giving
him further opportunities for "using Ger
tain funds OF the bank ?"