The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1876-02-07
A SINFUL SON.

SEQUEL TO SINUOUS SPECULATION.
DEFICIENCY IN THEsACCoUNTs OF THE NOR
FOLK AND NEW BRUNSWICK HOSIERY COM
PANY-A FATHER THROWING THE BLAME
UPON his SON.
The New York Sun gives the following
full particulars of the Norfolk and New
Brunswick Hosiery Company's complication
with Treasurer Earle, reported in the tele-
graphic columns of the Sentinel at the time
of the discovery: In the latter part of last
August Mr.. Iucius p. Porter, president of
the Norfolk and New Brunswick Hosiery
Company, ascertained that there was a de-
ficiency in the accounts of Mr.. Jonathan
Earle, the company's treasurer. An EXAM
nation of the books showed that the def
cheney amounted to Sl42, 900. The directors
of the company were called together on the
1st of September and Mr.. Earle was called
on to explain the deficiency. He admitted
that his accounts were short Sl42 600. In
explanation, he said that his son George
Earle and not himself was the real defsulter.
George Earle was his clerk, and traussce ed
most of the business oftbe New York office.
His father usually gave him checks on the
New York bank.in which they kept their
account, signed by himself in blank, and di-
rected him to use them to pay the com
pauy's bills. The son filled up the checks
and used the money obtained on them in
speculations in stocks. The company's
credit was good and the New York bank
HoNoRED TIE CHECKS OF THE TREAsURER's
SON
without any question. Mr.. Earle promised
to secure the company against any loss, and
offered to transfer to them cotton mill in
Burlington, Vermont, worth 500, 900; real
estate in New Brunswick. valued at $4,000,
and S12, 900 worth of real estate In Brooklyn.
He told the directors that there was an en-
cumbrance of $4,000 on the mill, mort
gage of IS 500 on the New Brunswick prop
erty, and an encumbrance of &, 900 on the
Brooklyn real estate. The directors di-
rected President Porter and Messrs. John
son Letson and Mshlon Runyon to examine
the property and take any steps that they
deemed necessary to secure the company.
They inspected all OF the property,
found it to be Mr.. Earle
had told them, and took from
Mr.. Earle an assignment of it. Before exc
cutting the assignment, Mr.. Earle exacted
cute his son. The committee then trans
ferred their account to the National Bank of
New Jersey, in New Brunswick. Mr.. Earle
was permitted to be the nominal treasurer
of the company, although the duties OF that
Office have, since the discovery of the de-
ficiency, been discharged by Mr.. Johnson
Lesson. At the annual meeting OF the COM
pany on Wednesday, Mr.. Porter, the presi-
dent, told the stockholders of the discovery
of the deficiency, and OF what had Been done
to secure the company. He was sure tba.
the property obtained from Mr.. Earle would
more than
COVER THE DEFICIENCY,
and believed that the company could meet
without difficulty all its obligations, as
they had a surplus ample to meet any loss
that might arise from the defalcation. The
presidents course was approved by the
stock holders. and committee was directed
to thoroughly examine the company's books
and accounts, Mr.. Earle then resigned the
| treasurership, and Mr.. Johnson Letson was
appointed in his place. MIR. Earle is about
Sc years of age, and has hitherto been highly
respected in the community. His version
OF the defalcation is not credited by all the
residents of New Brunswick. HE and his
son were both in the New York Office" said
a New Brunswicker, land it is
queer that the old man didn't know what his
son did with the company's checks. But, 1
suppose, the company are satisfied, as they
have got their money" At the time of the
discovery of the defalcation $4,000 of the
company's stock stood in his own name,
and SO, 900 of il in the name of his son. The
company was organized in August, 1854 in
Norfolk, Conn, as the Norfolk Hosiery Com
psny. In September, 1868, the company was
reorganized under the name of the Norfolk
d New Brunswick Hosiery Company. and
| its capital was increased to $3.50, 900. A new
mandatory was built in New Brunswick,
and the headquarters of the company were
transferred to that city. The company
usually employ about seven hundred hands,
Mr.. Earle was elected its treasurer in 1868.