New-York tribune., 1876-12-30
THE SWAN DEFALCATYON.

| MORE DETAILS OF THE BREACH OF TRUST
| INVESTIGATING THE FuGITIvE's BOOKS AND PAPERS
his RELATIVES DBcLARE THE AMOUNT OF LIS
STEALING ExAGGERATED-THE PHELPS ESTATE
The fight of Otis ID. Swan was still the
subject OF much conjecture and surprise in Walhs and
other parts OF the city yesterday. The amount OF ms
defalcation pronounced 10 be much less taan was
supposed at first, when some OF the widest rumors
placed t as high as S300,0O0 This is now said to be
gross exaggeration. His father Benjamin L. Swan,
prominent and much respected citizen, died in 1855,
leaving large estate, which divided among i've
Benjamin L. jr, Otis D.. John, Edward, Frederick
g., and daughter, Mrs. c. N Fearing. Otis d. Swan
and Benjamin L. 6wan, tr, We're named IN the VIII as
executors and Otis constituted trustee Of the shares
Of Mrs Fearing and Of Frederick G. Swan, who Is said
to have been in pecuniary trouble at that time When
Otis d. swan failed in 1873 an examination
showed that be had not made use OF
penny OF the trust funds in his possession,
although 1t is asserted that he misapproprated large
money placed in his hands by his other brothers.
This caused his bro :her-inaw, Mr.. Fearing and Mr.
Fearing's sons watch him closely they were not
entirely satisfied have him trustee. His manner
has indicated trouble for the last six Months aud his
having failed to renvest the interest the bonds Of the
Union Leage Club which he collected in July last led
the belief that his financial condition has been Geper
that time. Yesterday his brother, Fred
erc G. Swan who has been hs partner ana his brother
ln-laW, N. rearing,
81 Was and took possession Of his desk and papers
The papers examined and all that related to any OF
the public institutions with which he connected
were sent to the the other papers and books
removed for Investigation.
TRIBUNE reporter called at the Office aud saw Fred
erick G. Swan, who said he had nothing 10 say in
regard to the matter The family were, OF course in
deep trouble about It, They had concealed nothingj
they knew more OF the than the public knew
until they had made investigation Of his brothers af
fairs He sure, however, that the loss had been
much exaggerated though he could not make any state
ment to its probable amount HIS brother Benjamin
l. Swan jr, made substantially the statement to
the reporter. Charles n. Fearing nephew Of Otis ID.
Swan found at his Office. No. 80 Broadst, and sad
that could give further information except that the
loss compared with the amount OF the estate would be
very small for the that the property consisted
mainly OF real estate.
1t stated the moneys belonging to the estate OF
Thaddeus Phelps, OF which Swan trustee, have also
been taken by him, but his father became surety on
his bond NJ the time OF his taking charge Phelps
estate probable that his fathers estate s liable for
Ro%n positively Until the interrogation row in progress
Is finished. The manner an which MI swan became
y the husband of the heirs Mr.. Phelps died in
1857 bequeaing bis estate to his wife and five daugh-
ters aud his wife death 1859 left her share also
TO be divided equally among the daughters, who were
Sarah H., wife OF G. T. Anderson Julia H., wife OF W.
H. McVicKar; Maria T., wife Of c. s. AshmOre; Louisa
d. wife of II. de b. R0uth, and Arabella U wife OF Dr.
Alexander b. Mott The executors appointed under the
will having declined to serve, Mr. Swan who was then
practicing lawyer appointed sole trustee of the
property the real estate portion OF which he sold The
lie said he invested in interestboaring bonds.
The heirs 10 have had perfect confidence In him. as
he required to render any accounts and he
algayS tne interest the estate, which val
ued at $SOOOO On Friday OF last week, however SOME
of the heirs expressed wish for settlement. which he
promised to make this week.
Mr.. swan lived in handsome house at oyster Bay,
Long Island No attention WAS directed TO his
departure with his wne, as IL had
been reported In the village for week before that they
were about t0 NcwYork to spend the Winter. Mr..
swan LETT oyster Bay the city Friday of last week,
and remained his Office until his usual hour for depart
ure when he wished Ihe gentlemen In the office Merry
Christmas" in q cheerful voice and left the place. It
is supposed he went directly to place which he had
appointed his wife, and that they left the city
together. The present Mrs. Swan was Miss AnthOn,
niece of the welkuOwn classical scholar, Dr. AnthOn
Mr. swan married her about ago, his first wife
having bgeu Miss Weed of Utcs, who died five years
awn