New-York tribune., 1876-12-29
OTIS ID. SWAN A DEFAULTER.
sWINDLING HIS RELATIVES AND THE UyI0s
LEAGUE. scf


sWINDLING HIS RELATIVES AND THE Uy10s
LEAGUE.
FROM $4,000 TO 100000 BELIEVED TO HAw
BEEN MIsAPPR0PRIATED THE UNION LEAGUE
CLUB LOSES ABOUT $1,000 THE RRMATSDm
TAKEN FROM HIS BROTHER AND SISTER.
II was known two weeks ago, among few
relatives and business associates that Otis ID. swans
wallst broker and one who had been connected VITA
several public and private trusts had misapprOprated
funds belonging to the Union League Club 20 the extent
Of between 5000 and $1,000 and OF his sisters and
brothers estates 10 large amount varOusly estimated
from $4,000 to 100000. On Friday Last Mr. Swan left
his home at Oyster Bay, L. t. at early hour in the
morning, accompanied by his wife. lawyers clerk was
to make the most of aaehabe private property
Mr. Swan last at his office, No. "a waLst, at
p Friday Those in the Office thought that he was
departing usual for home. 1t IL not known where he
did so where lie is II is said there was no
necessity OF fight to escape prosecution nasmuch as
his oifenses all belong to the breae-oftrust class and
not aetionable. on Wednesday swans disappear
regarded with suspicion in Walst. and yestet
day the whole matter became known and grew In i'm
portanee as 1t spread. The amount OF the defalcaoa
has been largely exaggerated. With the exception Of
the money held in trust for the Union League Club
Swans misapprOpriaODS are believed to have been con
fined to the property of his relatives. They exhb
evidences OF painful surprise and shock at their brothers
breach Of trust and appear 10 be mainly interested IN
keeping from the public the facts which would explain
the extent of swans epredatlons oil their possessions
II is reported that swan nheted half million from
his father, Benjamin swan who was eminent
merchant, accumulated large fortune, and with hs
family filed conspicuous position in the religious and
social life Of the city. Otis D, Swan is so years OF s
and year and half ago married a second time Hs
has no children When his father died he took chargd
the estate and became trustee for the portion which ZEN
to HIS sister, Mrs. NJ Fearing He not successful
in business and In 1873 failed with small liabilitiess
the great surprise OF Wast where he was supposed
be a wealthy man. His family connections, excellen,
social qualities, good associations and reputation
for high character and integrity enabled bin
10 get on his feet again Several old acquslnt
ances, including W. II. Macy President Of
the Seamen's Savings Bank helped TO resstabsh him IN
the brokerage business, his younger brother Frederick
g. swan being associated with him. At he time OF bis
failure IN 1873 the settlement his affairs must have
shown that the estates he held In trust were intact He
had financial ability and possessed the confidence and
the patronage OF large circle OF mercantile friends
that is thought he must have propered he had
fined himself to a commission brokerage business Like
many another he hoped TO retrieve hs fortune by stock
speculation. He member Of the Stock Exchange,
aud II is surmse that he speelaed privately dur
ing the summer and Autumn, dabblmg in New-JeFssy
Central principally. and finding hiG,sef invariably,
the brokers say, "on the wrong side OF the street"
n.
eligibility to among trustees of various instta
tons. As Mr.. Macy says he highly esteemed fOrhk
social qualities and ready with his pen to be
almost invaluable when q set Of resolutions to %
drafted or other clerical work done. He director
of the NewYork and LenOx hospitals of the Home fot
the Rupturcd and Crippled OF the Society Library Ase
ciation trustee of several benevolent associatObs
Secretary of the Board Of Trustees Of tie
Bank for Savings in Bleeekor-st., and Secretary
aud Treasurer of the Building Fund Committee
Of the Union League Club He had to the funds
OF the Bleecker street Savings Bank and sent il his
resignation as Secretary the Board Of Trustees about
the time when his msaDpropraton Of the Union League
Club funds was discover 4. He OF some service %
the hospitals which be connected and not
believed that he has taken any of their property On the
Building Fund Committee OF the Union League Cub be
was ssOciatcd wi John A. Weeks Franklin H. DeanO,
Vim. II. FOgg. and James A. Roosevelt The building
fund, which ia now considerably over 100000, is IN
registered United States bonds and in the Of al hye
menbeso the committee The ntcres; on The bonds asH
accrued was reinvesiCd in bonds by Mr.. swan or Q;
least this was ms custom up last July The interest
which came into his hands az the July payment amounted
TO between 5000 and $1,000 1t was deposited with
the United states Trust Company It is said that Mr.
Swan recommended delay in investing this sum, on tBe
plea that United states bonds degrecatng In value
John y Weeks said YESTERDAY mat it was Glseoggi;s ;
about T. days ago that swan had misapprolriaied ns
money Hc immediately took every measure 20 secure
the club Nttl MODERATE success SWAN was
the disclosure admitted that he had disposed OF ihs
money and confessed his inability 10 maze the sum
good. -
jackson S. Schultz, who knew Mr.. Swan wen. q h
should slow believe that the matter as a.
represented. lie thought swan had not run away.
Charles WatrOus OF the Union League Club said tae
rlub had been buSneSSke and successful III eondet
ing its financial affairs that members felt eOnSden'e
chagrn at this loss. Swan was one OF the founder
the club and had been highly esteemed as mont
fnIs and Il would be fonhd chat some one nuss h..
some snail trust with opportunity for breach OF faith
SWAN had taken all IL was possible f0r him to Obtand
thestme Mr.. Natrous said be thought Mrs. Fearhgi
loss was az least $4,000 and that Swan bad made va
altogether with 900 or something mere.
A TRIBUNE reporter called at the office OF the brother
in-law OF Mr. Swan yesterday at No. "a BrOad-st Is
sim read Auburn Wooden Mills, &. n. 81 ". H. Fearing
but the doors loeked and the place deserted AZ
No. 30 Broad-st Is the office OF c. ii. Fearing ne
nephew OF Mr.. swan, who is partner n
the firm OF McGinnis Bros. & Fearing. From org
Of the firm it was aseertaned that the estAsss
of the late Benjamin Swan consisted maihy oi
real estate, and Mr. Swan could only have misappOis
ted the revenues from it No. Broadst Indicated
s Of the buildings belonging to the estate The fe
dcnce of Mr.. swans sister, Mrs. Fearing, az no 10
Latayete-pace, next visited but the entire IaS
from home.