The sun. [volume] (New York [N.Y.]) 1833-1916, 1876-04-26
ANOTHER MACK FRIDAY LEGACY.
stock Gambling with the Securities OF the
Market savings Bank.


The trial of the suit of John IL. Platt as
sIgnee of the Market Savings Bank, against
Matthew p. Bemls and william Van Name, was
begun in Supreme Court, circuit. yesterday. 1t
Is charged that by conspiracy the defendan
withdrew $4,000 from the Market Savings Bank
for the purpose OF speculation, returning about
$4,000 of that sum. The plaintiffs proved the
with drawai OF the 10000, with failure to re-
turn a part. aud rested.
The defence was that In tho spring OF 1869.
Demis, being then iu the Legislature, had an ar
rangcment with ono MAYNARD, now dead, TO
speculate In stocks, mainly in New York Gem
20 be given by Bemis, the money TO be fur.
nished by Maynard, In this they we're
successful. They divided large profits. Henry
II Conkln, secretary OF the ba-i><-ehen suggest
ed to Demis that much larger amounts might be
made, u. he had a friend in tho country who
was willing TO advance almost any amount Of
money After putting him of for some time.
Demis consented to go in with Conklin. The
iltteT sutf ausnily s9id tnat ms itIenu required
sons known IN the transactions, and an agree
ment was then made by which Van Name should
nation. each to have third interest In the
speculation. Some smaller spoculations were
nr"as 10 ali conccsncJ hbon; Iu,y M w,s
agreed that 1000 snares of New York Central
and Hudson River should be bought. Conklin
then said that no could not raise the money Tor
q few days. On the gh Of July he went down
with Bsmis TO the brokers, and deposited
$4,000 margin for the purchase OF 1.5OO
shares. and on the 18th of July $4,000 more,
and $4,000 on the 10th OF July to complete the
margin Of 20 per cent. on 50O shares, then sell
ing at 2OO, and rapidly advancing. At that time
they gave COnkhn power to manage the stock
transactions. They say that COnkln took
checks, signed by Van Name as President. In
blank, and fraudulently filled them up, and that
the checks were accepted. Some time later,
the stock having largely advanced, Bemis and
Van Name, Conklin being out OF town. desired
to sell out. aud their brokers sold 1900 shares at
a large profit. They gave orders to sell out the
rest on which they would have realized $4,000
profit. but Conklin returning, countermanded
the order. aud repurchased the 1000 shares. Ihe
stock was then carried until Black Friday"
ana then II fell enormously, and the brokers
called for $4,000 more margin. Then they were
first told by COnklin that $4,000 Of the margin
belonged 10 the bank. There no time to
call meeting OF the directors OF the bank to
consult, 40 without any authorization from the
trustees they took S2j0,0OO of the securities be-
longing to the bank, ana pledged them with the
brokers. They were fortunate In that the stock
recovered, and they came out with $1,000 loss,
being thus enabled to restore the "a rter mil
lion OF securities, and part Of the $1,000 pre-
yiously taken from the bank.
Bemis testified Yesterday that the Information
on which he speculated WIS from Horace II.
CLARK. lie was IN the Legislature until some
time after this Transaction. Mr.. Clark was a
silent partner In the firm Of brokers with whom
he always dealt. The case IA stl on.