The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1877-09-25
CLAIRN0NT SAYINGS BANK.
Vice President Swan Assigns His Prop
erty to the Creditors.
AN UNPAID CHECK.
Some Queer Canada Bills That
Were Found.


Tho developments In regard to the Clarmont Saw
ings Bank become more shocking as the examination
OF Its condition proceeds. Yesterday Vice President
Swan transferred ms property to the committee OF
trustees-Messrs Marsh, Knapp and Cornsll--for the
benefit Of the poor deposos and TO repair as far as
possible, the great wrong done TO Them with con-
nivng and aiding the dishonest practices OF President
Broadwel, who 10 now under bonds TO answer IN
criminal court for his breach Of faith Mr. SWANS
property. which transferred yesterday, 10 SIT
unted In Montclair, N j., and the gentleman
in question has lived there for number Of years, re-
spected by his ne,shbors and holding nigh position
IN society. The house and lots Mr. Swan said, were
purchased with money lott him by his father and as
some OF his relatives lived with him he was able TO
maintain good appearance, keeping horse and car
riaee, gardener and two female servants. The real
estate In hts wifes namc but 1t is understood, IN
order TO her husband from disanrceable couse-
quencc she consents TO tho transfer to the trustees
Of the bank. The value of the house IL supposed to
be $4,000, which there is a mortgage OF So, 500
Another house and lot adjoining his residence said to
be worth 81, 200, is mortgaged for $3.50 Some un
improved property OF the estimated value OF So ooo
There was In the bank cash belonging to Swan
and relatives about So O00 part OF which belonged
TO his mother and this also has been assigned to the
trustees for the benefit OF the creditors Thus It Will
be that the liabilities Of the bank are so much re-
duced. Swan completely broken down, but M
he has mado what restitution he could and given faith
full services TO tho us.ees order to disenango tho
web oil vany That had been about the accounts,
they feel disposed to deal lenisntly with him. M
Mr. RAIL- THE BRoKER.
Attention had bsen called IN the HERALN to the sus
Eicous connection OF the offices OF j. l.. Ball, ex
change broker, situated next door TO the Cialrmont
the connecting doors have boon closed but the tact
that q business correspondence has existed between
clearly ostaoi,shed Another startling discovery was
made yesterday which may open up still greater
NINE OF damaging facts in regard 20 THIS shyssr oank
Eleven ten-dOllar bills OF the Consolidated Bank OF
Montreal were found among the 'asscs OF the broken
savings bank, and on examination they were found
to bear false signatures OF the president aud cashier
asserted that they portion Of bills stocn IRON
the Canada bank; they bear date July l, 1876. Mr..
Ball he bought them In the regular way OF bust
from he knows but tho name was not given,
and Mr.. Swan asserts the bank took them from Ball
also in the regular OF BUSINESS and that he has
doubt the broker Will mako the amount good 10 tho
bank. av
ACTION OF TRUSTEES
AS the action Of the had been called
in question by communication 10 this journal,
HERALD reporter visited Mr. Marsh, the gentleman
named, at the bank ana the following conversation
ensued:- hii1ffl aif< RI
REroxrnR--Mr. Marsh. is there check among the
called assets Of this bank Of $3.50 drawn BY your
partner, Mr.. Winsor, and endorsed by your
Mr.. MARSH (promptlyl-Yes cir. '
+. REPoRTkR--And unpad2 1na fuHni7lget
Mr.. MARsH-Unpaid - ..ssI ...-,
REpoRrER-wili you please explain thisG
Mr. MARsn-Certaiply II was simple business trans
action Of Mr.. Wius0r with the bank. He came down
here to borrow some money on good bond collateral.
He received the loan much below the market value of
the security and afterward came to ako the bonds,
they could not DO ound the key Of the safe WAS
said to be not hand and divers other excuses
a margin Of about $500 due him he asked
for $3.50. as he wished to go to Chicago,
r rSa ne wp then given as At the
time OF the banks failure Mr.. Winsor away, and
the check was OF course among the assets OF tho
InEa nv mad
rendered The balance, $50, to Mayor Orvis, but ne
SAID lit was all righ but could not, under tho pres
ent circumstances, release the check.
REPoRTER-What became OF Winsor's bonds?
Mr.. MAKsu-rhey mad been rc-hypothcca,ed among
to RAISE more money than they mad loaned on them
REPoRrER-How are you progressing In the exam-
nation?
MIR. Enthusiastically Mr.. Swan Is giving
much assistance but for the first three days he was
utterly broken down. Mr. Garretson mas boon exam
lining the books under tho direction OF the trustees,
but tomorrow understand Mr. Sibley. an expert ac-
countant, will begin a thorough examination Of the
bank under the direction OF General Smaey the re-
ccvcr.
RrroRrER-who should bear tho chief blame for this
Mr. MARsH-In my opinion President. Broadwcll. He
has regularly ''gone through" the bank VI course
MT swan admits ms compcI.y, ont , .nnk hd naa
time ago gone South Tor HIS health The committee are
to pay him visit tomorrow TO get his statement and
what property he rs ready TO turn over
REpoRrgR-ls there no danger OF his assigning away
from the bank his property
AT this juncture one Of the implicated trustees, ME-
Hoyt, entered the committee room, and commenced 10
speak very desparagingy OF Mr.. Swan He SAID he had
u letter In his possession from the latter and IN due
human kindness he would do HIM tHoyp justice ana
save half dozen families much misery
THE RECEIVER
General smaley arrived at the Cairmont Bank yes
tcrday about la addition to his discovery OF The
forged Canada bank bills he told the reporters he found
a considerable quantity OF uncurrert money IN TIC
drawers in fact there were sovereigps, shings uud
those OF money changer. There are also Il num-
Der OF bills OF exchange amounting 10 about
$50 600 drawn by e. H. Dewing on Mackonsie a. Co.,
OF undee scotland about which the receiver is much
puzzled Those are ndorscd by Mr. A. W. McKcn-
ney, who denies that he was ever IN business with
Hoyt. Tho receiver stated that he wouu make
strict Investigation 10 discover II these are collateral
or whether they are bogus Ii Is also General
Smalley's intention, he can got permission
from the Supreme Court, refund TO sundry deposit
tors the sum OF 5000, which paid In by them
alter the institution had been closed by the Bank Ex-
The question as to who shall be the final receiver OF
the bank seems TO be definitely settled There is
good deal OF dissatisfaction among several OF the large
depositors that man who has passed through bank
ruptcy should be appointed 70 administer their affairs
A trustee said, "For my part, hope We Will not COM
mence quarrel ABOUT the rccevership for II we do
the depositors money Will be eaten up ny the lawyers
UNFORTUNATE CHANGE
One OF tho largest deposors IL merchant, Mr..
Charles Milford, and he mas 50, 600 in the broken
bunk. The circumstances OF his placing his money
there are peculiar. Hc had his main deposits IN the
Union Dime Savings Bank; but Tor some reasons
principally, perhaps, because his lricnd Mr. Knapp,
was Of the trustees in the Cairmonhe (M ulford)
withdrew from the former institution aud deposited In
the latter. IL is believed that Mr.. Knapp, who ID
spoken OF as a very honorable man, will indemnify his
friend for tho misplaced confidence
LONG ISLAND SAVINGS BANK.