The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1877-01-26
THE CHECK FORGERY.

TERDAY-CURIOUs COMPLICATIONS.
The examination OF George W. Chadwick at the
Tombs Police Court yesterday, in connection with tho
recent great forgery, revealed system Of criminal
ingenuity rarely cqualled Master minds originated
The forgery and clear heads planned the details,
ranging even the mnutest with cleverness seldom
witnessed Go.betweens without number were en-
ployed and every safeguard the cautious criminals
could devise were thrown around their work. The
check which exhibited 10 in itself wonderful
work OF art. Tho color, water mark, ongravd, rev.
enue stamp and signatures rcsembled tho genuine
closely that the failure of the Union Trust Companys
officials detect tho forgery 10 not TO be wondered al.
These taken in connection with the thorough knowl-
edge Of the companys manner OF doing business dis
played in the number of the check and the transac-
zion from beginning to end. stamp tho criminals as
A STARTLING THEORY IN
Perhaps the most startling theory developed in the
the check is NOT IN fact forgery, but genuine one,
and regularly issued from the office OF the New York
thereof This is to be sure, even as theory,
but the witness, Horace f. Brown, told his story in
straightforward way. and withstood, without
1nchlng, u cross examination oil the sever
deliberate, and his ut,erances were evidently
well weighed. Beginning with his FIRST acquaintance
with the prisoner Chadwick, be gradually unoided
their relationship up TO tho date OIL his arrest Tho
conferences propositions, arguments and explanations
appertaning TO the mysterious check were gone into
considerable length His reasons for believing that
throughout the entire transaction he, Chadwick and
Maxwell were engaged business strictly
within the law, but still slightly .aihcd
with fraud, we're gwen with force aud cearness
How lam g can bolster itself up, aud, while
totterng the brink Of financial rum. appear to the
world strong and healthy was explained IN detail and
listened 70 wn rap cr as necnoeo "nI "rsw
the produce OF Wall street was also highly inter-
csing. No evidence, however, was elected duplicating
Kelter Edmonds or Columblni, and from present APP
pcarances, Brow1 Chadwick and Maxwell only figure
IN the transaction
PRocEEpIxGs IN COURT
AS the day previous Judge Duffy kept the large as.
semblage the waiting until after he
had disposed Of the petty DRINKS and dsorderes Cen
table impaticnty and Mr. Peckhan was no less open in
his impatience 10 go on with the case Detectives
were present large array Fields aud OCoDnor OF the
District Attorneys Office being the central hgurex Sew
cra with tho Union Trust Company were also
W. H. Beers, Vice President Of tho New York Life In.
surancc Company William W. Hewitt counsel Tor H.
y Brown; James Centre one o. Inc ]ufymen IN INC
sides many others
Al four O'Clock Judge Duffy took his seat and tho
proceedings commenced. the first witness being Syl-
vestcr l.. Blood, broker, OF Nc. 10 New street, VINO
testified as folows:-
Saw check, here present, for the first time the
afternoon OF the I'd inst. natpas two O'clock when
G. l.. Maxwell came into my office and handed it to
me saying that he had an uptown customer who
check and buy $50 600 In gold with III gave the check
to my cashier IN tho regular course Of business; the
Maxwes account $50 600 in gold OF Richards Cohen
paying therefor $53 4S7 56 banded tho gold TO
Of over $4,000, the check being for SOL 225 gave
Maxwe check at same time for $500; ON January
purchased on Maxwells account $4,000 gold from
W. I. Hatch Son. paying for the same $lO, lao 20;
on January 6 paid Richards L. Cohen 81 95
commission, and the following day paid Max
wells dues in the Stock Exchange t$54, leaving his
account on my books-reccived, Sd4, paid,
$64 S4 So; balance to his credit at the present time,
$40 Ia The witness had been acquainted with Max
vail tor ten vcars. Maxwell was n member tho
Stock Exchange aud was frequently in his oico; had
no conversation whatever with Maxwell about the
check took 1t and executed his commissions as mat
THE VICE PRESIDENTS TESTIMONY.
Mr.. W. H. Beers, Vice President OF the Now York
Lie Insurance Company took the stand and swore
that the signature on the check exhibited purportng
to be ss Of
Witness was not acquainted with Chadwick, and never
saw him.
Company, produced the companys check
book and displayed the transactions during the
day IN which the Forged check was uttered.
THE PRISONER BROWNS STORY.
The next witness called was Horace f. Brown, who
was brought up from his coll IN the Tombs. He gave
his testin ony clearly, well chosen language. He
testIfed:-I have resided in New York seventeen
years; have known the prisoner Chadwick six weeks;
broker, who told tnat Chadwick had some bonds OF
the South Brooklyn aud Park Railroad which he
wished TO negOtiato undertook to negotiate one OF
the bonds but not siul at subsequent in
terview. hadwick hinted at chance to make hand
some commission in the following manner:-rhere
were institutions, he stated savings banks, Tor IN
stance, which sometimes wanted to change their
securities by putting IN securities Of a deprecated
value, and thus make their condition appear moro
prosperous than II really was; Chadwick asked me
II ! knew any broker IN the habit OF handling large
amounts whom could get enter into the trausac-
ton; considered the matter, and, calling on Mr. q.
l.. Maxwell, put hypothetical case oil large instu-
ton wishing TO change It's securities; said the con-
corn would pay twenty five per cent commissions, and
lis broker would handle large amounts; one.half tho
commission twelve and onc.hai per cent would 20
TO the broker and onehrd OF the remainder 10 me-
assured HIM that neither he nor would be known
the transaction; Maxwell agreed to undertake tho
business; the day after New Years saw Chadwick
who told me the institution in question the New
York Lille Insurance Compsny; aitcrward saw Max
well, who lold mo he had received u check
Tor $4,000 and was going then to get It
certified; the next day Maxwell said he had
purchased $4,000 in gold, and told me no
had So 900 certificate which | must got broken;
took IL with reluctance and got 1t broken, paying
$4,000 IN gold certificates TO Chadwick aud keeping
s. 600 in currency for myself tho same day gave
Cnadw lex an additional Thousand dollars; tho next
day Maxwell came TO me and SAID, "Bood has made
all OF hmsolf instead OF buying &c. 800 in gold
tincates he's got a gold check which | can't
have no bank account, and Blood and l are not on
good ,crms;" he then handcd me the check; took u
TO Chadwick and told him 1t must have Endorsement
OF tho New York Lie Insurance officers; he took 1t
aud afterward returned u TO me with the
proper Endorsement ,ss con,a gave o M TO Maxwell,
count OF its being indorsed--n other words,
the very act which made 1t negotiable destroyed ITS
value to nm; have not seen the certificate since;
until the time OF my arrest did not suspect forgery
the matter; my impression all along was that,
while the transaction was little irregular
Oh the part OF some officer OF the New
York Lille Insurance Company IN waning
TO cover up his tracks II wa not criminal 80 TAR as
the negotiating brokers were concerned The Wi
mere affirmed phst icaily, N answer TO question ny
General racy, that he die not believe the check was
forgery and gave AS AZ additional reason icr his be-
ici a statement made 10 him by Chadwick pending
the negotiations. which was TO the elect
that one OF the officers OF The Insurance.
company, whose name was signed 10 the check. meant
t. dc au and after he had gone away The reniann ing
officer would pronounce the other signature forgery
and the company thus escape liability.
Brown then described interviews he had with Ci1d-
wick, and identified kilograms he sent to him making
engagements
Tho witness subjected 10 severe and protract cd
cross examination by General Tracy, pending which
tho court ADJOURNED settling tho tlmo ior continuation
ut ten A. NJ TO-DAY.