Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1878-04-23
Especial Telegram to the Globe.l
INDECENT ASSAULT.

board of charities and reform are holding a
secret session tonight at the capitol, to con-
slider, it is said. grave charges against one of
the high officials of one of our charitable in
stltutons. The press gang strenuously en-
deasored to obtain an linking Of it, but all |
avenues were carefully guarded and nothing
definite could be obtained. One of the
members of the board, however, informed |
your representative that tho charges were
that an indecent assault had been attempted |
on matron of one of the institutions by |
uperlntentendent, and when the matter was |
made public it would create an immense SEN
sation.
ANOTHER DEFAULTING TREASURER.
FALL RIVER, April 22.-Since the defalca-
ton of Chace, the treasurer of the Union
Mills, considerable uneasiness has been felt
about the solvency of the Border City and
Sycamore Mills. of which Geo. T. Hathaway
is treasurer. This uneesiness eliminated in
the protest Of the corporations paper at
Providence last week, which then was at
trlbuted to an oversight of the treasurer,
but since that time these notes
have been permitted to remain unpaid. In
consequence Of this fact, the directors made
an immediate statement of his affairs.
The latter has been busily at work upon
settlement, and to-day it was submitted to
the directors, but no official intimation OF
its contents has been made public. It is
said, however. that the affairs are terribly
mixed. aud that Treasurer Hathaway is q
heavy defaulter to both mills. An expert
has been pat upon the books, and state
ment will be given as early as possible. Sew
eral directors of the Border City and Saga
more mills were also directors of the Union
mills and the affai of the three corpora
tons are closely allied.
No statement can be obtained of Hatha-
way, and the directors meet again, when it
is said they will give statement The
Border City mill is involved to the amount
of 81 100000, and the Sycamore to larger
amount, but no figures arc given. It appears
that Hathaway was drawn into the affair
| through close intimacy with Chace. The
latter, it is understood, receiving large
! amount of the funds of the Border City.
| The Border City mills were incorporated
| in 1872, and consisted of two mills till No
| velnber, 1877. when mill number one was
| destroyed by fire. These mills manufactured
about twenty-four million yards Of cloth
per annum, and employed one hundred
l
called the Peoples mill, the stock being held
by many small stockholders.
| George Z. Hathaway about twelve years
ago came to this city and became book
keeper for the Massach usetts -four mill COM
pany and became assoc lated with his cousin,
Mr.. Chaoe, few ye:rs ago. When real
estate was bringing fabulous prices, Hatha-
| way invested and realized splendid advances
on his purchases, and soon there was started
Border City mill No. through his instru-
mentality. Mr.. Hathaway won the respect
Of everybody, and business men began inn
mediately to call him the coming man.
The board of trade sent him to England, @
few years since to see what could be done in
exporting cloth. Border City Mill No. /
was burned, and hardly before the fire was
out measures we're taken towards rebuilding.
This was opposed by many, yet Hathaway
carried his point, and the mill was started
to be paid for by insurance money. Within
few years the Sycamore mills were built
but by Encouragement, the property de-
creased in value, and the cry arose fol
Hathaway to be treasurer, and he was &C
cordingly elected. and matters Immediately
improved.
} Lately there was agitated the question Of
another Sycamore mill, and accordingly {
started. Thus Mr.. Hathaway had two mills
on his hands when the Union mills crasl
came. Owing to the close association Of
{ Chace and Hathaway, suspicion was imme
> diately aroused as to whether Border Cit,
. was all right.
meeting Of the stockholders of th
/ Onion mills was held to-day, at which
! statement of the condition of the fnancia
8 affairs of the corporation was presented
! Valuation of mill property 1888, 1905 amour
/ of regular notes outstanding against th
d corporation 1868; amount of irregnla
: and void notes remaining unpaid $50S, 407
/ whole amount of irregular notes issue,
0 1886, 4O7; total amount Of regular and irree
e ular or fraudulent- notes S942,071. Th
i amount of bills payable in addition to notes
as far as known, will probably not excee
o $1,000. The property of the corporatio
# is placed at low estimate, and
10 tue ~. notes are not included in il
property left after paying all itB ,ee:l:-.ol
le notes. Even should they be held liable *
g. the irregular notes the corporation at tt
& present value of its property can pay vel
X nearly one hundred cents on the dollar.
d The capital stock of the Border City mill
IS which was always represented by Treasure
Hathaway as all paid in, now appears
have been about three-quarters paid. IL
feeling expressed against Hathaway by mar
is very bitter, and his arrest will n
to probably be delayed as long as that
as Chace. He has persistently falsified the afai
8. to the directors since the Union mills defa
- cation. His friends claim that he can she
=, that not one dollar of the money has bet
=. appropropriated to his own use; that origin
= loans of money to Chace were made in go'
:. faith; that Hathaway had property enoul
to hold his corporations harmless; that un
few days ago he believed his mills won
not lose, and at:recent loans to Chace
been made because the latter threatened a,
tie drove him into course of action he ney
at intended.
If It is said Hathaway confesses his ilegi
ng mate paper viii amount to $4,000
YES in each corporation which was loaned
Chace. From all that can be gathered it {
pears that the actual defalcation of Haiti
way in the two corporations will be betwe
100000 and 100000, though it is hard
ay tell the extent the notes of the corporate
ib- have been discounted.
oh To-day representative Of Lynn ba
to came to Fall River, having note of |
Border City Mills, endorsed by Treasu
Hathaway, OF which no account appe
on the books of the corporat
ca and no stub on the check book. How ms
is such notes are a6oat it IS impossible to 9
st and consequently 10 what extent the to
er, Indebtedness may be swelled. Several
sachments were placed on the property