The sun. [volume] (New York [N.Y.]) 1833-1916, 1878-09-25
MIsMANAoING A SAYINGS BANK.
The ex.secretnry OF the Teutonia Telling
How he Disposed Of I,s Cash.

The case OF Henry Douscher Of Sc Second
avenue against the trustees OF the defunct leu
tonia Savings Bank for embczzins 81 Goa 81,
funds OF the bank was before Justice Otter
bourg yesterday. Owing TO the illness OF John
Scheuermann. the President Of the bank. he had
not given ball and WIS consequently in the GUS
tody Of nm officer He nrose from his SICK bed
TO attend the examination. and was compelled
to depart before Its close. The other defendants.
who are under 81 900 bail, are Fred. l.. Sigrist.
the Vice-president; Louis George. the Treas
urer; and Carl Mcrz Nicholas Sengrist Michael
Rhinelart.. Henry wencke. John .schnuRg.
John Hamburg. John Thcsz. Jucob Bermann
Joseph Wigger. and John Otto.
Mr.. Otto is still Sick and was unable 10 be
Henry Dauscher testified that he was the com
nlninnht. rs the representative OF mplorlty Of
thc debosltorni having been npp2int..1 ~ their
bank. He had examined the books OF the bank,
and found many incorrect entries. He had
gone before the Grand Jury to have the direct
Two sections from tho charter Of the bank.
rn"I ON" wa NJ VIZ KIT FTP IN iSyS TIe
ceivn no compensation ur salary for their ser
vices. and the other that they should not hor-
row. directly or indirectly. the funds Of the cor
pOration or its deposits or In any manner use
the same except to pay necessary current ex-
Michael Hahn Of ,O52 Second avenue. the
principal witness and trustee, testified
was secretary OF tho bank from October, 1871.
to ts close, was one of the original incorpo-
rntors and trustees. Mr.. Scheuermann was
President until the close OF the hnnk nnd Mr..
Sgrlst held his Office until 1877. Tho first
meeting was held in the fill Of 1868 and meet
ngs followed every one or two weeks. | had
several conversations with the trustees rs to tho
mode OF Investing the funds and dividing tue
profits. Among such trustees were Schencr-
mann, Theisa. George. Baker. and Clark. They
said they expected me - make MS much "a |
could. and to divide nil commissions. After the
election invested the funds. purchased bonds
and stocks NJ the lowest possible price. and en-
tered them on the books NJ highe Ragure, gen
orally one 20 two Der cent. higher. The differ
encc retained from the funds OF the bank until
had an amount then i divided II among the
trustees. In July. 1874 gave each dividend
u $3.50. Tint WIS made in that way. In pur-
chasing bonds always paid 10y checks signed
by the President. secretary, and cashier. The
bonds on which the July division was made
were purchased in 1874.
Mr.. Hahn then narrated the different pur-
chases OF bonds in 1874. aud gave list show
ing the amount paid and the amount charged
thus charged amounting 10 81 1880. WIS taken
10y me from the funds Of the bank AMI divided
among the trustees. At the meeting in July
placed each man's share in nn envelope wrote
his name on IL. and handed II 10 him. | have
here a memorandum book in which Kept q
record OF these transactions. But when divi-
ded the profits / always tore out the record
There Is record in the back part Of the
amounts paid the trustees at different times"
Hahn further testified that he ami the President
OF the bunk nre under charge OF perjury in
making false returns. and that when he lHnhnJ
made false entries in the cash book be knew
them TO be false.