St. Johnsbury Caledonian. [volume] (St. Johnsbury, Vt.) 1867-1919, 1878-06-28

:, dorstood exactly what he was dong anu
delssoo H. -esulfs would be. He dlsfe-
oardad the duties he assumed, lnvCit 10
20 Stockholders and directors Oh Cne
onmnanv with which he was c0nn e',. ~
nd worse than all, he was the Ilrso ~
sto;n Fall Rivers fair name. An %
,,Ia sbonld be set for hundreds "
vonng men battling with temptaIM,oee 1;
fbe offense is of a character TO can lol
tbe biohest penalty, and it could not oe
nronerlv met with light punishment.
ffudoe Dewey agreed that the crime
was one of the most dangerous 10 Cne
welfare of the community, as IL couiu
only he committed by persons noidinS
b;gb trusts. and such conduct Is most
demoralizing to those in lower positions;
The prisoner might have undergone an
tbe punishment necessary for hlmseu'
he said. but something had to be done
to deter others from such offenses.
Chace received his sentence without
emotion, giving his responses in clear
tone and seeming to regard the pro-
ceedings with the least interest OF any
one present. u
| this remarkable case
Chace, as is well known, was treas
urer of the Union Mill Company, also
of the Fall River Manufacturing Com
pany, President of a savings bank OF
Fall River and member of the firm OF
Chace, Mason & Durree, proprietors OF
the -four mills. Never, in the history
of Fall River, did man stand higher
in the estimation of it's citizens up 10 the
day of the disclosure of his fraudulent
transactions During the past few years
his advice has been eagerly sought by
hundreds, who were anxious to secure
safe investments for their savings OF
wears, and owing to Chace's reputation
for shrewdness as business man the
advice he rendered has, in the majority
of cases, been followed by those who
now see too late their error.
Internationally Chace had done more
to build up and strengthen the reputa-
ton of Fall River, as great manufac-
turing centre, than any other ten men
in that city. Through his enterprise
mill after mill has been erected, and
countless numbers been afforded en-
ployment, and at as large wages as
those paid in any other manufacturing
city in New England. He was ever
ready to assist in forwarding any en-
terprise that would rebound to the
credit of his city, and when the news
of his downfall was made public there
were few who would believe it until it
was announced that he had made full
confession of his wrOng-doings.
Being largely interested in outside
business enterprises, which, though
profitable at the outset, finally pro-
duced losses, and in the endeavOr to
sustain his reputation and the credit of
these outside interests, he availed him
self of his position as treasurer of the
Union Mill, and drew upon the funds of
that corporation to relieve himself of
what he considered only a temporary
Embarrassment, but which, as the re-
suit has proved, was a never ending
one. The period of his fraudulent trans
actions was from early in 1875 to April
8, 1873, and it may appear surprising
that Mr.. Chace escaped detection for so
long time, but when his methods and
opportunities are considered, the won
der is, not that he could succeed in en-
bezzling a half a million dollars, but
that he did not appropriate consider
able larger amount. Behind him was a
great and apparently tiOurishing cor
poration, and he enjoyed the almost
unlimited confidence of the directors
and those with whom he did business. |
There is good reason for believing that
he commenced his operations without
intent to defraud any one. Once COM |
United, he could not retreat, and day !
by day and month by month he went
deeper aud deeper, until at last he was
over five hundred thousand |
dollars of illegal paper. His notes of
five, ten, fifteen and twenty thousand
dollars were maturing almost every day |
in the year, and to meet the notes that |
were payable in Boston he would ex-
tend his discounts in New York, and |
tice Uersd, taking from one basket to fill |
another.
During this time he was freely using |
the funds of the Union Mill for his pri- |
vate purposes, and this drain, as well |
as the interest and commissions on the |
paper, gradually but surely |
swept him from his feet, and brought |
utter destruction not only upon himself, |
the Union Mill, the private enterprises
he was interested in, but upon relatives
and personal friends from whom he
sought relief, and who had unbounded |
confidence in his integrity.
The Union Mill, one of the most COM
pletely equipped establishments of the
kind in the country, has been forced
into bankruptcy, and its stock (par
value SlOOO), which three months ago
was regarded worth $4,000 per share, is
to-day worthless. A large number of
operatives have been thrown out of
and many of them are
now in actual distress for the necessaries
Of life. 1t is remarkable, under these
that Mr.. Chace retained
his equanimity and carried on his op-
erations with smiling face, that dis
armed suspicion.