New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1878-04-11
PRICE FOUR CENTS.
A DISHONEST TREASURER.
NEARLY HALF A MILLION DOLLARS STOLEN.

| NEhhL1 HALF A MlLLlON DOBLAho cloI4INs
THE UNION MILLS COMPANY, OF FALL RIVER. PLUM
DERED BY s. Angler CHAcE-CONFEssIoN OF
THE CRIME-THE MILLS ATTAcHED-FULL Ex-
TENT OF THE LOSS UNKNOWN.
FALL RIVER, Mass. April los. Angler Chace.
treasurer of the Union Mills has confessed to the
ENLIGHTENMENT of $4S0,0O0, and it is probable that
the mills will be put into insolvency. The defalca-
ton has been going for a number of years, but
recently the paper of the Union Mills has been scat
tered very freely although considered good by the
banks. The corporation is an old one and as it
has been erecting new mill lately, the surplus of
the paper afloat did not attract attention. Yes
terday some of the paper went to protest.
It Is believed large amount is held in New-York,
Providence, New Bedford by several Boston banks,
besides banks in Lowell, Taunton and other places
Much of the paper has strong Endorsements, and it
is believed that between the assets OF the mills and
the directors all claims will be met.
Mr.. Chace has hitherto been man of high social
position is about ffty-eight years of age, and has
been resident of Fall River since 1922. He was a
member of the Massachusetts, House of Representa-
tives in 1865 and of the State Senate in 1867 and
1868. Besides being treasurer of the Union Mills,
he was president Of the Second National Bank and
of the Fve-Cent Savings Bank. Until within few
months he was treasurer of the Fall River Manu-
factory the directors of which, believing that he
had too many and great responsibilities, elected
another man.
The defalcation is represented by the rissuo
of notes of the company, Discovery was made yes
terday when the directors learned that one of these
notes had come to protest. Investigation was begun
immediately and lasted all night, and though I'M
willing to believe that Mr.. Chace was guilty Of
defalcation, they finally became convinced that
nearly half million of the corporations money had
baen used ny him and was covered nv notes hearing
his own Endorsements.
THE COMPANY's GOOD CREDIT.
Until within a short time the notes of the corpora
ton were held to large amount by five Boston
banks to wit National Bank Of Redemption, New
England Trust Company, Webster National, State
National, and First National These banks have
recently declined to receive the notes OF the Union
Mills, and it is believed that it was owing to their
payment of the note which went to protest, and
which led to the discovery of his defalcation:
eciyed bV Hale Remington of Fail River. and he hav-
ing associated with himself David Anthony, ). An
ger Chace, and Oliver Chace, corporation was
The par value of the stock was $1,000, and has
been in such demand that it has, at times, sold as
high as S. 900 per share. The last sale, made few
months ago, realized between $1,000 and $1,000
per share. The mill employed 300 operatives,
and the weekly payroll amounted TO 5000.
The annual product of the mills was II, 100000
Yards of what are technically called PRINT cloths"
If runs 44,7SI spndies. and 1850 looms. The
credit of the corporation has stood remarkably high,
and has been regarded of the strongest IN Fall
River. its paper being readily discounted by the
New-England banks at low rates. The directors
are as follows; John b. Anthony president, Chas.
r. Dring Holder T. Durfee, Foster III. Stafford, Eli
jah G. Kilburn, William Mason, and ;. Angler
Chace, the latter being the defaultng treasurer 1t
i reported that William Mason, of Taunton, and
Foster H. Stafford, who were among the largest
stockholders of the Union Mills, have recently dis
posed of their interests and have thus escaped the
crash. Mason resigned his dictatorship Ill the COM
pany about year ago.
CREDITORS BELIEVED TO BE SECURE.
The second mill was built entirely from the
earnings OF Mill No. l. Although the liabilities
of the company are largely in excess of the capt.
tai, the officers and directors being all rendered
individually liable for the debts of the corporation
under the laws of the State, it is believed that tho
creditors are in little danger of suffering losses,
which will principally fall on the stockholders 1t
is SAID that Mr.. Miller of directors, admitted,
in conversation, that he would loss his entire
property aud Il is probable that the other directors
will share his misfortune.
All attempts to interview Chace, the defaulting
treasurer, are repulsed consequently no statement
of bis personal liabilities can be given though they
are known to be heavy. The statement of the dl-
recOrs of the Union Mills, which expected this
afternoon cannot be given out at present. as the d
rectOrs are working upon the cOmpany's books TO
ascertain its standing. The only statement they
make is that Chace confesses to having used from
$50, 900 to 100000 of the corporations money,
and that lie begun his operations about three years
ago.
THE MILLS ATTACHED.
An attachment has been put upon the Union Mills
by Henry T. Pearse, private banker of Providence.
The amount of the writ is not ascertained. Mr..
Chace the treasurer of the Union Mills, in letter
to the directors acknowledges that he is defaulter
in the sum of SISO,000 Some of the directors
are SAID to be indOrsers on the mill paper but to
what extent Is unknown. Tire flye-Cent savings
Bank of which Chace is president, is said TO be
cure, but the bank is eXacting sixty days notice
from depOsItOrs.
THE FIVE CENTS SAVINGS BANK SECURE.
FALL RIVER, Mass April 1O.-RumOrs hav-
ing gained circulation affecting the sovency of the Five
Cents Savings Bank, of which :. Angler Chace was
president the Bank Commissioners, to-day, examined
its affairs and have circular assuring the public
of its soYencY and that its surplus will amount u nearly