The New York herald., 1879-12-17
SECRETARY DoNELANs DEFENCE.

WHOLESALE DENIAL OF THE CHARGES MADA
AGAINST HIM By THE DEPosIToRs OF THl
MECHANICS AND LABoRERs SAVINGS BANK
The taking Of testimony on behalf of the defenco
in the trial Of the indicted officers and directors
of the Mechanics and Laborers' Bank. Of Jersey
City, was resumed yesterday morning in the Hudson
County Court of General Sessions. Henry Carroll
was recalled and said:|I qualified a.
treasurer Of the bank. because l could not give
sufficient time to the duties Of the ofices
my name was the door Of the bank as treasures.
and at the request Of the Executive COMMITTEES.
allowed it to remain there until the bank closed; Z
am confident that the Executive COMMITTEES made
efforts to force settlement from Haliard and suits
were ordered TO be commenced against him; never
knew of Halliards deficiencies until June, 1878; DR..
O:Callaghan and myself gave note for $4,000 to
help the bank and got mortgages from the bank a.
security; that note has since boon paid ont Of the
bank funds.
SECRETARY DoNEIAN ON THE STAND.
The next witness called was James W. Donelan. the
secretary Of the bank who deposed follows:-I
am now secretary Of the Hudson county Catholic
cemeteries, agent for the White Star steamships
and an insurance broker was secretary Of the Me-
chanics and Laborers Bank from 1878 until its
closes the Executive Committee the year 1875
composed OF Messrs Sheeran, Dttmar and Sweeney;
after the appointments of that COMMITTEES gave
to them information of the condition Of the bank
and they ordered TO call meeting OF the direc
tors that meeting held in February. 1877. aud
Halard. reporting to them the number and amount
oil his irreg guarities Mr. Halliard VINO was present.
$4,000, which was taken in place Of the
| missing United States bonds for that amount;
| among the other principal irregularities was
| the Dixon mortgage. upon which $1,000 had been
which afterward received from Halliard and placed
| in the bank; the McEntee mortgage for $2.l00.
which also paid and unaccounted for also col
iected afterward from Halliard: in November 1877,
| Mr.. Sweeney resigned from the Executive Com
mittee and Mr.. Carroll was elected IN np; ms place;
| pressed Halliard hard for money. and at
the meeting in Janusry. 1878, Haliiard said
| II can pay the depositors dollar for dollar
| whenever it is required. but you must NOS
ask where got the money fromr' full state
made to him and he denied his responsibility as re.
CARDS some Of the items-princpally the Van Worst
asked Haliard il he was not responsible who was.
Haiard finally admitted the responsibility aud gave
cies on his life in the sum $4,000 security
for those notes Father de Conao met the committee
At house on October L. 1885, the object
of meeting to try and dispose Of the ceme.
terry property, 80 AS to get settlement from Hal
lard; the Bishop also present and he said he
would take the matter under consideration; we dlo
not hear from the Bishop again until within two OF
three days Of the closing of the bank. when Mr..
Garrick brought word from him to the effect that he
refused to purchase tho same; it was then I in.
formed the directors that the bank must close;
never .
voice a. to whether tho bank should be closed or
not.
WHOLESALE DENIAL
witness thon strenuously denied ever having
entered into any conspiracy defraud depositors
persons intending to become depositors neither did
| he make any false statement regarding the
banks condition financially; l always believed.
continued witness. that Halliard was able to meet
his indebtedness to the bank and considered the
cemetery property to be worth at least $00000; but
relations were always uniriendly. and what the
directors learned to the affairs of the bank was
through me: the first time ever James Chester
was when he made his first deposit; never told
him that the bank had capital; never told him that
the poorest of the directors worth $10O000 and
the richest $500 O0 told him after the failure
that had sl,650 in tho safe and would pay him
greater amount than other depositors would receive:
told him that an Irish Catholic bank safer
than Protestant bank: never asked him IL he was .
Catholic told him that bank the safest in
the State.
Witness continued to deny in Toto what was ale
legged to have boen said by him to,Mrs McCabe Mrs.
King and all the previous witnesses to his charsc
ter and transactions with the outside public. and
still on tho stand when the hour Of ADJOURN
ment arrived.