, 1879-03-02

HENRY GREENEBAUM.
MIR. Weber Will Not Let Up on
Him.
He Hopes to Find Something by Exam
ming the German Nationals
Books.

Books.
More trouble is brewing for the "little Ger
man banker" an examination OF the assets Q
the German National Bank now in proercs
promising at least Il technical case against him
It seems that Mr. Juessen, who recently re
turned from Washington, got authority from
the Comptroller while there for Theodore
B. Weber to examine the books, etc.
OF the bank in connection with Elmer Wash
burn, the Bank Examiner. These gentlemen
assisted by Mr.. Weber's bookkeeper, went tt
work Thursday, and, it is said, have already
madc some startling Observation-Disclosures:
which indicate condition Of things even worse
than that which it is claimed vas unearthed BY
the investigation Of the German Savings Bank.
So far rs available assets are concerned, Mr.
Greencbaum, ut the time Of the tailure Of the
| German National Bank, stated that the capital
stock had not been impaired, and that it would
still pay at least 50 cents on the dollar but It is
now alleged that in order to pay the creditors
and depositors an assessment against the
stockholders OF at least so per cent will be
| necessary. This SO per cent would cover the in
! dcbtcdness of the bank if all the stockholders
| were responsible, but it is alleged that half Of
them arc irresponsible, that in order to cover
all the liabilities it may be necessary to assess
| the stockholders who are good 100 per cent, ,and
| this will probably be done.
| AMONG THE EVIDENCES OF ALLEGED d.
PLIC1TY
.,1rc.dv ea5s IN hare hecn hronpht IA 1;oht hv
Yhc examination now coinr an are the follow
ing: Almost Immediately before the failure Of
the bank Henry Grecpcbaum himself made
two call loans, amounting to about $450o0 for
which he deposited IS collateral $4,000
Of the stock OF the German Savings Bank,
which at that time. It Is alleged was perfectly
worthless. Also. that the firms OF Henry
Grcenebaum, Bros. d Go. and Henry Greene
baum & Co. had largely oyerdrawn their &C.
counts, the New York house to the extent !of
about $4,000. Also, that large sums
had been distributed generally among
the Greepebaum family Also, that
Michael G1cencbaum, u brother of
Henry's, made call loans amounting to S13,0uo
without depositing any collaterals whatever.
After his failure be carried on business in the
name of his wife. Sarah Grecpeba11u. and. rs
her agent, procured further call-loans up to the
month OF November, Just prior to the smash
uD, of S3,0u0. without dcpositing auy
SECURITY: also that Francis arnold. .rwbo says
that be never had any transactions himself with
the bank, figures amoug the Debtors he owing,
according: to the schedule $4,000 Mr, Arnold
was Jointly interested with Henry Greene
baum in Humboldt Park specuiat1ops, and
says that this S49,0oO was private
jndeht rfIness owing tn 1reenebaum. and was
based cntirelv ,,nnn 1and rransactions with him
Mr. Greenebaum. according 70 the books, nut
the trust-deeas and notes among the assets Of
the honE and drew ont the currency
II ;s claimed that since The banl, vent tnto
litigation
THE Assets HAVE CONSTANTLY DECREASED,
and AZ MIR. Henry Greenebaum is believed to
haTn lad thc nToctirol management of it's AFFAIRS
since that event. Mr.. Weber is trying to dis
cover the cause Of the slrlnkaec, Althoueh
nothnr nos;tivc AZ far as ran he learned. has ret
heen found. it is undcrstood from q generaI in
sirnt that some good assets have been taken
out and bad ones but in, It is alleged that "a
pers are now among the assets which were not
There are a great MANY books and papers to be
pone over, and the Investigation will doubtless
last week or more and whether enough will
be learned to Justify the commencement Of
until the examination is ended, The National
Bank law is very stringent regarding the
use OF money by bank officers, and it what Is
stated above be true, there may be some ground
States Gran.l jury.
1t is also understood that the savings
bank matter, Notwithstanding the failure to
get an indictment in No:cmber, has not been
dropped, but that another effort viii be made in
this direction very soon. It is claimed that,
Jury did not give it such hearing as the ale
cations required, they refusing to let NJ. Web
or refer to the books, but demanding that he
should state what he knew from recollection.
4 movement is said to be on loot looking to
the
REMOVAL OF RECEIVER FLOWERS, |
and whother bc will m mr. remain Is said RI d.-
ntu nnud nnon The invest,Dation now in nroorcss
ha ernI1nd ,,nor wh;ch The annli,otion ;s haseI
= so;1 ~ ~ hat t,,e firm of Which NJ F1oey-
:. are is men,her has been the lepaj advisers of
tI,., &C. h h,n,1 Aoo~A N@' '~~A ''A~ ~
IA ann.ta- c.11ed m Ar Forera ,,st oveni,
,,,1 oslrcd II lin repordinr this rnatter and -
id a;d +hat h;a ' i;rg wos never +ha cnnnsei ~
lIaa-v Ia Graanahonm They bod hem 1he attor~
.ion. lou an and had had charge Of the collections Of
order OF tue Board ol Dlrectors' anu not AZ Mr'
-7Ieeaeuauuis le4uIsI: No., |