New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1880-11-14
THE BROKEN HACKENSACK BANKS.

| CASHIER BERIY'S EMBEZZLEMENTS.
| THE EXACT AMOUNT NOT YET DErERMiNED-EX
! PLANArIoNs or THE DIRLCroRs-rHE APPOINT
| MENT OF The RECEIVER,
The suspension of the Bank of Bergen County
and the Bergen County Savings Bank continued tC
be the general theme of conversation Yesterday III
Hackensack n. j. In the morning rumOr was
current that several directors had withdrawn tjcII
deposits from the banks day or two before they
! closed. What basis t1e gossip had nobody seemed
TO know, but the conduct OF the officers de-
nOunced in severe terms. The rumOrs were promptly
denied al the bank. john o. erode, the dealer In
tobacco who had 50 900 invested III both instItu-
tons heard tne rumOr ana immediately called at
the bank building. He had heard that one Of the
directors had not only drawn out the money which
lac had deposit the day before the closing
Of the banks but had also Ovcrdrdwn ms accOuu /.
Mr. erode asked for an explanation. David Ter
hume director, gave him access TO the books and
showed HIM that the director had Overdrawn his
account slightly about "a week ago, but had made
another deposit tuesday, leaving several hundred
do lars III the bank to has credit. II found that
Dircct or f. NJ. Wheeler had $4,000 on deposit III
the County Bank. PRECEDENT AckersOn 81 ,OJ0 and
another director $4,000. Alr. erode perfectly
satisfied with the result of his investigation.
IL regard TO tue inumatIOn by several depositOrs
that W. NJ. Johnson, the receiver, had been ap-
pointed solely III the interest OF the directors MIR.
erode said that Mr.. Johnson had been he unan-
nous choice of the directors, and he, with many
Others, thought the appointment q jUdcious one.
Mr.. erode deposited $500 IN the County Bank as
late as Tuesday, two days before the suspension
When lie learned the crI0ica condition of he banks
he was wiling 10 dOuOe his stock. even If II be-
came necessary 10 mortgage his house aud lot to
keen them gong. The $4,000 subscribed by
the directors 10 keep them aloat seemed sufficient
at one time, bat further inquiry showed that II
would be impossible.
An accurate statement of the funds embezzled bv
John j. Berry cannot be gwen until the accounts of
tie banks have been thoroughly examined From
various estimates made by the bank officers The
amount will probably be something between
$40, 900 and $150O00, as already published IN
IHs TRIBUNE, ana may possibly exceed the latter
figure he embezzleT carried of among other
things, 500 Doom Government bonds %15. 900 IN
Hackensack Commission bonds, and S14,500
Bergen County bonds Some jersey
City and Hoooken bonds were returned,
and 5000 IN Bergen County bonds
now in the bank, had evidently been used This
was apparent from the Endorsements taey bore
Mr.. Berry kindly le,t $1,000 IN Hackensack Con.
mission bonds IN the County Bank and SO 500 i'm
bonds Of a similar character III the Savings Bank.
Receiver Johnson said that his bonds to the amount
OF $4,000, had been drawn mp, and Oh Monday he
would qualify. He had reason to suspect that
Berry had an accompce. but he proposed. with the
and OF experts. TO make thorough invest CATION.
The SCI 900 OF the STOCK OF the Gamewen FIRE
Telegraph Company. turned over 10 the banA by
Mr.. Berry, had 10 present market value but might
bring about -, 600.
Much Indignation was expressed by depositors
yescrdaYtO - TRIBUNE reporter at the small auonnt
OF ball-Sl OO0-under which Mr.. b .I1y has been
placed. Ii pointed out that the sum would op
II If flag amount among mis- wealthy relatives ana
should have bees much larger on a charge Of en-
bcZZ,Ing $40 900. DR.. BurdetJ was summoned TO
Mr. Berrp's house yesterday morning. Mr.. Berry
was found TO be suffering from nervous excitement
Inc grocers and butchers OF llacAensack give hnI a
for making good bargains for himself.
In addition to his fancy poultry, ho owDs imported
cats winch cost large sum. Il sides his Scotch
terriers and bird-dogs he has dog vamed
at $500. Ten years ago he was worth $50 900,
most OF which he lost in business ventures IN this
city. IL Is said that deposits made tue day before
the closing of the banks as well as the closing day
have been returned TO depOsitOrs.
A MAJ living ~ Rutherford Park has declared hs
Intention To nstltu'e proceedings against the d.
rectors 81 tn" banks for criminal ncg gence. The
wife Of Director David lerhune had ~ 600 ON de-
post III the Savings Bank. She is sai1 10 nave
asked her hIisoand after the bank had closed why
be did moi tell her how matters were gong Mr.
lerhune replied: Il thought you woul Id rawit. nv
lear.D - ''