New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1881-12-23

but ne mas let his routine business get 30 i"i DN
that his office X In fearful condition.. A.,
Why did you employ the expert to examine 'he
booksi" .....,
"To find ont upon whom the irregularities rested, L
They were III one of the departments. Out "Iicn i
one did not know. The Auditor by his coiiiession
has materially hastened matters" -, n:,y
What part has F. B. Allen taken IN ms n ana That
1T is impossible to tell just vet. know thhe ~,
when he was a clerk in the City Counsefs once III
1876 he obtained information when ne mas S
used against the city and is reported to have male
some $50 600 That was in the matter of illegal
assessments, for the opening and lmpToVel'n:: ~: VI
streets sewers etc He has also acquired poSSeosloHa
of over 90 building lots through knowledge feceN W.
in the City Hall, and is erecting houses oh 'n'ii
every day." ,,..oa,,..r wirans Pr
al always supposed he was honest until the rev rev
elatiOns last night. He had no nght 10 ailoN
Palmer to handle his books, much less to make OUT
check and he has shown too much cohhoelco III
his clerk"
THE AUDITORS RESIGNATION ACCEPTED.
special meeting of the Common Council was
held last evening to consider the exiGencles arS-
ing from the confession of the City Auditor, freder
ick A. Palmer, and the irregularities connected WIN
the City Treasury Department" The hail. loDDy
and gallery was filed with curious persons Inc
resignation of Mr. Palmer as Auditor OF AGG2uoT leT
was first received and accepted Mayor fleuier
then sent in the name OF Henry u Darcy " w ~
Palmer's successor. long discussion. carried Oh
by three or four Aldermen then arose rs 10 "het1I
the bond which the Auditor is required 10 IIe H
should not be increased. At present IT Is only lor
$1,000. An ordinance was passed to increase ~ & ~
$40, 900. motion to Law Mr., Darcy n0hlhali13n 1
on the table was carried by vote of IL to Z, the
Republican members of the Council voting IN lhe
affirmative. The question of appointment VIII go
over to the Council of next year. The nominee Is
nearly sixty years old, Democrat, OF Ih94eralF
| means, and is brOther-n-aw of Judge Scndder' ol
Hudson County, N J. ,...
! 4 report from Expert Walden, on the condition OF
the treasury, was requested aud gwen by nm. me
report stated that Treasurer mans hau adNdIJ'u "a
money to various persons, taking from one man MS
note and from another a Government BOND, ana was
short in his cash account nearly, SloOO. Mt, laI-
den also explained the three checks that Ialinrr
drew which have been mentioned. Inc expert
report was accepted and the treasurer was ttPoid
rly suspended until the expert has hIlished MS N
vestigatiOn. Several aldermen then discussed Mr.
Winanss character, one asserting thaI lnIn m Nv
could be easily dupcd as w had beell hd no
right TO retain control of the finances OF tho clty,
Other members declared that the treasurer was "
good man. honest and l1nd-hearted, and II was un-
fair to disgrace him i'll this public manner. ..;..o.,
A committee was appointed 10 my ntestfsaIto aIo
Fire Department, who has confessed that ne mas
been receiving 10 per cent commission nOm
Chicago firm on the sales of new IRE escape
which has had an extensive sale IN Newark Inc
Inspector of Buildings will also have hls accounts
examined by this committee. resolution offered
by Alderman Theberath was adopted. instructins
the Chief of Police TO arrest Frances D
Allen, the real estate agent, for colluslon
with Palmer in embezzling the, cltys money;
The Alderman said that he had questioned
Allen in regard to his business transactions Win
Palmer, ana satisfied that he was guilty; Vh
a suggestion from the President of the Council, MI
Theberath will cause Aliens arrest this morning.
A reporter called at the house OF MT. Palmer laSt
night and his wife, who had been with hun all lhe
afternoon, said that his condition was very bad.
Dr. HaIght was sent for at p. m, ana was % re-
main at the jail all night
TIE SPECULATION IN WALL STREET
Mr.. Palmer dealt in stocks through the firm OF
Sterett 81 ColbrOn, No. II New-st but his losses
there were sufficient to account for only small
part of his embezzlement. Mr. Sterett the head OF
the firm said yesterday in reference to Mr. Palmer
and his operations: In October 1879, he brought
me letter of introduction from mutual irend,but
il was several months aferward that one daY III
the office he informed me that he was the Auditor oi
Newark NOthD then since in all intercourse
aroused any suspicious of the man. had learned
that he was possessed of some means, and his con-
duct throughout my acquaintance with hun was
such as 10 inspire confidence. When he came 10 our
Office and his visits at times were rare, his manner
was 0uet and reserved. HIS speculauons were on
moderate scale, and such not 10 cause alarm even
| IL we had suspected him of irreguarity. some
| had on hand and to send him check for the
| balance of the account. lie had thcn wv
shares Of stock, and that shows fairly the magnl-
/ tude OF his operations. lie lost money certainty,
although at times he was successful. cannot say
certainly how great his losses were, but III "a gen,
| SI5 900 or 500 ,0O0 When it became necessary
Tor us to call for margin he sent US usually ms
| own check and occasionally bills l knew OF
nothing to arouse suspicion IN the two years ana
| more that he dealt with us, and was greatly sur
| prised by the announcement of his crime"
| To the suggestion that the stock Exchange ought
to forbid speculation by persons holding Offices OF
| trust, Mr.. Sterett replied: " hat would reduce Tue
busiuess of the Exchange half at any rate II
| would take away the most lucrative part OF IT,