Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1881-11-02
BALDWIN'S BANK.
HOW ASPeCuLATIN6 CASHIER ROP60
INTHE MILLIONS.
Doubts as 10 Whether a True ENplanatlOn
Has Been Mad.-Strange Stories
About Wall Street Speculation
Firms involved - Nugent's
Property Demanded.
NUGENTS COUNSEpS STATEMENT,
ScoopIng in the Shekels

| saws il is now understood that the Me-
chanics National bank OF Newark loses
by its cashier about two million six
| hundred thousand dollars. The alleged
use made OF the money by him is even
! more amazing than the amount taken,
and this is the reason for doubling
whether a true explanation OF the dis
| position of the funds has been made.
At the same time nothing has come 10
| light in Wall street which shows that
| the money was lost in stock exchange
specuIatjOns. The fear that there would
be a run on the Savings bank in New
/ Jersey has not yet been realized.
NEWARK, \. j., November War
rem Ackerman, former director OF the
Mechanics Bank, who demonstrated
against the one man power, has begun
lawsuit against President Halsey for
debt caused by negligence. Nugent 5
counsel deny that he received the large
amount stated by Cashier Baldwin.
| They say he cannot ascertain how his
account stool at the bank because
! Baldwin had them 50 mixed up and he
| was
In the Lstter's Power.
None oi the other banks are seriously
! involved with the Mechanics. The
! President OF the Mutual Benefit Life
! Insurance Company has telegraphes
! their agents that the banks failure does
| not embarrass them, their deposits hav-
| inc been steadily reduced since May.
| The receipts from the agencies have
been deposited in the State Bank.
NKw York. November LIN the
wreck of the Mechanics National Bank
at Newark, what strikes business men
strange is that the directors first and the
bank examiner next should never have
thought il worth while to verify the
statement OF Cashier Baldwin that the
bank had over 3 100000 on deposit at
the New York agents. An attempt to
verify this would have exploded the de
reption at once, aGd as said when there
was An item Oi this kind about five
times the amount Of the capital It
would have been thought that 4 veriti-
! cation would have been made. There
j. vet no reason Tor believing the rumOr
that some Of the directors knew more
about the matter than they now admit.
1t seems that United States District At
tornev keasley became satisfied, after q
hasty examination OF the books OF the
bank and papers relating to {. Nugent
< Co, surrendered by Cashier Baldwin,
that the assertions OF Baldwin in his
| voluntary statement
Were Substantially True.
Hence he made the demand on Judge
Teesa. Nugent's counsel, that the prop
! erty iuow in the hands OF Nugent i
Co. be Immediately surrendered to q
receiver in partial restitution for the
amounts distracted by Nugent in COM
plicity with Baldwin. The district at
torney exhibited 10 Teese some papers
on which the claim is based and insisted
that the goods now in the factory were
produced bv application OF the money:
drawn from the bank and were in fact
the property OF the bank. Teese asked
to be allowed to have an expert examine
the matter and pledged himself that tht
property should be left undisturbec
until the examination was completed
and he could give an answer.
Baldwin stated TO the district attorney
that he received one per cent. commits
sion from Nugent for negotiating hi
paper and taking charge OF his bankin!
business. Counsel for Baldwin said h'
believed his client would he enabled
TO prove the truth OF all he had
said in his confession with regard to tht
, transactions OF e. Nugent 4 Co. witt
the bank. IT has already been asCer
=. tained that during August, Septembe
=, and October, the firm had drawn iron
/, the bank nearly $500,00O. He though
: the hgures were about S4160OO. Witt
such drafts as this it wOuld not take Ions
/ TO Draw Out s2,OOo.oOo.
of course there had been some none,
4 paid into the bank by Nugent & Co., bu
/ the payments did not reach 30 per cen
/ of the drafts. Counsel for &. Nugen
e said he would be able soon to show tina
Baldwin's confession was false. T.. Nh
e cent < Co. had not drawn any sucl
= amount as S2,0O0,000 in excess OF credits
a and he doubted if the excess wculd b
ono tenth Of that amount. The firm wa
making up from its own books state
m,nt OF money paid in and drawn on
{ of the bank for number of years past
= and this ne thought would offset tn
; banks figures. g. Nugent X Co. hav
. not made an assignment, nor do the,
> Intend TO do so. The story that tn
- bank VAS TO be the preferred Credlto
was also an error. At present it was TIN
= Intention Ot Nugeut X Co. TO remain
7 still and abide events, when it would b
!" found that the people had been misle,
/ as 10 the way the money had gone
When informed that the bank elaine,
that Nugent L Go. had drawn nearl
S;OO,OOO during the past three months
counsel said that hrm that employe
y 700 hands day and night woul
= !. have a large pay roll, and that alon
y was over $1,000 per month. The
here was material to buy and other eS
- D ,nses, but was it not likely
, Ttere Would bs Some Receipts
"a 10 counterbplanc. this larger expend
ture" All the money received went int
the Mechanics bank and this was wha
the firm is To show. The fact of IN
D. whole affair is Baldwin was the hnaucis
N manager OF the firm, and has been 10
: about eight wears. Neither ChristOphe
n nor James Nugent We're tinanciers o
n claimed to be, and Baldwin had pOwe
W OF attorney to till up anu sign notes an,
y. checks. How easy 1t would be ior hin
a. to I'LL up such notes and place then
among the banks papers instead OF lie
posting the receipts ot :he Irm to thei
credit The pass book would show In
h. notes as deposits and the lirm kno>
Ir nothing about l.. A fieud q
)i Cashier Baldwin said he wa
Df with him on the day Garfield wa
81 bur ed an | hCarl tn former ask {
Nugent Tor money. Nugsnt said he ha
a large quantity OF material made up au,
would soon be enabled to pay in abou
e S5OO.OOO. This, he thought, was evi
: ieuce from Nugent that his account la,
/: been ovtT1rawn to Il alge amour,
IS Baldwin WAS very pale ~uen he spok
,r 10 NuSent, as II ap MAS sutirring iron
e great anxiety. PhiueIs Jones. one O
/ the bondsmrn f'r Baldwin. was in
= better fame u, riui tGsS AFTERNOON H.