New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1881-11-02
TALKS WITH NEWARK MEN.

DGsTRIcT-ATTORSEY KEAsBEY BELIEVES THAT THE
CASHIERS STATEMENT Is TRUE-1HE DEMAND
| FOR THE NUGRNT AssETs-wHAT JAMES NUGESr
sAYs-G. A. HALsEYs OPINION An 1NcREDr-
LOUs DIRECTOR.
United States District-Attorncy A. Q. Keasbey, Of
Newark, when asked If there were any new deycl-
opmcnts in the case yesterday, replied:
"Nr Baldwin asserted p his voluntary statement
that almost the entire loss OF the two millions was
to he ascribed to the irregular loans to Nug,nt 81
Co. The hasty examination that 1t was possible to
make ON Monday, confirmed me in the belief that his
statement was substantially true. | therefore
caused the arrest of Mr.. Nugent. | continued
the examination last night and this morn
ing and satisfied myself still further
that the statement was true obtained
from Mr. Baldwin the books in which he had kept
private record of the transactions Of Nugcat u Co.
with the bank showing the amount Of actual money
and real assets deposited by the firm in the bank.
They show the deficiencies from month to month
between the funds so deposited and the amount
actua ly drawn from the bank by Nugent n Go. on
their checks, and exhibit moro or less distinctly.
the manner in which these deficiencies were from
time to time apparently made up by means of drafts
Of Nugent & Co. upon persons in New-York with
whom the firm had no deposits. These drafts Mr.
Baldwin would take up,jn New-Iork by funds of
the bank thus constantly swelling the amount of
NugcEts overdrafts
81 also obtained the drafts themselves, and have,
by a cursory examination from the books. learned
that the overdrafs deficiencies referred to have
amounted TO over half million in 1881. OF course
this examination made hastily, and 1t IL to be
continued by an expert speedily possible. The
object has been TO get at the general facts. Being
satisfied that this money was obtained by Nugent
in incomplicty with Baldwin and with full knowledge
Ill. a ,I.t az, .rIa hat
might beinyestod in the large business which Nugent
carried on have to-day informed him, through his
counsel, that / claim, In behalf of the bank, the
entire property stock and manufactured articles
now in his factory. | made the demand on the
oround that they wcre the articles into
which this money has been converted,
and have demanded that he shall turn over all
that property TO the receiver, when such an officer
is appointed. To this Mr.. Nugents counsel replied
that he desired 10 make more careful examination
of the facts through an expert. lie acknowledged
the Justice Of my demands If the facts should De
established a. stated by me- He VIII employ nm eA-
pert who will examine the accounts under my super
vision and If the facts shall be established, he VIII
advise Mr.. Nugent to comply with my
demand, In the meantime no disposition
whatever will be made of the property; but IL VIII
be held nndsturbed except far as II ~ necessary
20 keep the business in operation. special ac-
count will be kept Of the current business snJccV
to future adjustment. Judge Iccse pledged nun
self that this arrangement should be Ob.erved stnc-
IS, ana asSulcu lllit iC hit lho iu'' '"'"''J
| to do So"
The Disfrict-Attorney added that it was almost
amusing TO hear Baldwin tell of the examination ol
the accounts made by the director1 One OF the isJ
questions put the cashier when nc was in custody
was "Why did not the directors discover the
embezZlementi Did they not maize any cXanlna-
| tions g oh, YES" Mr. Baldwin replied,
| they examined the bank very often. II
was only three weeks ago that they made
| the last examination. They were very careful 10
see that every roll of bills that was marked 700
really contained that amount and that pile OF go
that was marked 800 was correctly counted Bnt
the account which contained S2O0O,OOO was only
figures aud they accepted them as correct" Dr'
Keasbey remarked that the directors were not
criminally liable unless il could be shown that they
had knowledge of the fraudulent transaction.
RIGHTEOUSNESS OF JAMES NUGENT.
James Nugcnt member Of the nan of &. Nugent
q Co.. was yesterday by TRIBUNE reporter
at the Office of the firm No 159 Halscy-st, Newark.
lie was working among the 700 men employed in
the factory and was dressed like the ordinary work
men. He is tall stout broad-shouldered Irishman,
with brawny arms and sun-burned face. hed
chin wlisIers harmonize with the color of his face
He in his shirt sleeves and n green apron was
fas ened 10 his waist with strong piece OF ieatner
"YOu do not dress like member OF hrm that
has received two million dollars lately, said the re-
porter by way of introduction. .
WELL what silly nonsense that is" replied Mr;
Nugent. with broad Irish accent. What would
we be doing with such sum Of money as thatT
"Do you deny that the firm, or your brother, mas
received the mOneyp
Certainly do. 1t is all a farce TO say that we
| Continued Finh Page.