The Red Cloud chief., 1884-06-06
READING.
The burnside DeflicAtion-Nore OF ms
Penn Hank-And Yet Another.

The burnside or tnS
Penn Bank-AndY Yet Another.
WASHINGTON, June En- official circle
the -mbezzlement by Colonel j. U. Z. Bum
side quite took the place of pOiiticDas
topic of excited gossip. The high socia
and official standing of the man, and MS
wide acquaintance, intensified interest III
the case. The fact that il is the third con
Secutive enlightenment by officials in THIS
| position was sufficient to show that very
loose business methods obtain i'll this de
! rartInent. and criticism of the system winch
gives an official opportunity to 90 on steal
ing for months and years without danger OF
detection was unsparing. If the Shrewd adj
yenturer Lewis had not got caught ami been
compelled to run away. Burnside might
nave gone On stealing for Al indefinite
period, but his anxiety TO learn the where
3boCtS OF Lewis excited the suspicion Of She
Postmaster General, and the Investigation
was at once instituted which led To the
discovery of the enlightenment. The
news of Burnside's default leaked ont end
passed from mouth to mouth so RAPIDLY tat
the whole city soon knew it. Everybody
was asking everybody else if they had heard
Of Burnside'S arrest, and everybody WOE
dered whether he would be punished, or
whether he would escape like l~Io"gate and
other official feions. Everybody had Il story
10 tell about the extent To which bucket
shops and other kinds of speculation had led
clerks and officials aStray. The fact Is this
sort Of gambling has become a mania with 4
great lumber OF Government employees. fe-
male as we'll Us male. Many a mortgage of
small property registered on the docket tells
4 tale of unlucky speculation of the
mortgager. OF course, few OF these
have opportunity TO use Govern
ment money, and the Burnside
Ease will probably have the
effect of lessening opportunities in this df
rection. Chief Clerk Lockwood, of the In
terror Department. said regarding the EN-
beZZlement that he was not greatly sur
prised. in our department." said he, I've
have a system of checks by which ii is al
most impossible for a thing of that kind to
occur. There WAS much objection TO it
when | first had it adopted. All discussing
officers of the department are required to
render a balance sheet the first day of each
week. showing the amount of funds on
hand, at which depository, and their char
acter. The depository also furnishes 4
weekly statement of the officers account,
and the two should correspond" There is
the same difficulty here, however, that ex-
lists under the poSt-oiiicc system. Burn
sides books were al right, and balanced to
a cent. 1t was the cents which did not
agree with the books.
TIE PESN BANK.
PITTSBURGH. PA. MAY 3l.-An intimate
friend of George W. iiewley, individual
boOk-keeper of the Penn Bank. made a
statement Yesterday that the checks of ID.
Wilson ~ Co, Hill Il Co. and Watson d
Co., the mythical firms. were drawn and
signed by President Riddle and that the
latter represented all these firms. The
pool lost over = 1000 900 in oil and
that ovcrdraftS on the bank aggregate ST.
100000 Riddle. who once possessed hun
dredS of thousands. lost il in oil. The ru-
nor that the Pennsylvania Protective AS
SOciation was seriously involved by the failure
is denied. The Association had a few thou
sand deposited in tie bank when the doors
closed, but no claims have been rejected and
they will continue business. Notices have
been served on the directors for a meeting
TO prepare a statement tor the members,
which will he published the 18th of June.
Thomas j. Watson, oil broker, whose &C
Coullt WIS oNtiuIdNU c5..UVU. icIl Su,tItliiy
for New York with his wife. Detectives
have been ShadOwing his house for two
days. kilograms have been sent East 10
arrest him for conspiracy. There is great
excitement. and other arrests are antici-
pated. Search was being made for about
900 securities sent East Friday or Sat
urday, and of which there is 10 trace.
Attorneys are examining q big box
of papers found in the bank, which
may throw some hight on the Oil operations
the bank and explain many things which
were much talked of mysteries ut the time.
all assets of Mr.. Riddle which are
We're disposed of weeks ago.
Those turned over were those ON which
money could not be speedily obtained. A
from Harmony, Pa, says the Har-
nnOny Savings Bank closed its doors owing
10 money tied up in the Penn Bank. As II
known that the bank did business with
the Penn Bank a run was feared and it was
deemed best by the officers to close before a
rush would m There was no state
Of liabilities, but they are believed to
be small.
ANOTHER BANK FAILURE.
WASHINGTON. May 31.-The following
notice was posted this morning upon the
ioUrs of the banking house of ID. w. Middle
OF 4 Co, 1421 + street: Owing to heavy and
immediate demands we have assigned to
George T. Green for the benefit of our cred
The doors Of the bank are not
.lOsed, and a number of excited persons are
inside talking over the suspension.
No particulars are yet o~btainable.
- - Z
rho Republican National Convention-Pre- !
pairing for the Struggle. {
Chicago, ILL, June 2.-Immediateiy /