The Abilene reflector. [volume] (Abilene, Kan.) 1883-1888, 1884-10-02
FRAUDULENT FsuURE.
Serious Charges Against Louisville Firm.
4 Bank Fails in Western Ontario.

Serious Charges Against a Louisville Firm.
Bank Fails in Western Ontario.
LOUISVILLE, September 25.-The later
developments in the failure of the New
comb-Buchanan Company were almost the
sole topic of conversation in business cir
cles yesterday. This morning the offices Of
the various banks that hold the defunct
firms paper have been quietly looking up
matters to see how much they have been
caught for, if anything. 1t is not unusual
to see these officers visiting warehouses
with bundles of receipts for the purpose of
comparing the paper with the actual sup
ply. The counting rooms # the \ .wcomb
Buchanan Company were closed to the
public and the following notice posted this
morning: This Office is closed for an ex-
animation of the books. For in
formation call on the Fidelity Trust
and Safety Vault Company" The clerks
were busy inSi0r, assisting in eX-
amining all the receipts and books. Late
this afternoon reporter saw Mr.. E. g.
Halsey, manager of the Fidelity Trust Com
pany, who said: I'VE have found some
duplicate warehouse receipts, 20 what
amount am not prepared to say, bit this
much l can state: The probabilities are
that great many will be found. We are
not working Oh a particular case but taking
them as found. The amount OF work be-
fore us is enormous, and IL will require time
to properly attend to il. There are
75, 0OG barrels OF whisky, and it is all
in warehouses. We will have tocheck off
all the whisky before it can be ascertained
lnrx Ia ra1
There will be trouble. Thus the matter
stands. Undoubted evidence of fraud has
been discovered but to what extent cannot
be stated yet. The Buchapans are still miss
ing with 10 clue to their whereabouts.
George Buchanan left here Sunday after
noon and was last seen in Cincinnati in an
omnibus. One theory in regard to the Bu-
chananS' disappearance, which gained cur
rency, is that they have not gone to Canada
but to Nassau in the BuTmuda Is
lands. Here they have Q large amount
of whisky stored, having exported it
there to delay payment of tax. 1t would
be impossible for them to sell this whisky
without mOleStatiOn. Speaking of the firms
affairs this afternoon g6ueman said:
Victor NewcOmb drew GU. of the firm
shortly after the death of his father. In
1878 an occurrence came undo: my knOwl-
edge which will be of Interest now.
Mr.. Henry Vail, President of the
Bank of Commerce, n. y, brought
Il warehouse receipt, issued by Buch-
anan to Mr. NewcOmb and told him the
receipt was a duplicate. Mr.. Newcomb on
examination found that such YVES the case.
The receipt was signed by Andrew Buch-
anan. NPwcomb confronted Buchanan
with the matter and the latter burst into
faar "a
public bat | have it straight"
THE LONDON FAILURE.
LONDON, ONT. September 25.-The fail
ure of Thomas Fawcett, private banker. has
had depressing effect i'll Western Ontario.
\ great portion of tine banking business of
that section has been in the hands Of private
banks, and that of Fawcett was one of
the largest Of these. Besides the Of
flee in London he was interested in
branch establishments in WalfOrd Wyom-
ing, Arizona, Admission, MulbroOk, Thorn
burg, Dresden, Mitchell, Thamesville and
other places. In an interview to-day Faw-
cett said his liabilities, at a rough guess,
cannot be far short of 100000 or $500, 900.
The estimate includes the liabilities of
agencies in which he is interested. He felt
satisfied that the assets are far in advance
of the amounts named; although of course
if the estate be forced into liquidation or
placed in the hands of an assignee some of
the securities held would not realize
their face value. He was confident
that the estate, if properly handled,
would pay dollar for dollar When asked
about the deposits in his agencies
he said he had not had an opportunity of
ascertainng an approximate estimate of the
deposits, but since the federal difficulty the
shrinkage in nearly all the agencies had
been very large. In addition to this many
farmers had been forced to withdraw their
money. The failure, he thought, was due
principally to the dizziness of the cattle
trade, in which the different agencies are
very largely interested. The money on de-
post in the Walford and Wyoming branches
of Fawcett's Bank is estimated at 100000
and $50, 900 respectively. A large number
of farmers have unpaid cheese checks on
their hands. a telegram from WalfOrd
states that Fawcett intimated an intention
to close all his agencies.