The Middlebury register and Addison County journal. [volume] (Middlebury, Vt.) 1883-1885, 1885-08-28
FORGER Ind DEFAULTER.
Crimes Which Led Bank Official
to Kill Himself.
A Shortage of Nearly 100000
Discovered in His Account.

Forth Worth CTexas dispatch tells this
story of a prominent and respected bank of
fical's downfall and death: The late John
Nichols, vice-president of the City National
bank, whose sudden death occurred on Mon
day at the bank was defaulter in a large
amount The officers of the City National bank
Immediately called meeting of the other
bankers in the city to investigate the affairs of
City National bank. This committee of
bankers report that they found the late Vice
President Nichols to have been a defaulter in
about $50, 900, but they considered the bank
solvent and sound. The bank has paid up
capital of $4,000, with a surplus of $50 900.
Mr.. A. NJ. Britton, president of the bank.
says that the bank will recover its loss out Of
the estate of Nichols, as he is believed to have
left an estate valued at 100000, and his life
wos insured for S2I. 900. Although Nichols
was president of the bank and held $50, 900
worth of its stock, he ohciated as teller, and
thus had opportunities for abstractng money
without the knowledge or assistance of any
other employe. The discovery of the defal-
cation created profound sensation, as Mich
OILS stood very high and was one of the most
popular citizens Of this place lie leaves two
daughters, both of whom are married An
investigation into the cause of his death is
now being carried on, and the body will prob
ably be eXhuIned.
run on the bank was to be expected after
the disclosure of the defalcation Yesterday.
Before banking hours this morning little
Knots OF men AMI women were seen in the
neighborhood OF the bank and after 8 o'clock
there was steady stream of anxious deposi-
tors to the tellers window. and thousands of
| dollars were paid out. by o'clock the run
was over, the crowd had disappeared from
about the door, and everything looked as
t6or Ini Or two S9d 2n Sb men to show
the excitement occasioned by the run was
dying out, when, shortly after o'clock, the
banks doors were closed aud the following
notice was posted;
ms bank mas suspended, 10y order of the
Controller OF Currency, as per telegram;
NASllINGToN. ID. C., Aug 20.
10 a; W. Brdto4; President Ctty National
BdhN' foFt WofW:
Examiner has been ordered to take posses
sion ana examine your bank Close doors
ana hoid all assets as they are until his ar
rival. j. ;. LONGWORTHY,
Deputy Controller
MI. Brltton sali That knowing the author
! ties at Washington would think it strange
that they were not notified Of the defalcation,
he TINS morning tele2raphed the controller of
/ currency informing nm of the delalcaton,
| and stating tlat the bank was solvent. In
| reply, Mr.. BrttQn received the Official order
gwen al BE. MI Brltton, before closing
ing the nank, prepared and sent to the tele-
graph once message to the controller, to
the erect mat inc bank mad been examined
| yesterday ny committee OF bankers and
pronounced solvent ana asking the con-
| uolier 10 resc!nu MS order Inc other banks
| Oh me city hau signed telegram to the same
/ eHecV.
Al TINS ]uncture I. U. edwards came up
anu askei lor MS money; br!tton asked him
now much money lie had on deposit.
| Inlrty-elSht hnnured dollars, was the re-
| ply
gu are mistaken, sald brltton, there
| IS 10 your credlG only ,rhlrteen hundred
| dollars ana some cents" ne accounts were
examined ana cheGk was Iouhd Tor S2,30o,
daueu aug 10, sl5Heu T. IT, ~ EuWards ana IN,
uorSeu a. +. OTo"Iey. ihire was also found
| u Hote 70 hr; George . buIculil Tor Sboo,
slgheu .oohh -N II vice president: 1hese
papers were uotIl lionounceI lorSerleS. Not
hnomlnB no" many more Such lorgeries