St. Paul daily globe., 1889-05-25
Cashier Bradley and an AS
sistant Collar Over
100000
By Frauds Upon the Mer-
chants National Bank Of
New Haven.
The Money Used in Backing a
Patent Medicine Enter
prise.
Bradley and His Pal Stood
High in Church Circles,
of Course.

New HAVEN, Conn.,, May 24.-John
C. Bradley, cashier of the Merchants
National bank. is said to have been un-
der the surveillance of officers OF the
law at his residence in Fair Haven since
Yesterday afternoon. He is charged
with embezzlement, the shortage being
discovered by Bank Examiner Dooley
in his examination of the bank yester-
day. The bank officers decline to give
much information. The loss to the
bank will probably reach 100000. 1t is
charged that Bradley and Charles w.
Palmer discounted notes without the
knowledge of the directors, and that it
has covered period OF several years:
The directors suspected trouble several
days ago, and after preliminary exam
ination of the books Cashier Bradley
and Assistant Teller c. w. Palmer
were placed under police surveillance.
After further investigation today
Bradley and Palmer, were taken
in custody by the sheriff, though
they were not actually imprisoned.
The books show that the sac
cused have Systematically discounted
notes without submitting the paper to
the directors for approval. This prac-
tice has been carried on for number OF
years. until the bank was pretty heavily
involved. The officers will not name
the figures. but others place the amount
at from $4,000 to 100000, and business
men generally regard the latter sum as
about correct. Late this afternoon
President Bigelow issued the following
card:
ITO the Public: Certain Irregularities have
been found in the bank involving the cash
ier as:d assistant teller. There will probably
be considerable loss TO the bank, which will
not, however, impair its capital 1t has not
yet been ascertained whether these officers
have been the benefciaries of their irregu-
larities, but notes have been discounted
which were not presented to the board of dl-
rectors for their approval, and the loss on
this class Of papor cannot at this moment be
stated. II. B. BIGELow, President"
Mr.. Bigelow subsequently said: 81 do
not think the entire surplus (s100,000)
will be lost, and hope that it will not
exceed half that amount" Teller
Palmer has made a full confession of
all the transactions, but this can not be
obtained tonight. Palmer is interested
III the manufacture Of patent medi-
cine, and one story current is to the
effect that he borrowed considerable
money to extend his business. and
being unable to meet his payments,
tided over by discounting notes for the
pdrLleS OIL WHO'LL lie udu DOIIOWcU
money. This practice. it is
Bradley. but Palmer induced him to
keep it quiet, promising to take up the
notes as fast as they became due. Fail
ing to do this, other notes were dis
counted until the cashier and teller be-
came deeply involved and were COM
PEELED to keep quiet for their own
safety. The general opinion tonight is
that the affair is much worse than the
bank officials care to admit. Cashier
Bradley is spending the night in the
sherlff's office and Palmer is at his own
home in charge of deputy. Bradley
popular. He was prominent in church
circles and was also prominent in mill
tary circles. Palmer is about forty
years old and has been with the bank
nearly twenty years.