Evening journal., 1890-05-08
uUiUn SIULE snE 6UNQ9
He Took $50, 900 Worth from I
Deposit Varft.@ q
THE DrFALCATIoN CONFESSED


lie Needed Money and Could Get Ii in Ns
Other Way "A Canadian Assurance Com
pany Is the Loser How the THEFT WA
Discovered.
New YORK, May at is stated on author
ity Of w A. Booth, president Of the Third
National bank, that William II. Guion,
the well known shipping man, who foi
many years and until its failure several
years ago was the head of the firm Of viii
iams < Guion, is a thief and defaulter
Mr.. Guion is openly charged with stealing
$4,000 worth of bonds belonging to tht
British-American Assurance Company OF
Toronto Canada. The bonds stolen were
part of securities amounting toaboutSf5G.
900, Of which Mr. Guion and President
Booth were co-trustees. The securities
were deposited with the trustees ia accord
ance with law which requires foreign ia.
snrance companies doing business in this
state to deposit certain amount Of theh
assets here for the protection Of local Gus
toners. President Booth and Mr. Guior
were appointed trustees ten years ago
The securities were placed In boxinths
Mercantile Deposit company. Each Of thu
two trustees was given a key, and no ons
else had access to the box. The securities
were supposed 10 be counted sem mi-annuall,
by both trustees. Neither trustee was sup
posed to open the box save in the presencs
Of the otser. At regular intervals the two
trustees counted the bonds and cut Off the
coupons which were due President Booth
would count one-half and Mr.. Guion the
other the latter always taking care ia
count the bundle from which he had alb
stracted the bonds
The Theft Discovered.
In this way, although Mr.. Guion had
been stealing the bonds, few at a time, foi
nearly two years, he prevented discovery
until last March. At that time President
Booth was i'll and unable to visit the vault
with Mr. Guion. In his stead he sent j. f.
Sweasy, now assistant cashier of the Third
National
Mr. Sweasy insisted on counting nlt Of
the bonds himself, and thus discovered the
theft He at once reported the facts to
President Booth, who telegraphed the in
surance company, and next day the gov
ernor Of the company, Joseph Morrison,
came on to investigate, President Booth
acknowledged that the facts, as above
stated were correct, and then told how
Mr.. Guion admitted his guilt.
GuiOn Was Amazed.
When Mr. Morrison reached this city he
called on Mr.. Guion, who expressed the ut
most astonishment at the defalcation, and
declared that he could not account for IL.
Both gentlemen then called on President
Booth, and at last Mr. Guion was accused
Of having stolen the bonds He imme.
diately became indignant, and strenuously
denied it.
The Theft Confessed.
President Booth then saw Mr.. Onion
alone, and, after an hours hard work. he
finally induced Mr.. Guion to confess the
robbery. Mr. Gnion said that it was abso.
lntely necessary for him to raise certain
sum Of money He tried to get accommo.
dation at his bank but was unable TO DO
So His necessities became SO urgent that
he abstracted thirty bonds OF 81 900 each
and hypothecated them for S23 600 at the
National Bank of Commerce. He also said
That while he was unable 10 make good the
amount he had received on the bonds, he
thought he might do 50 If given a years
time Mr.. Booth said that while he and
Mr.. Guion were co-trustees he could not be
held liable for the shortage as the deed of
trust expressly stipulated that one trustee
should not be held liable for the malfeas-
ance Of the other.