New-York tribune., 1890-05-23
GEN. CLAASSEN TESTIFlES.
pELL NOT PUT ON THE WITNESS STAND.
PROGRESS IN THE TRIALS OF THE BANK
wREcKEEs - STILL LOOKING FOR
CASHIER HUTCHINGs.

CASHIER HUTCHINGs.
The examination of witnesses was finished cary
Yesterday afternoon IN the trial OF George H. roi
hefora pecorder smyth for the larceny Of bonds val
ned AZ nearly $4,000. Assistant DistrlctA"ornoS
Davis brought 10 an end the case for the prOSeo"'o
by showing by bank clerks the accuracy oi 'op' u
the account of George ii. Pell as agent
Richard ). Newcombc opened the case ioI reii' io
saIl that the bonds had int'used to Pel oy ,h
nresdcnt Of the Lenox Hill Bank for sale 10 chaoic
tho hank TO use the money for loans lie dlo hot
account for the bonds because they hao not an ooe
sold but he left ample security at the DahN. rino
and saterlee & Co. had accounts, at the BANK hrseT
than the value Of the bonds
Morris Goodheart, who acted as counsel Tor lhe
Ienox Mn Bank testified 10 the regularity OF the pro
ccedngs in the transfer of the control OF 'he DahN
from the old the directors on DcccmDer ~ c
said that he remembered that the subject oil SeH'hS
the securities was discussed at the meeting Oh the
new board Of directors. and that the OPINION was eN-
pressed that the bonds might well be sod' as theF
netted less than 6 per cent and less than could be
obtained by lending the money to dcposltofS' Inc
witness said that he had discussed the matter OF inc
sale of the securities with one of the prnca ohcerN
df the bank under the former administrations and he
had said that he had intended to advise the new d
rectors to pursue that Mr.. Goodhe1r' hcid
a small amount of the stock Of the bank, which ne
sold on December for S110 1t was sold the neN'
day for S2l0 .
Edward II. Myers. q member of Controller Myers
Wallst firm. testified that lie did not sell the last Oh
the bonds given him by Philip L. Myer until 'ahu
ary 2s which the day before Pell made the pay
nent for the bonds.
Cashier Delarrill. of the LenoX ll Bank was
recalled to identify report which was made uN 9'o
Bank Examiner Covell OF the condition OF tle uanA
January so. 1t showed a deficit OF $l7l'oO' w,
Newcombe asked how the account made mp ana
showed that $4,000 Of the liabilities consisted oi
certified checks of Pell Wallace & Co.. James A. SIM
mons, John Sattercc d Co.. and others Ihose o"c'"'
were al returned unused. and Mr.. Newcombc sho"eu
that the bank had a credit balance Ol Ql-V'VoO "'
these checks.
No other witnesses called for the dcichcc'
though Mr. Newcombe said that he had desired the
presence Of Conrad Y. Jordan the forne: president oi
the Western National Bank. Nr Jordan was not
however served with subpoena 10 appear Yesterday
and he was not present. All the counsel agreed to
consider the case closed Fell was not called aN
witness. Ex xsurrosae Rollins will begin tins morning
the closing address 10 the jury for the deiehuail'
The case will probably be given 70 me Jury to-Ns"'
General p J. Claassen, who is accused Of embclz'nS
the funds of the sixth National Bank. told ms story
in part Yesterday on the tYial the United states CIR
cult Court lie gave his testimony in somewhat III
distinct voice and was proliN III Els Sla'e'ic"'N "a
conversations and transactions with ms associate
His manner was extremely dignifcd. Caasseil ; 'o"'
sci asked him. Where did yOu get the U'e VI
Genoral1a In the war" was the answer
He said that he first met James ~ summons
in 1857 lie had some business dealings WIN MN
in 1853 and made inquiries as 10 HIS s'du4''- az"
found tha, it was good. lie had lent simmons fl'oo'
or 81 800 several times for day or two. lie ic-
ceived no profit on the loans. simmons dN"o MN
last summer to become president Of the Ne"-ofiei''
ST Louis and ocean Canal Iran, ,poTtatl0n company
i'm which he was interested. lie sad 'hd' "Hei'
simmons and his friends obtained control oi te oA"
National Bank they asked him 10 become H. pcSuc"'
at A salary Of $4,000. On tho morning OF January
- he received Two $4,000 checks from J. r. Nd'so"
and deposited thcm drawing his OWL check for F3oOop
instead lie told Of the meeting at which the lie"
directors took Office.
Te,tifyine oi the three loans Of 10000 each mad0
10 Pell, Waack a CO., James y. simmons ana '""n
sattcllee u Co., Immediately upon M, taking cha'sc
OF the bunk, General Claasscn sad: " icll handed ne
three notes for $4,000 each. saw that one OF them
had the initials " y. {. d II. X, and ID. l. * ".
in the place where the collateral Is mentioned. le
others had no eoa'ci !, ,'d ,o ,Mhfc f .rt m ''3 l
later. asked how many shares. simmons SAID y
cannot tell. but il Will be enough 10 make 20 Of -
samo tnihs / called Mi. Coul~on. the 'a,ner.
said 'iIow can tlns be done without inc '3iIae,ai
and II he saws the coilatc.ss V.A Be sent up u-hi
80 S,nr,se II viii be all right lle Suggested
Ia cashels cheeks be given ana lcll said iat was
lust what lie wanted. La,'r in tie day (oHl-ol SAID
4 have tried for two years to tet Mr. Leland 70 -cl
3 PER cent. l would suggest that yon sell some OF
Il mentioned the matter to simmons the nc1ytt day
and he thoIent il Wa EO0d idea. lie -hd III toe
sell nv bonds ! would like 10 nave my friends Pen
Wallack d Co. sell them for YOU said that c.d
not know them. He said they were Eo'i men lot
that purpose
Tho witness told Of the transfer Of the banks bonds
and said that simmons SAID thc next day that he Had
spoken 10 Pcll Of the sale OF The bonds and that tcy
might as well be sold al once. Claas-cn SAID That
there no need Of great haste. but Pen persuaded
him 10 have them sold and he dclVec ed 2tO Of lhe
lOuds Oh January ~ and the others on January -.
Caassen said that nc protested against the failure -
send the collateral 10 protect the loans lie testified
that he said to simmons That /, not business. II
q arp1eC il reC bad D.
ton at the bank simmons again promised 10 send
the collateral the bank. The collateral was fur
nshed on January -, and on that day SiumOn, de
posted $4,000 in money in part payment for the
S62o, 900 in bonds.
The trial not finished
Oficials al Police Headquarters Yesterday would
give no information If they had any. about the dis
appearance Of George L. IIuchnss. ex cashier Of The
Third National Bank, who Is wanted as a witness IN
the Claassen trial II is said that lutchlnss IS ii
the West At the Third National Bank none Of the
officers knew where he was. lie resigned his place
there on May .. shortly after getting married and
said that he TO become Official in new
pany with capital Of s30C00OO.