New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1890-12-20
KEAN ARRESTED FOR FRAUD.
ALLEGED TO HAVE ACCEPTED DEPOSITS.
KNOWING HIS BANK WAS INSOLVENE

A LARGE DISCREPANCY BETWEEN HIS STALE
MnNT AND TIE AsSIGNEEa-THE CASHIERS
TESTIMONY - PETITION OF THE
NATIONAL w. c. T. L.
Clic,co Dec 10.-S. A. Kean, the banker vino maze
=, ASSIGNMENT yesterday, was brought into court 'is
,r,ri,g bv deputy sheriff. looking pale and worn
A., ran was arrested on warrant last night on tic
,,r, ~ accounting deposit OF Sl,l6O when ne Khc"
that bis bank was nsolvent. On cross EXAMINATION
Mr. Kean said that he had had statement drawn up
hastily three DAYS before the assignment Inns ''u'o
mon, placed the total liabilities at So's2'6 ms io
lows Dcposits-Demand, $353,210; Eew-lorH, III!
600: sundry credits $4,000 branoh, Sloo'o"' VI
this amount, about elOo,ooo oh uA'o vi
otherwise time.
The assets were given as follows Bills receivable
100000; stocks. S5l 600; Government Ia'u so'ip'
So 500 cash hand. due from banks ana IN trahs''
100000; syndicate due from other oo'o hon'"'
sl5 900 margin on loans and premium on BONDS soo,
600 bonds and mortgages on hand, T3o'oooi to'a''
$6O3,SOO orr deposits" the statement aaueu' a'0
shrtuk since December about $4,000
This statement is about 81 100000 less tlsh tla'
made by Assignee Jacobs yesterday, Dut hr' ho'"
said the statement might not he exactly trustworthy
Mr. Kean estimated the average daily cepo'''s i"' W.
last thirty day, at from 10000 10 $4,000. JIG
thought that 300 900 could be realized on ule o"'
receivable The So 900 worth Of land scrip scheduled
In the assets Mr. Kean admitted was all hypoulccaen
in New York, and il would take S22Ooo 10 Secue ~.
The statement showed 100000 cash on hand ana
due from banks in transit. This Mr. keah Sa'u'
would not apply at present, and $4,000 would cover
il. -,
ON further examination Mr.. Kean admitted that the
loans and premiums on bonds put at $4,000 IN MS
statement, would not yield over $4,000. Mr' bean
said that there a large amount OF personal real
estate in the hands Of the assignee when dd not ap
pear In his statement In summing up MI. kean
statement the counsel for the depositors said that
did not look as though depOS!toiS "ou" re""@' Wv"
| % cents on the dollar
Tohn Farson Of FarsOn, Leach & Co., bankers, ana
formerly partner Of Mr. Kean made some interesting
statements on the witness stand. He left the frm Ia
February. 1859. Ny health was not good he SAID
but the chief that Kcans management was
not satisfactory
II was developed that Wilson Rockingham. OF KAN
sa< CIV wealthy cattlcman. had In July, last year
thought Of going into partnership with Mr. kean and
put!ng s25OOO into the business. He sought state
ment Of the condition of the bank from Mr. hean' lie
took tlu, statement t. Mr. Farson for hi advice
Then what wa the result Of Mr. Waddngham
/ interview with yOu ~
d. We'll. Mr. waddingham did not go in.' replied the
. witness. dryy.
Mr. r4lSon stated that the cause OF his dSsatisfac'
ton with Mr. Keans methods va, that he expended too
/ much money in u,ee,, advertising
George y. Warne. the cashier. was quesuoneh next
lie brought some Of the book, Of the bank voluntarily
and showed by them that the daily Withdrawals nom
The bank since December averaged about $4,000 mp
f. the ii tie Of the assignment The total cash on hand
ON December u was s27 oo2 due tOm banks. ga
1850 cash in branch office. $500. Then there was an
/ unknown amoant IN the Ncwlork Office Against
this small sum there was on that day due chicago
/ dcu,-ltor, --19+li.
Among the petitions filed IN court today was one
by Esther Pach treasurer Of the National Woman
/ Christian Temperance Union. who says that MI heih
received from her December note Tor T3oVN
and mortgage bUds security. and on December
II - .Ou.I and on Deccnr.er u %532. while aware
,f,f ,bc bank Was insolvent The petition alleges
that to, va, in fraud OF rights Of petitioner Win
intent - cheat and dcfrard petitioner Another pc
tt.,u Vas fled b. tho Woman's Temperance Publish
iu, Association 10 recover $l7li deposited in kean
bank Oh December l.. a third petition was filed oy
Mn, Matilda g. CarSo 10 got 1923 deposited on tlt
dny prcylon, 10 the failure. This was money De
/ lou.rt. 10 the " {. r. I. restaurant. All these
millions charge fraud. and declare that kean tooH
Inc money alter ho had determined ~ make an aSseh
, mtnt. other petitions were presented by lndlVuua
dcplStoss. -, ,,.,s C.,-..,iap Temnerancs
Union say that the losses Of the organization ana it-
nuhr,ati0n house through = a. kesin q 20 are ms
io,dlnc A, they had not enough on deposit 10 inIm'
/ Them in any WAY, beyond mere temporary lhcon