Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1891-09-18

The many friends of ex-Bsnk Exam
liner William +. Drew have never believed
that he WAS guilty OF any wrong In con
nection with Keystone Bank Mr.. and
Mrs. Drew are both natives Of Augusta
and the people OF this city have felt
keen interest in them, and a firm belief
that when all the facts In connection
with the h Keystone Bank became known
to the public it would be found that Mr.
Drew had acted in good faith 80 far as
he had any official supervision OF that
institution. It now appears by the Phil
sdelphia Inquirer that Charles, the one
time assistant cashier of the Keystone
Bank and the partner In crime OF Gideon
Marsh, before he entered upon prison
life OF seven years made q general con-
fession to Mr.. Drew. of the methods
employed by the bank to deceive him
aud avert the ruin which constantly
menaced the crumbling institution.
At the advice OF his counsel, John NJ.
Strong, who, with Sawyer Clark. de
Tended Lawrence, and BY the wish OF
the condemned man the statement is
given to the public. Lawrence has felt
all along that Bank Examiner Drew has
been the victim of misunderstanding and
unkindness on the part Of his superiors,
and he frankly says In the appended con-
fession that with the perfect system Of
dishonesty operated by Lucas, Marsh,
himself and whoever else may have
been Implicated, IL was impossible for
the examiner to discover how steadily he
WAS being duped Drew had forty
banks which required two examinations
a year. There were 1000 depositors in
che keystone and 1t was a matter Of two
weeks work and very fast work at that
to gei through the books. Lawrence
has stated how Drew was deceived and
bitterly repents his continued part In the
deception. which, he says, was first be-
gun under the idea of obeying his su-
perior officers.
IL appears, from this confession of
Lawrence, that every possible device
WAS employed by the officers of the Key
stone Bank to deceive Mr.. Drew. In his
letter TO the ext bank examiner he says:
1.-THE individual ledgers were altered
twice each year. about the times you
were looked for. This was done by me
since 1850. and the methods pursued
were various. Some lines whole pages
were distracted. Mostly false balances
were made by altering the pencil fig
ures; large balances were decreased and
over drafts wiped out. Sometimes false
credits were posted to an overdrswn ac
count So that your attention would not
be drawn to the ledger more minute
" by an overdrawn account when
you might possibly see something
else. TO excite your suspicion.
Sometimes false checks were posted TO
an account having i large bslsnce, so as
to reduce liabilities. This you will read
lily see required alterations and realtors
tons to a very large extent. because II a
check had been falsely posted TO an
account, and then that party drew on
the account himself In the regular course
Of business you will see that it necessi-
tated Encouragement of his account and
q corresponding change in some other
account. This was done TO the extent of
probably sso0, 900, more or less. can
not tell any nearer than that. Now
know that on the telier's side there were
memoranda carried as cash, which repre-
scented the amount Mr.. Lucas owed the
cash drawer This was replaced at thu
time Of your examinations by real cash
which was temporarily borrowed some
times by means Of due bill taken from
the back Of the due bill book, some
times by means OF q certificate of de
posit or by the president obtaining 1
loan.
The bills discounted were swelled b,
the Introduction Of fictitious notes
These were intended both to swell tn
asssts and to take the place Of othe
bills discounted which it WAS though
best not 70 let you see. As 1t might ex
ciie your suspicion and put you on
more iuquisitive examination"
'.sThe Inquirer commenting upon thi