The World. [volume] (Martinsburg, W. Va.) 1891-1896, 1892-05-25
= = mRTNsBdRe WEST Va VEDEsDAY EVENING MAY IS 1892

Cook answered that the constitution |
gave them the right to use it. He adj
mitted that no account Of for what
purpose this interest had been used
had been recorded in the books Of the |
circle.
Doesn't this look ike misapprcp1a-
ton Of funds, and is there any reason
why Judges Phelps and Dennis
shouldn't declare in the opinion, as
they did, that there had been breaches
Of trust and fraud charged and proven,
aad also that there had been ''impro-
per tampering with the benefit and re-
lief fund in covering mp the Banks de-
falcationgn
. Was the $4,000 said to have been
paid by the officers TO make up the
shortage ever really paidf Cook said
that there was no account of it in his
book. Is it not very probable that
there would have been such charge
if such an amount Of money was paid !
When asked if he had paid any atten-
ton to how much additional money
Banks was receiving from him over
and above what Cook himselfpai Cook
said that he did not. The enterprising
Banks was connected less than three
years with the circle, and at a salary
of $4,000 a year he would have re-.
ceived less than $4,000. Yet he was
allowed to draw over $4,000. And it
must be remembered that the sl2, 900
was not then due him.
Cook and Banks were always very
intimate. They were brothers-in-law
and it was through Banks influence
that Cook secured the position, 50 it
was no more than was to be expected
that he would do Banks favor when
the opportunity offered. Cook was at
one time in the council, then he was
made superintendent Of the court
house. Here he only received $1,000
q year, so when he was offered $4,000
= year in addition as supreme treas
urer and with nothing to do but carry
a little black book about in his pocket,
it was in the nature Of a windfall.
4 Banks was undoubtedly the brains
Of the scheme. The people he took
| into it were to a greater or less extent
4 instruments of his. John w. H. Fry
was an almost lawyer, who didn't have
much practice, It's said. Another Of
| the supreme council was bookkeeper
in Howard street dry goods store and
still another was dentist with no
practice to speak of. Mr.. Jilton was
not the bookkeeper at first, but when
| a cousin of Banks who had filed the
position was discharged, he was APP
pointed and he it was who discovered
the Banks defalcation. He naively
remarks in his testimony that the
other officers were very angry when il
was discovered. A meeting was has
tily called and it was decided to make
| up the shortage. Over 100000 circr.
n lars were distributed saying that on
account Of .'ill health Banks had re.
signed. Sixty days after the resigna-
ton Banks formed co-partnershiI
| with C. II. Uverzagt and Lewis Wet.
; ter. 1t is said that man is known
4 by the company he keeps. By refer.
\ ring to. the records Of the United States
district court it will be found that on
| April 10, 1884. Uverzagt was sent te
| Jail for two months and fined $500 fol
using the mail for illegal purposes,
and Wetter the next month got si1
months .fo- perjury The trio went t.
| New York, started bank and adver
tised capital Of s27 800, 900. Banks
was made cashier. Clerks were adver
tised for and when applicants put in
an appearance they were required to
deposit 800 as security. A clerk had
them arrested for retaining his cash
and they escaped punishment by re.
i turning it.
i What did Banks do with hi.
money! asked WORLD reporter Of .
| gentleman who knew the man well.
Jump on the train and 60 out tc
the Relay was the reply. Not fal
from the hotel you will pass magni
| ficent farm. 1t is the property Of that
same Banks. He paid $4,000 Of the
money belonging to thousands of poor
people for it, and more than that used
81, 900 to place improvements on the
property. Now he wants to sell the
,..,, ~. so0 000 He Eyas 49,