New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-11-23
THE GRAND JURY AT WORK.
LOOKING INTO THE CRIMINAL WRECK1NG
OF THE MADISON SQUARE BANK
CHARLES NJ PRESTON wiTNEss-EXrEoIHIioN
THAT THE INDICTMENTS WILL BE HANDED
IN TO.MoRRow-AN ORDER GRANTED
DIssoLyING THE DErrNcT
INSTITUTION

IN OMoRROw-AN ORDER GRANTED
DIssoLyIXG THE DEFrNcT
INSTITUTION.
The Grand Jury yesterday begun us eNa''''" '.. -
into the affairs of the Madison Square BANK WIN
view TO fixing the criminal responsibility ioi u,
announcement Of 1t. Dis,rict-Attorney Nico'i am
his assistant. Vernon NJ. Davis. VINO mas n"' U
cbarae of the case, went before the body III ',''
norn,ne and explained the scope and object oil ''e
Investigation. The only witnesses examined Woi'
charles NJ Preston. superintendent Oh '"e "'
ranking Department and Lewis Thompsoh' ',ae
cashier IL is expected that the Grand jury WI"
spend to-day and tomorrow looking INTO ',e e',
dencc and hand in indictments tomorrow IL WIN
hec,n work at 10 a. to-day. an hour earlier 'hai'
,,eual so as 10 finish the cases by tomorrow
Thompson will not be prosecuted lie mas s,N."
Mr. Davis valuable assistance in LOOKING nv
the accounts of the bank. In 'ac'' WV"
on, his aid Mr.. Davis could not nave ""
ravelled the tangled affairs unless he had EN-"
Iovod an expert accountant Thompson was ar
rested with the other directors. Mr. Nlcoh S','
Yesterday that Thompsons acts were done "e'e'
in obedience TO his superors. He had Id'se ''',
iIv and his salary was small so he coud no, ar
ford to dsobey orders Besides he gaineu "''''''9
hv the peculiar transactions of the pahh. .or,ion
Mr. Nicoll said he would pay no fui o"t 20 nhtain a
TO the charge that efforts We're rn aug threats of
criminal prosecution until the Hrahu '"'' ~
It's present task. .oa COR q dis
Deputy Attorney General Hogan moVeu III , a. 10.
solution of the Madison Square BANK ~ .i;oars
fore Judge Beach in the supreme court nv t,HSon
OF the bank opposed the motion a ~, ;,,,,,t;s -;
hank examiner made affidavit that me ~
stock was reckoned among the abes 900 d ne ndiu
OF the assets on August |, 1893, was sI,oi= o
the liabilities amounted 10 Sl.ySSo'9o'' e"'i's Z"
deficit of $%1l i7G 81 ,,,, ,,o to,L
Judge Beach signed the order dissoIVlnt the p"Iln
and making the temporary receivers per "
ouiring them TO file bond for SZVJWV any ,loiIef
that thev collect must be deposited IN the Cfn'ra
Trust company the Farmers Loan ana lTuS.
company State Trust Company. Mechahics anu
Traders Bank Broadway Nationai BANK OF 'he
National Union Bank. A.. ,,o,. 90 ,ha
Frederick I'hlmann. one of the directors OF the
Madison Square Bank. sent a letter 10 Inc irlDule
Yesterday in REGARD to the statement from Sauuri
i'ntermever published yesterday. In it Mr. Uni
mann said: ''rhe statement from Mr.. ntermeyer
i'm lis references to and my connection with the
Madison SQUARE Bank. is false; He says mat on
saturday evening. August j. knew the BANK was
insolvent had decided that 1t ought TO be closed
thai "had consulted counsel with respect TO CLOS
inc the bank that and Mr.. Mcdonald were IN
charge of the bank for the week preceding Us
fail,re Each Of these statements is false: dld
NOT know that the bank was insovent before us
susnension / had not decided that II ought to be
Closed and had not consulted counsel with re
snect 10 closing IT. did not. either alone or WIN
Mr. Mcdonald. have charge of the bank AT any Tune
preceding the failure ,,. &c ,,o,ao,,
'"Nfr Tntermeyer saws the deposits or MONDAY
and Tuesday aggregating about SvWO assisted
Ihimann in drawing out his $4,000 OF the East
River Bridge Company and also some money OF