The Columbia herald. [volume] (Columbia, Tenn.) 18??-1935, 1893-04-21
ANOTHER BANK FAILURE.
The Mechanics Bank, of Nashville,
Makes an Assignment and Cashier
Schardt Is Dead.

On last Monday morning the Me-
chanic's Savings Bank & Trust Com
psny, Of Nashville, tailed to open it's
doors, the officers having made n
formal assignment. This bauk, it
will be remembered suspended pay
meut few weeks ago, when the
Commercial Bank failed, having the
right, under its charter, to give q go
days notice before the withdrawal OF
deposits. Alter the excitement oc-
cAsiOned by the failure Of the Com
mercial, the directors OF the Me-
chanics' Bank, finding, as they sup
posed, that the general condition OF
the bank was good, borrowed $4,000
from aAOther bank on their own
notes, and resumed business.
Very soon, however. Mr.. Richard
son, one Of the directors, having
noticed that the incI ease in the cash
assets Of the bank did not cores
pond with the increase Of the liabili-
ties, made a personal examination Of
the books and found evidence salts
factory to himself, OF crooked work
in making the entries. His sus-
piciOns we're directed TO the Cashier,
John SchArdt.
In the meantime, Sch4rdt, who had
been struggling against aeseyere at
tack OF cougestien of the bOwe and
nervous prostration, had finally suf
cumbed aud taken to his bed. Presi-
dent Eatherly and Mr.. Richardson
called on him, and he ut first asserted
that the books were all right, aud
that there was not an error in them.
But when Mr.. Richardson asked him
to explain certain figure he had taken
from the books, aud accused him OF
beng defaulter, he replied after n
moments silence, My God, my God
it is only too true" He then stated
that his shortage was about $4,000.
For the protection OF the bauk
Schardt transferred 10 it his life in-
surance policies aggregating $Sl, ,00l
He had also given bond, in $4,000,
with the Guarantee Company OF
North America as security. Ii his
shortage does hot prove to be greater
than he stated, the bank will be
amply protected.
,Schardt died last Monday night at
S:23
He had been cashier OF the bank
only since March; previous to that
time he had been teller. He was 81
years old and native of Nashville,
where his mother still resides. He
mad n wife and one child, three years
old. He WAS member of the Cum
berland Presbyterian Church aud
though not widely known, enjoyed
the confidence OF those who knew
MIN. He was never seen around
bucket shOps, and very few people
/ suspected him OF gambling. But it ID
now known that he bad been en-
gagged ia it for long tiufe, and had
been losing money for q year or more
1t Is thought by SOME that he was 8
silent partner in bucket shop.
The method employed by Cashier
, SchOrdt in cOncealing his shortages
was simple. He did not make falls,
! entries on the books, In the itemt
entered, but made false footings
These figures both on the books anC
in the daily balance sheets, he ma I,
to correspond with the actual casf
on hand, so that there was no Ap
parent deicit; yet if any one hat
footed up the columns, the shOrtag
would have been discovered at an,
time.
AS far "a is now known Of tn
assets aud liabilities, the former ex
ceed the latter by about $780, 900, an,
D all creditors will be fIlly protected
The assignee named il Mr.. James J
= Pryor. The number Of depositors i
about 900.