Middlebury register. (Middlebury, Vt.) 1886-1937, 1893-12-08
THAT STATE BANK.

THAT STATE BANK.
State bank was recently started up
in Barton, but went to pieces in very
few days. OF the history of the con
Germ a Barton dispatch of Nov. q says
State Inspector Dubois came here to-
night to inspect the State bank of Bar
ton, but he came too late. Its organizer
had been arrested and only It's honest
cashier remained. States Attorney
Miles had got in his work, and one OF
the greatest swindles ever conceived OF
in these parts had been npped III the
bud.
About a month ago Thomas {, Brewer
of New York filed IL certificate for CHAR
ter with Secretary of State Brownell.
The certificate claimed the bank had two
incorporators in Burlington, Charles a.
Brewer and John j OFarrell, and two
in Rutland, Joseph a. Lord and Thomas
j. Brewer. M such people live III either
Burlington or Rutland.
Brewer sent Francis Heine here from
New York two weeks ago as cashier OF
the institution. Hene knew nothing
about the fraudulent nature of the
scheme, engaged and fitted up banking
rooms and waited for Brewer to arrive.
Brewer came last Monday and his first
act was to compel the cashier to certify
to $500 worth of checks, claiming that
$4,000 was on deposit with the Ameri-
can Investment company of New York.
of which Mr.. Brewer was treasurer.
Brewer then notified the banks in the
vicinity that the State bank was open
for business and sent big display adver-
tisements to papers in the vicinity.
Some of the papers printed advertise
mpnts which promised 4, and per
cent interest on all deposits from one
dollar up. Brewer then returned to
New York, taking the certified checks
with him and leaving Heine no funds to
start the bank. States Attorney Miles
and Oscar ID. Owen, who had agreed to
become directors in the bank, saw their
names III advertisements as directors and
also on bank stationery, although no
meeting had been held to elect them di-
rectors and they held 10 stock.
The first business transacted at the
bank was the presentation of check for
$50, drawn on the State bank. Ieine
had to borrow $50 of Director Owen to
meet the check Other checks began to
arrive aud went to protest. Miles and
IIene began to smell rat and Brewer
was telegraphed for. Brewer came here
Thursday night and. presenting re-
vOlver to IIeine's head, ordered him to
certify to more checks. llcinc seized Il
pistol and Miles arrested Brewer for OBJ
tanning money under false pretences.
At hearing he was bound over TO the
September term of court and bonds OF
Slj0O demanded. BAN was furnished by
telegraph by Il New York lawyer aud
Brewer left for parts unknown protest
ing his innocence and complaining OF the
way his investment scheme was received
by NermOnterS.
Brewer is about % years old, claims tC
have wealthy connection and came neal
swindling people out of their hard earn
ings. Barton people who put in banking
fixtures have attached them all fol theil
accounts and will not lose anything.
Cashier Heine is believed to be limo
cent and is trying to hold the fort
Some think Brewer hoped 10 start the
bank before the State bank tax was re
pealed and then issue bank notes after
the repeal.
1t is generally believed that the Amer
lean Investment company is as big ;
fraud as the State bank and that on,
would help the other to defraud the PEG
pie.
The New York papers have been look
ing up Brewer and his investment com
pany, but do not find much. The SUI
ny, dissolved" is the way the co-part
nership directory outs it. Brewer haC
an Office in the Lincoln building at No.
Union square last June under the firm
name of Thomas j. Brewer & Co. II,
prOfessed to be the head of land in
vestment company having big interest
in West Virginia lie said he was Eau
thOrized" to do banking, commission
and real estate business, and also to in
vest money in boCkmallng at the race
tracks. Brewer got many customer
through an advertisement. Louis NJ
Beardsley invested $1,000 and Howar,
+. FoXhall and William G.. McGruthe
put iu $500 and $3.50 respectively. Boards
ley sued Brewer and caused his arres
and imprisonment in Ludlow street jai
for one month in default of $1,000 bail
Brewer lived with his brother at II
West Thrty-ninth street.