New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-10-24
RANK OFFICERS ARRESTED.
EIGHT WARRANTS ISSUED.
CRIMINAL PROCEEDINGS AGAINST MADl-
son SQUARE BANK DIRECTORS.
PRESIDENT AND CASHIER AXE PKISONEho

rury ARE CHARGED WITH PERJURY-E. T.
m,noSALp ALLEGED TO BE GUILTY OF FoRG-
ERY IN THE THIRD DEGREE. AND THE REST
ACCUSED OF INFRACTIoN OF THE STATE
BANKING LAwS-JUDGE MARITIME IS
SUED WARRANTS ON THE COM.
PLANT OF DISTRICT.ATTORNEY
NICoLL THE INFORMATION
CAME FROM MR.. UNTER
MYER COUNSEL FOR
TEE RECEIVERS
CriH nal proceedings were begun yesterday
AGAINST eight directors Of the Madison Square
Bank who are held responsible for the mis-
MANAGEMENT of its affairs. which ended on
August in it's suspension. Two of the men
spent last night in Police Headquarters, two
more were admitted bail and the others VIII
appear in General Sessions to-day to give bonds
10 answer the charges against them.
Joseph T. Baut the president ana Lewis
Thompson the cashier Of the bank, who spent 'he
night in custody. are accused OF perjury ine'
swore TO the correctness of the statement or the
hank issued on June l. in which. 1t Is alleged
the amount owed to the bank by the directors
and other narticulars were given falsely. X L.
McDonald a director. who was arrested az 'he
Hoffman House and released with Ed"aru
s Stokes as his bondsman is charged VIII"
forgery in the third degree. His onense con-
sisted in altering the Endorsement OF Pro"'S
sory note The other men are accused ol
misdemeanor in violating the state oa"hi"s
low. nv failure to do their duty directors
They are A. S. Kascher who was arrested "''"
released on bail and Frederick Uhlman SIMON
Ot,anherg Andrew L. Solard Charles f. Selover
ord Lawrence J. Fitzg .rald. ex-Treasurer CT the
State Of New-York who will be placed in Iofniai
custody to-day. .,.o
Fourteen weeks had gone by since the nouce
of the banks suspension was posted on '"e
door. and the inacton of the authoriues "h'i
a. had heen made clear to all the world that pao
Judgment was far too mild charge 10 lay
against the president and some of his associates
gave rise to a belief that political innuehce was
shielding the offenders. The bank nad peeh
brought into unpleasantly close connections
with the Democratic machine OF TINS CIT! anu
State. The discovery that Elliot Danforth' STATE
Treasurer had borrowed $4,000 from the insti-
tuition without security after depositing s2ooooo
of public funds with II, the first seaman
which came TO light Gradually other mis-
do,ngs of the president were made pubic, uhVi
the financial and business commumt! s'oou
aghast at the bodness with which the ins''u-
tion's funds had been taken on securities which
Knocked the name.
President Blaut still remained free man.
James G. Cannon and Miles OBrien were ap-
pointed temporary receivers but to this day 'he
Attorney General has not made the receivershlp
permanent. Messrs. Cannon and OBren now
ever carried on some Investigations into the
affairs Of the bank. which led to ming criniiha
charges against the eight directors.
JUDGE MARITIME ISSUES THE WARRANTS.
Yesterday morning Samuel Untermyer' OF
Guggenheim & Cntermyer. counsel for the re-
ceivers placed before District Attorney Nicoh
proofs Of violations of the law. The lawyer
then spent an hour with Assistant District
Attorney Lindsay. who draws up all indlct-
ments The two consulted with Mr. Nicoii'
who thereupon made afidavits on which Judge
MARITIME of General Sessions, issued warrants
for the arrest of the eight men. Mr.. NicoIs $
statements were founded ION information and
belief" Indictments have not yet been
found 1t was reported in the General sessions
building that this hasty action was taken on
account Of a report that President Blaut was
about to leave the city.
Word was sent to Inspector Mclaughlin
that the services Of some of his men were
wanted to serve some warrants Detective
Sergeants Crowley Titus and Trainer were
soon in the District-Attorney's office Mr. Uhl-
man. accompanied by his counsel, Edgar NJ
Johnson of Hoadey. Lauterbach johnson,
called 10 see Mr. Ncoll about o'clock. Mr..
Uhlman had learned that a criminal charge was
TO be made against him, and he wanted to sur
render himself or to find out when his presence
mas wanted in court. Sergeant Crowley was
there at the time but Mr.. Nicoll had no fear
that the director would run away. He there
fore told him to go in peace, but TO come 10 the
General Sessions this morning, prepared 10
give bail in $1,000 Mr.. Uhiman bowed MS
with
COMBINATION OF JUDGE AND COUNSEL.
Tben the three detectives went out. Mr..
Blaut was arrested at his home, NO % Eas
Seventy-third-st. The detective accompanied MN
90 tho uonman House and then to Police Head
quarters. Sergeant Crowley FOUND MI McDoh-
aid in the evening at the Hoffman House. where
49, uv.s Police Justice Grady and Mr.. Stokes
uant IN the Mulberry-st. prison with the de-
+ective and the director 1t was understood that
Judge Grady was to sit as magistrate and
admit Mcdonald to BAIL but he acted more
like his counsel. BY chance Judge Marune wa
ot,ll in the General Sessions Buildirg WAITING
for a jury to arrive at an agreement. inc
marty Of four drove down to the browhstont
courthouse in Chambers-st., where they iouno
the Judge in his chambers Win Assi''"''-D I'D
trict-Attorney Week .s .. u,,
Mr. Stokes announced that he wanted 10 gIv' M
hail for the prisoner Judge MARITIME asked Mr
Mcdonald III ne WSnSu W say
~ tbe charge Judge Grady interposed. an'
said that the defendant would wait untiI m
could soc his lawyer. William Is. Putney' La
when Mr. Mcdonald was about to talk WIN tn
renorters Judge Grady again stepped in a"'
told him not to make any statement, rb 10 '"en, nv.
Stokes said that he was worm oNe
s,oo ono He named as security Of the bon'
property at Far Rockaway and bonds pi III, tm
Holman House corporation. Judge MAJ II, ~,
nnt the oath TO him Stokes had ms ma
~ and a cigar in his mouth. He removed III
hat while the Judge was speaking. but sun ,a ma
the cigar between his lips when ne M hluit,HI pih,e
sJ do" Judge MARITIME handed him the bipie
sewing with some sternness Take that cisa
out Of your mouth Mr. Stokes ,1 ana ,am KISS wa "a
hook" This the man did Ihe oa'i w"
$4,000
M'DONALD CHARGED WITH Foh"fh'