Morning journal and courier. [volume] (New Haven [Conn.]) 1848-1894, 1893-09-27
OLD COLONY SENSATION,

The Treasurer Found Short in His
Accounts-FoundO Out After Report
Was Published-The Amount Gam
not Yet be Told, But IL Will NOS Az
feet the Property-President Clark
on the Board.
BOSTON, Sept. 26.-Presidsnt Charles F.
Choate caused something of q sensation Rt
the meeting of the Old Colony stockhold
ers to-day by the announcement that since
the printing and distribution of the annual
report discrepancy had been discovered
in the accounts of the treasurer, John W.
Washburn.
According to the treasurer's report there
was 500, 900 in cash in the treasury. 1t was
found instead that securities, stocks and
bonds purchased by the oompsny's money
represented part of this cash. The pur-
chase was unauthorized.
The treasurer's Office has been vacated,
and the treasurer has made an assignment
of all his outside property for the benefit
s'It cannot be told" said Mr.. Choate,
chow much the loss will be. These secur-
tiles are not all worth their nominal value,
which was all represented to be 30 much
cash. 1t will not affect the property; II
will not affect the dividends. The matter
will be further Investigated and pushed.
In other respects the books of the treas
urer are all right"
The following directors were elected
unanimously: Charles F. Choate, South
boro, Mass; Thomas j. Borden, John 8.
Brayton, FAN River; Charles P. Clark,
New Haven; Thomas Dunn, Newport, R.
| l.; George A. Gardner, Boston; James R.
Kendrick, Boston; Charles L. Lowering,
Taunton; John J. Russell, Plymouth, Mass.
Joshua NJ Sears, Boston; Nathan Thayer,
Lancaster, Mass.
President Clark of the New Haven road
takes the place of the late F. L. Ames, and
| the places made vacant by the deaths Of
| Amory Lawrence and William ]. Rotch are
untitled. It was voted unanimously to
authorize the directors to iseue So ,000, coo
annually, not to exceed per cent Tn,
annual report was accepted.
After adjournment of the stockholders
meeting the directors held meeting o.
| p. otracted length. President Choate wa
/ re elected, but no election of vice presiden
| was made. Benjamin B. Torrey was elected
| treasurer and e. G. Parker was re elected
| clerk.
The auditing committee reported that Of
account of the irregularity in the tressur
er's Office their work Is not completed
They were given more time, and autholit
to employ an expert.
| Mr.. Washburn has been treasurer of th
road for thirty years, and has always beef
considered entirely trustworthy. He
about seventy. five years old and has wife
son and daughter. He has made full e1
position Of his work, and Is Frustrated O
| account of tho disclosure
Mr.. Washburn was the treasurer both c
the Old Colony Steamboat company an
the Old Colony railroad, and whether b
passed the various auditing committee
each year by their taking the statement {
the cash he had on hand. or whether /
made up his cash by taking from one con
pany to another for the purpose of passir
the auditing committee, is not known. tt
directors removed bin and electe
Mr.. Austin w. Adams treasurer of II
steamboat company. It Is stated that II
Washburn's salary wac $4,750. His bono
= were $35, 900.
+ WAS SPECULATING IN STOCKS.
A later dispatch says: John N. Was
, burn, according to the books In the asse
sor's Office, is assessed for real estate to IL
value of $4,000. No record of person
. properly appears. AT DIS nome TO Oh
callers were told that Mr.. Wsshburn "
too Ill to gee any one.
? From the general counsel of the roa
: Colonel ]. 8. Burton, jr., 1t Ia learned tn
Mr.. Wsshburn was away from the OFF
last Wednesday, and in preparing for Il
, annual meeting when the railroad Office
8 were looking for the cash balance of $9t
= 600, there could not be found cash enous
q | on hand to begin to satisfy the amou
which Mr.. Wsehburn's accounts called fc
But in lis place there were bonds al
I stocks, some of which may be of valu
i | while others are worth but little. Sor
4 have the treasurer's power of attorney
transfer and others don't It is believ'
that Washburn has been specializing
Q stocks for years and that he probably b
Y gan little at time, but what srrsne
ments he had regarding his cash balance
/ not known