The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1894-04-15
BANK-CLERK THIEVES
Plan that Prevents Collision Be-
tween Employees and Depositors.
Detailed Description of the Device In
vented by the President of One Of
New York's National Banks.
New York Evening Post.

tracted good deal Of attention I'm banking
circles, not because Of the amounts stolen
they were mostly insignificant In no case
reaching as high as 100000, and only one
out Of four exceeding S50,O00-but because
of the apparent fault or lack or checks on
the employees The worst cases occurred In
the United States National Bank. the Con-
tinental Bank. the Tradesmen's National
Bank and the American Exchange National
Bank. In two cases the thieving employees
were prosecuted and are now serving out
their sentences in prison. and the other two
are expected to be similarly dealt with In
a short time
The presidents OF several national banks.
when asked to-day about the robbery OF
banks by collision between employees and
customers, said that IL was impossible 20
prevent il, but that such robberies ought
TO be detected before they had gone :or
many weeks IL the usual means for finding
out such things were taken, such as chang
ing bookkeepers. etc. The president OF one
OF the largest downtown national banks.
however. when asked IL such robberies
could not be prevented. said that they
could THE thing TO do" he said, lis 20
prevent collision between customers and
bookkeepers os the bank. We have done
that, at least we think we have, and
we are SATISFIED that such robberies could
not take place in this bank / will tell
you how we prevent collision between our
bookkeepers and our customers and thd
system of checks we employ 10 prevent the
bank being ROBBED in that way.
I'm order to secure proper attention 10
the wants or our city deposit0rs and 10
guard the bank from possible loss in con-
sequence OF dishonesty on the part OF book
keepers, or OF collision between book
adopted the following method for handling
this part of our business:
"a Of hrafa1 rlr.a-. Of r~9ew
ledgers are in an upper room OF the hank.
so as TO prevent all intercourse between
the bookkeepers and the parties whose
counts are kept I'm those ledgers. Book
keepers are instructed TO take off a trial
balance once a month. and Immediately
thereafter they are transferred from one
ledger to another, so that each ones errors
are looked up and adjusted by another
clerk. BOokkespers are not permitted 20
make any entries upon the books OF orig
inal entry OF the bank, their duties being
confined TO posting on their ledgers and
accounts of city depositors are made from
the checks or charge tickets, which are
entered upon the debit books by check
clerks Such charges are also entered by
another set OF clerks upon voucher lists.
which lists are called back each day to
the debit books 10 insure the correctness OF
both. The voucher lists, together with the
vouchers, remain In the custody OF the
clerk who writes them up until the pass
book is left TO be balanced, when the foot
| ing Of the list is compared with the footing
of the debit side OF the dealers account
them must be adjusted, with the knowledge
and consent of both bOokkeepers and
in charge of another bookkeeper for each
| city ledger. and separate postings are made
| TO these balance ledgers by another set OF
| clerks.
THE INFORMATION BUREAU.
Everything pertaining 10 the accounts
OF city depositors is under the general
supervision of an information clerk, and
a department Of the bank has been estab-
| lished termed the information bureau for
| the receiving and delivery OF pass books
to be balanced or to have any entries made
| thereon and for attending generally to the
wants of the banks customers who ask
| for any information regarding their ac-
| counts. The other employees OF the bank
are not allowed to give such Information
and all inquiries from dealers concerning
their accounts must be referred 10 this
| bureau The information clerk has win
| dow opening upon the public room or the
| bank which is easily accessible 10 CUSTOM
ers. The information clerk is required 20
| give prompt and courteous attention 10 all
| persons applying at his window IN rela-
| ton to their business with the bank; 70
| receive all pass books left % be balanced
| and TO keep record or the date OF their
receipt. to deliver the same 20 dealers or
| their representatives and enter upon his
books OF record the date OF delivery, the
number Of vouchers surrendered and 10
whom delivered. He is also required 20
examine the record Of outstanding certified
checks before delivering the balanced pass
| books and ascertain II there are any out
| standing checks for the account, and should
there be such checks recorded he Is re-
Quired TO examine the vouchers and ascer-
| tain If the checks have been pad and
| charged 10 the account OF the dealer instead
OF TO the ceTtlneo account, tSNefN pass
book that is balanced before delivery Of the
same ne Is required 10 compare WIN me
| balance ledger and see that the balances
as brought down by the hoOkkeepscs agree
with those upon the balance ledger. He ia
| also required TO investigate any differences
1 discover comparison
| report 10 the chief clerk or an officer Of tbs
| bank anything appearing irregular in the
| SLIGHTEST degree After comma ring the hall
ances he initials the same being correct,
and he must not deliver any pass rock Until
| the balance as stated thereuDon has been
| examined and found correct. He also X
| amines, verihes and initials all entries ana
| alterations made upon the pass books by
| the ledger keepers I'm balancing the same.
| and sees that requests from dealers 20
| have pass books balances at once or az
| any stated time are complied with. The In
| formation clerk also keeps record ot
| dealers accounts and examines frequently
| the dates upon which their pass books Wers
| balanced. and is required 90 see that every
| pass book in the bank is balanced at least
| once in two months He follows I'd very
] closely this matter Of getting IN pass hooks
and If customers do not respond 20 his re-
| quests he reports the fact 10 the chief clerk
| or an officer OF the bank.
OTHER SAFEGUARDS
when pass-books are presented 70 the
| loan clerk. discount clerk. collection clerk.
| OF receiving teller, TO enter up credits Of
the current days work that have been
made in the various departments and rot
yet placed upon the pass-book. they ara
required 10 send the same TO him for GER
! tification- He initials sLch entries. keeps
a record OF them and verihes, by compar-
isOn with the credit books, after such
| books have been properly closed for the
| day, these different entries
| Whenever the bOOkkeepers enter upon
| the pass-bookS credits which were made
| previous 10 the current days work. and
| not entered at the time he Is obliged 10
| compare such entries with the credit book;
| and, IL found correct. 10 initial the entry
| upon the pass-bOok before delivery 10
dealer He is also required 10 see that cred
| its written upon the pass-bOOks subsequent
! to the dates Of the transaction are marked
thereon with the dates OF both such en-
tries and the original credits upon the
books OF the bank He must investigats
carefully all differences in pass-bOOks re-
ported by dealers and cause such tickets
to be made are necessary 10 adjust
| the differences: and re must verify and
countersign these tickets. keep a record
OF them and OF the parties making the e.
rors and also have the tickets counter
signed by an officer
I'm taking OF the trial balances at tbs
end OF the month the balance ledger keep
ers are Instructed 10 note the balances e
each of the dealers on a separate book
The ledger keepers do the same They
are then handed 10 the information clerk