The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1894-05-27

two weeks before the extent OF the indebt.
edness Of the cabinet company was posi-
lively known
on Aug. 6, 1898. revelations were made.
and IL then became known for the first
time that the debt of the cabinet company
to the suspended bank ran into the hun
dreds of thousands OF dollars. 1t was al
first reported that the debt amounted 10
100000 but this was subsequently shown
to be a mistake. Two days later the suit
for the appointment of a receiver for The
company was filed in the Circuit Court by
Addison c. Harris. acting as attorney for
Newton Todd, who alleged that the COM
pany was indebted TO him something over
s., 200 for unpaid premiums upon insurance.
The proceedings in the case were very
brief, and F.. A. Coffin testified upon the
witness stand at that time that the COM
pany was -hopelessly insolvent. Phe Indi-
ana Trust Company was appointed Ne
ceiver After the receiver took possession
all the books, papers and correspondence
OF the company of every description and
all Its branch concerns that were located
here were opened to the inspection Of the
receiver OF the bank and given into his
possession for examination. The careful eX-
animation Of all the books was Immediately
begun. The Investigations proceeded until
Aug. q. when il was thought sufficient
facts had been developed 10 warrant the
arrest of the Collins and Reed for aiding
and abetting in the wrecking Of the bank
In the meantime investigations into the
conduct of President Haughey had been
on, and ii was found that he and his son.
Schuyler Haughey. had distracted large
glue and the curled-hair works
On the evening that the Collins were ar
rested both the Haugheys We're also arrest
ed by Marshal Hawkins and his deputies
upon warrants issued by United States
Commissioner Van Buren,. All OF the ar
rested persons gave bond for their appear
ance, and were held for the action OF the
grand jury. The investigations Of the grand
jury were extensive. and witnesses were
summoned before ii from New York, B0s-
ton, Chicago and other places outside the
whole Df
company within the statute OF limitations
was gone over, and on Dec. n. just four
months after their arrest. these three de-
PENDANTS were indicted for aiding and abet-
ting Theodore p. Haughey In misapplv.ng
the funds and credits OF the bank. and for
aiding and abetting him IN making false
entries upon the books Of the bank The
Indictment against these three defendants
joint, and contained fifty co lnts- b0th
the Haugheys, r. b. +. Peirce and Cashier
Rexford. of the bank. were also indicted
at the same time. The bonds or al were
renewed.
On Monday, April 9. T. p. Haughey
pleaded guilty TO five OF the counts against
him, and on the following day the case
against the Collins and Reed was called
for trial The trial proceeded till April j.
when il was interrupted by the snoofinS
OF A. G. Harris. chief counsel for he de-
Tense. IL was resumed on April - and on
the following day was again interrupted ~
the discovery OF the attempt OF juror Arm
strong to secure a bride. Armstrong is now
serving term of eighteen months IN the
penitentiary for his Offense. The jury vas
discharged and the second trial began on
May 1, and has continued from day 10 Gay