New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-03-10
T. II. DTNTON ~ COT nj.
EXPLAINING THE CHARGES OF MisArf"o-
pRIATlON-THE DlSCOtNriN" or
NOTES FOR $4,000.

v.ou dressed men and women cro"ueu NV POM
oo,,r, I'm Ccn,rc-st yesterday afternoon "e'o'e "e
baoinning of the examination INTO '''
aeains, Frederick W Dunton forme'.s ~ ~
of the New-YorK and Brooklyn Supu'pa" i'''
W ca,nanv Mr. Dunton had invited his friends
-. J., ,,,c.ont =, the examination, ana the! "e'e
dsappointed when they were turned ou' Oh '' oo"'
-, ,or Of Naeistrate Crane before the "Aaihihh-
to-, ,oran Mr. Dun,on is charged by George f.
uoperman the present president ana io'"'e' ~
urcr of the company. with misapproPr'"'"e '-'O"
of the compaDys funds: ,,
Nr H,cernan makes two complaints in 'oi,,l
promssory notes Tae first - ma. on onn,nv
y Isn Duntnn Represented ihat me 'o, . 49,
needed money and niucFn h "a zach when he
"a discounted at the Chase National bahk' rea'n-
ing $3.50 80 which IT IS aes Sa,r ne is that on jan
nary H. 1897 he ob;a ned by The same mean ma ~ nv
number Of no,'s foT no o,ai 1. Gam on this
LOT he obtained s9si1 &. .,o .ia,,
Dun,on arres.ed on warrdn. on III E,niish
Of February Is by Court officer ratrck Enx''s a,
who went TO his home. AT Hollis. Long lsianh; 10
IT. The following %oTT obg s "a MaS m,h and
his examination set down for Yesterday az al
ternoon CHARLES W Brooke counsel ,ps qsnc
naroled Dun.on ard said he feared the defennint
would return Mr. Drnton came mo ,"e "9u H
room however, hour before tho time set LOT
Mr. Uacerman was the only witness yesterday.
Ue s.,id that when Dunton suggested The drawing
a
at the Chase National Bank and have the money
realized placed 70 the credit Of tho company in that
bank TIE witness said the company haf accounts
in other banks besides the Chase NaiionsL ana
mentioned. among others. me faichoSn' Hahh' IN"
Homestead Bank and tho bank % Jamaica In Inc
;asinamod ba nix he said the company hif onlj s.
count account. He added that Mr. pun,on was u"
nrcsidont Of that bank Tho ledger Of the company
for January t. 1872 WAS shown 70 tho witness. and
he said there had been no entry mad" Of the DIS
counting Of the notes. On the same date the on.y
entry found IN tho casn book on tn" chase National
Rank was credl, for is1 ~. but nothing about the
moneys realized by tho discount OF the notes.
The witness then took M tho notes one nv ono
and identified the checks OF the company rodocming
,hcm on various dates. running from January q to
June T. 1879 Hagerman swore that pnnton hih
made no record OF the money received and had no
explanation Of its receipt. there any credit
70 tho company on the books OF the Chase National
Bank for any ~ these notes from, January 10 TO
June T. 1892 The bankbook was offered IN evidence.
On. cross-examinat1n by Mr.. Smith iIagerman
said that when Dunton told him the company needed
money he knew IL was not necessary. SIN. he ad-
rnitied that when asked TO make them out. he did
IN. money had never been Deposited t. the credit
OF the company in the Chase National Bank. yet
to Dunton about the discounting Of the notes lie
did not even make INQUIRIES about tmem when
planned. The company made 80 many notes that he
could distinguish between those particular notes
of January 10 and many others.
The witness war then a,ked to look at the com
pany's ledger covering that period and ascertain
whether any entry Of bills payable had been made
and he answered that there had not when Mr..
Inc FOR three DAYS OF grace every one OF the notes
in the series was entered in the ledger. Mr Hsger-
man did not have an opportunity 10 explain, for at
this point an adjournment was taken until Tuesday.
Mr Brooke insisted that bal he fixed. but hc
agreed TO have Mr.. Dunton parole1 IN the custsiy
Of his sour sci John SABINE Smith pniil this morn,
on the question OF bail.