The Providence news. (Providence [R.I.]) 1891-1906, 1897-03-03
REASON FOR IT.
Change Of Banigan Ac-
count on Steinert Books
Was Made to Capture a Pros
pective Purchaser.
Interesting Testimony In the Case
Against Steinert Co.

pany was resumed in the United States
district court before Judge Aldrich at
1915 o'clock this morning.
The testimony given late yesterday
afternoon by expert Ware was to the
effect that there were but two purposes
to which fictitious entries could be put.
One was TO take the place of an asset
which might have been distracted and the
other to show an asset which never ex-
listed. He found one place where the
largest initiation was 5000 In cross ex-
animation witness said that Armstrong
was careless bookkceper. He told Joseph
Mann that he found several mistakes in
the books.
A. NJ. Hume, bookkeeper for the
Steinert's at Boston, related the reason
he came to this city and the method he
employed In the examination of the
books. He found false entries. In one
place there was discrepancy of $40, 0O0
In another 5000. Mr.. Armstrong could
not make "A satisfactory explanation of the
two entries. He said he did not know
how it happened
In the instalment account he found
that there was a shortage Of sl2, 900.
Witness said that Mr.. Armstrong told
him that he had raised the instalment
account $4,000 each in two places, but Mr..
Armstrong could not find the places.
Witness stated that money had been
taken from the Stenerts. On the second
day of two weeks examination he told
Mr.. Mann that the books showed no
money taken. 1t would take several
months to straighten the books out.
Frederick NJ. Robinson, the New Haven
bookkeeper for the Steinerts gave testi
mony similar to that of Mr.. Hume. AT
no meeting of the Steinert corporation
had he heard Mr.. Maurice Steinert say
what Mr. Henry Stcinert testified to as
happening ut the meeting.
Alexander Steinert swore that he and
to the time of the dcfalcation, which his
bookkecpers reported to him. Armstrong,
with tears in his eyes admitted to the
witness that he had been stealing from
the Steinert company for long time and
begged to be spared from exposure He
offered TO make the loss good and the wit
ness told him he would be as easy with
him as possible. The payments were made
at his convenience. Armstrong told him
that he had been unfortunate in his invest
ments but he meant TO pay back the
money he had taken. Witness said that
Armstrong; admission Of guilt was
great shock TO him as he had trusted him
implicitly.
Alexander Steinert resumed his testi-
mony this morning. He said he directed
the surrender of Mr.. Armstrong; $4,000
note At no time during Mr. Armstrong;
employment did the firm fail to make
money according to the statements rem
dered. Henry Steinert became partner
n the fall of 1894 He was admitted to
he firm on the basis of the assets of the
firm rendered by Mr.. Armstrong. He did
not say, "leavo it with me, 1 will make
him settle it II / have to put the hand
cuffs on him." He never made statement
OF that kind. Witness said that he never
heard his brother Henry suggest to Mr..
Armstrong that the accounts be raised.
He also said that he himself had never
given utlN SUCH
In cross-examination witness explained
his part Of the work in the Providence
store. He occasionally entered instalment
accounts on the ledger. He might have
taken. money for six accounts out of H.
Mr.. Armstrong was bookkceper for several
other parties and he was absent from the
store on several occasions. For this reason
the witness said he entered the accounts
on the books. His brother Henry also did
the same thing.
In the redirect testimony Mr.. Stencrt
said thQt he did not receive money while
Mr. Armstrong was present The money
was put in the money drawer. Whoever
had chhrge Of the cash took 1t out of the
drawer, either Henry Stcincrt or Mr..
Armstrong
Mrs. Edward Stcincrt said that her hus-
band is very ill., lie has been sick for
more than year. He requires constant
attention, On June IL Edward Stcincrt
did not go to Boston for Edward Stcincrt
helped her to pack packages for their trip
to Chirago She heard Mr.. Mann say to her
husband, "if you touch that sign | will
expose the whole Armstrong matter.
have not been over the books for nothing
and will break down your health.
In cross examination witness said that
this took place In November 1895.
In ro-liicct testimony she stated that
she meant In 1895
Truman G. Marshall, bookkccpcr for
the Steincrts In this city, told Of the
amount paid by Mr.. Armstrong
Edward Stcincrt came into the store
with s22OO and entered the amount I'm
the cash book. Mr.. Armstrong was i'm
tContipued on Page a.