The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1897-04-14
ALTGELD DRAGGED IN,
Direct Charges Against Him in the
Globe Bank Case

CHICAGO, April 13. - Treasurer
Spalding. of the board Of trustees of
the University of Illinois, who was
expected to come before the meeting of
the board today and explain the dis
appearance of the university funds en-
trusted to his keeping, failed to put i'll
an appearance. E. G.. Keith was elect
ed treasurer in Mr.. Spalding's place.
The disappearance of $400 600 of the
endowment bonds Of the University OF
illinois has caused a general scanning
of securities held by the different bank
ing institutions in this city, and it has
been discovered that the First National
bank has in it's vaults nearly 5000 900
OF the bonds which formed the endow-
ment fund of which SpaIding was Gus
tOdian. Some of these bonds were sold
outright to the bank, others are held
as collateral for loans made to SpaId-
ing. Another national bank is said to
hold some Of the bonds. Some trace
of the cash belonging to. the UNIVERSE
ty OF Illinois has also been found.
On Saturday, April 8, the last business
day before the failure of the Globe
Savings bank, Herbert Skinner, Spald-
1ngs private secretary, drew SIS 900
from the Globe Savings bank and de-
posted 1t in the Northwestern bank
to Spalding's private account
Additional charges are made in re-
gard to the alleged mismanagement
OF the affairs of the Globe Savings
bank in an amended bill filed today
by Charles E. Churchill, cashier of the
defunct bank. The bill is part of the
reCeivership proceedings and brings
into the case number of persons not
heretofore involved.
President Spalding's connection with
the bank is dealt with extensively in
the amended bill. 1t is averred thar
Spalding induced H. c. Haley to make
three promissory notes, aggregating
upwards of $500 payable to the or
der of Spalding or the bank, upon the
assurance of Spalding that he would
deposit 100000 in merchantable bonds
as security. Spalding, it is charged
used the money for his own benefit
and set apart $4,000 in bonds Prop
erty belonging to the bank has been
applied by Spalding, it is declared,
in the purchase of real estate. and. Il
is charged, that he caused a portion of
this real estate to be conveyed to
others to conceal his interest It Is
also averred that Spalding has used
money Of the bank to pay life insur-
ance premiums, having policies to the
extent of $150, 600.
Another section Of the amended bill
says that Spalding, Edward Hayes.
Charles ]. Ford and John w. Lane
hart, deceased, the latter either for
himself or eX-Gov. John p AItgeId.
purchased a tract of land of eighty
acres in Cook county, and Spalding, it
is alleged paid for his share Of this
property out Of the funds Of the Globe
Savings bank, and, it is also charged,
that Ford, Lanehart or Altgeld knew
this. Of the sum Of $103,000, when
the state auditor ordered charged to
the profit and loss account of the
Globe Savings bank, it is represented
$4,000 was an Indebtedness of John
P. Atlgeld, and that Sc, 900 was an in
debtedness nominally due from John
w. Lanehart 1t is charged, however,
that the last amount was in fact a
loan to ex-Gov. Altgeld. 1t is also
claimed in the bill that ex-Gov. Altgeld
has been transferring his property with
the intention Of keeping it from the
creditors of the bank.
President Spalding, Vice President
Averfll and Cashier Churchill of the
bank. put in an appearance today i'll
the court Of Justice Hall and gave
bonds for their appearance April 10
to answer the charge of embezzlement
preferred by Adolph Edelman, one Of
the depositorS in the bank