The Wilmington daily Republican. (Wilmington, Del.) 1890-1902, 1897-04-10
ILLINOIS UNIVERSITY
Will Suffer Heavily by the suspen-
sion Of the Globe Bank.
NEARLY A MILLION TIED UP.

The President of the Bank. Who Was
Also Treasurer of the University.
Money and Bonds.
Chicago. April 10.-C. e. Churchill,
cashier of the suspended Globe Savings
bank, for whose arrest warrant on
charge of embezzlement was sworn out
Thursday. surrendered himself yester.
day and furnished bonds for his ap-
pearance. Vice President Averill also
surrendered himself, and was immedi-
ately released on bonds. President
Spalding is not in the city, but in
letter written to friend he says he
will return Monday. In the meantime
officers are looking for him.
The warrants of arrest were sworn
out by Frank E. Stone. Of the Arm of
Stone & Francis, depositors in the in
stitution. Mr.. Stone went before JUS
tice W.T.. Hall and a complaint charg-
Ing the officers of the bank with embez-
element was drawn up. Since the fall
ure Of the bank Spalding has been
"prostrated." Friends say he is under
medical care in the city. At the Plaza
hotel, where he lives, it was said he
had not been there for "a hours or
more.
The complaint charged Spalding,
Averll and Churchill, being officers of
the bank, "corruptly. wilfully, fraudu-
lently and felonously did receive from
Frank Il. Stone, of Stone & Francis.
the sum of 5000 in lawful money, on
account of that firm, which was in no
way indebted to the bank at that time"
The complaint further charges that
when the deposit was made the bank
was insolvent, making the officers
guilty of embezzlement.
= Developments have brought out the
fact that a far greater amount of
University of Illinois funds is involved
in the suspension of the bank than has
been supposed. Two years ago the
state legislature appropriated $4,000,
OF which, according to the state laws,
enough was to be drawn out monthly
to meet the current expenses Of the
university. 1t appears, however, that
in consideration of 21s per cent in
terest on the funds the university trus-
tees allowed Treasurer Spalding to
Withdraw the whole sum from the
treasury. This is admitted by mem
bers of the board. Thus, not only are
$400,0 900 worth of school bonds missing,
but si23,O coo in cash is tied up, total
of $S23,000.
To add to the complications, it is
said that should President Spalding be
unable to account for the funds his
bondsmen will refuse to be held re-
sponsible, their defense being that a
private deal of that kind between the
university board, the state treasury
officials and Treasurer Spalding is suf-
ficient cause to release them from their
obligations.
There Is gross carelessness charged
to the university officials during the
latter part of Mr.. Spaldings term as
treasurer of the institution. 1t is said
his accounts have not been audited for
over two years. His term expired the
first part Of March, but owing to a
disagreement among the trustees as
to his successor no election for a new
treasurere has been held.
Nothing definite as to Mr.. Spaldlng' 5
accounts with the university can be
ascertalned till next Tuesday. In the
meantime, the case assumes the as
pect of chase between the University
Of Illinois and the Chicago Title and
Trust company, assignee Of the sus-
pended bank, to see who can get first
claim on the property Of Mr.. Spalding.