The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1898-02-03

'ItCtoEb tI6l Hc ilau iouHVu Ss9siVVVi W
the banKs money without consulting
the president and knowing the dlrec.
tors would not approve Of the action.
He denies that ne protlted by the loans.
Mr.. ouinlan's letter OF resignation is
as follows: 1t.
NEW YORK, January 81, 1898.
To the Directors OF the Chemical Ma
t!onal Bank:
Gentlemen:-wlthin the last few
months have made loans Without con-
sulting the president. to the amount OF
about three hundred and hinety-three
thousand (ss93, 3,OO0) dollars on collaterals
which knew that you would not APP
prove. and hence have concealed these
loans from you by methods which wero
not right. -iis ~
IS II have not been Interested PERSONAL
ly In them and have not received one
dollar OF the proceeds Of them, nor In
but one instance received any benefit
from them, and then but a moderate
amount: nor have ever speeulated to
the extent OF a single share In Wall
street. Ny error has arisen from the
over-confidence in the representations
OF those to whom these loans were
made, and while I hope eventually no
loss viii arise from them. acknowl-
edge the Justice OF tho request for my
resignation. which is hereby presented,
both as a director and as cashier OF the
Chemical National Bank. This termi-
mates faithful service (untll the
aboye) OF thirty-sl1 years 10 the In
stitution, which has Justly been the
pride of my life.
Respectfully.
WILLIAM j.. oU1NLAN. JR.
The loans made by Mr.. Qulnlan were
on western securities Of various kinds
and were negotiated by Francis Cradle,
q promoter OF land, mining and irriga-
tion schemes. The first known OF the
affair BY President Williams was when
Qulnlan called upon him at his home on
Sunday last and made q full statement
Of the transaction. It is conceded that
Qulnlan. as cashier. had the power to
make the loan, but It is held that In a
transaction involving so large aa
amount OF money he should have !con-
suited Sthe president. Mr : W illlams.'
president OF the bank, said to-day:
I'VE think that absolutely the worst
IS known and we are strongly in the
hopes that Mr.. Quinlan's expectations
are true and that a large part OF the
money will be recovered. We would
rather face the matter md let the pub
lie know the whole truth.
The Chemical National Bank IS one
OF the most prosperous institutions OF
its kind in the country, and should all
- t1a t1,rfs "a n ,ty,1a -,
prove loss, the banks credit would
not be affected Its shares Of the par
value Of 800, have sold for more than
81, 900 each. within short time. CASH
Ter QuQinlaa Is fifty-three years OF
age. During the twenty years he was
cashier, he never took q vacation.
Francis Halpin, assistant cashier. Is
acting cashier Of the bank, pending the
selection OF a successor to Mr.. Quinlan.
The amount loaned to Cradle was
| $500, 1000. John s. Silver, Of this city,rep-.
resentinG q carbon company, obtained
sls3.0oo. =. IS 4,
"In my opinion" said President VII
lIams. Quinlan has been made the VIC
tim OF clever schemers. believe that
he has been mentally irresponsible for
months, though there was nothing ap-
parent in his action to betraV this to
US. \,
"Mr. QuInlan had known Mr.. Cradle
for some time and six wekes ago when
the latter asked for loan OF $1,000 to
help along some scheme Of his, Mr..
| Quinlan gave II to him. Then came an
other loan OF $4,000. which was also
granted. Next Silver was brought into
| the deal. u ~
"what Is Silver's business?" Presl-
dent Williams was asked. go 54
l"ChIely TO get money out OF banks.
was the terse reply. Il
Then Mr.. Williams continued:
| "Quinlan was Induced 10 make the
| first loan, believing the security to be
all right. The amount was small, but
when a etart had been made, the men
wanted more money.
'"Then, to save the first sJ.o00 Mr..
Qu!nlan made them another loan OF an
equal amount. and to save these $4,000
gave them another $4,000. @
I'm this way. in a little more than six
weeks, the amount Of the loans was run
up to almost half million dollars. It
was not until It reached this figure that
we knew anything about 1t. Then for
the first time Mr.. Quinlan seemed 10
realize that something might be wrong
with his accounts. So last Sunday he
called on nc at my home.
E..I was simply dumbfounded. a had
never before had the slightest suspicion
but that Mr.. Qu!nlan was all right,
mentally. & u ,l$e n
"Then 4 realized that something must
DO wrong or lie would never have
loaned moneY to Grabel and Silver or
have advanced even the most trivial
sum on the security they have given
him, l examined It and decided'taat It
was almost worthless and made zap my
mind that the bank would lose every
cent It had advanced. 5sgCzs - g = y {.
s4'I want to say this for Mr., ,QuInlan.
| Not the slightest suspicion of dishon-
esty rests upon him. I do not believe he
| proilted by these loans 10 the extent OF
ono cent. Every dollar: OF this banks
money which he gave out went to
! these two mon and lie would never
have given them anything, TO say noth-
y Ing of the large amounts they obtain
cd. unless they had made him believe
,thcic securities were good. + $iBS
fs,""1 am firmly OF the opinion that Mr..
i Qulnlai, IN out OF his head and that his
trouble Is due to overworls
/ stfSs $50 tsSs'ttg5
Tho f.urtrert Trial.
CHICAGO, Feb 2.---AttorncyJ ]. Il.
Jehoe began the arguments for the de-