Evening journal., 1898-01-17
PRISON DOORS OPENED
P. T. Z. Smith Released From
Jail and on His Way Here.
STORY OF THE CRIME REVIEWED

STORE SMITHS CITIZENSHIP
UPON HIS APPLICATION-THE
FAMILY HAS NO DEFINITE
PLANS FOR THE FUTURE-A
HAPPY HOUSEHOLD.
Peter T. E. Smith, who has been do
ing time in the Kings county prison.
New York, for embezzling S55. 800 from
the First National Bank, OF this city.
was released from his prison cell at am
early hour this morning, and will ar
rive in Wilmington about o'clock this
evening over the b. & o. railroad.
| When Smith was arrested on Febru-
AIRY %, 1898, and confronted with the
crime he broke down and confessed
His arrest created a profound sensation
at the time, as he was probably one of
the Dest-knCwn men in Wilmington
His position brought him in contact
with men Cf prominence, ana mis- agree
allie disposition and affable manner
commanded their respect and admira-
ton.
YIELDED TO TEMPTATION.
Smith, in addition to acting as nav
teller, also did the posting in the led
ger, in which the individual accounts are
kept. He kept ON his desk what is
known as a spindle, which he used as a
file for the checks which he paid every
day, and also as a canceiling medium.
These checks after being thus can
ce.led, were charged up in the individ-
ual cash book against the respective
accounts by another clerk.
They were then posted by Smith un-
} der the proper headings in the ledger.
: These checks were then packed away
in boxes in the vault, waiting for the
balancing of pass-books Smith. to
take money for his own use, adopted
the following method:
He went into the vault and took out
a cancelled CT dead check, and putting
= it Cn the spindle-taking care that the
4, | spindle was passed through the oio
t | cancellation hole-wOuld take an
e | amount Of cash corresponding to thai
named On the check from the cash
! | drawer and put it in his pocket This
check would then pass with other bona
$ fide checks, to the clerk who charged
g up the items. in the usual way. Smitl
would then, of course, neglect to pos
the entry of The false or cancelled
check. The ledger folio would thu
show figures identical with the custom
er's ass book making the ledger of in
= dividual accounts show the proper bal
ance due the customer.
The bank keeps another ledger, call
ed the general ledger. This shows tn
general condition Of the bank-its capi
p | tai. its surplus gross amount Of de
! pOsits due individuals, its general re
sources, etc. This special account q
- "a. .I..I.A
It banks. and Il is charged daily with IN
n tctal amount of deposit and credite
ID with the total amount of checks pai,
Y. These two amounts are taken from IN
individual cash book, before referre
s. to. This cash book, as before showi
s, | would represent more checks paid b
s. the bank by The amount of the dead {
le cancelled check. This overcredit, man
n, | times repeated and extending ov,
r many years. would have the effect
ne | reducing the debit item of deposit
at the total amount cf the embezzlC
u sums.
in THE CRIME DISCOVERED
re Edward Belts, who from the time Il
l. bank was organized had been its pres
IN dent. rendered his resignation and W.
-, succeeded by James p. Wincheste
~ Soon after he took charge he insist'
y on having the affairs of the bank
- such a shape that he would be able
- know 'at a glance its exact c0nditiC
- With this end in view he asked Smi
~ early in December to prepare a ba
4, ance sheet This he promised TO
- but nut the matter off from time
y" time under various excuses.
President Winchester set two cier
TO do the work. and when Smith foui
va what was being done he became We
~ much confused and nervous. AT nO
On Smith informed the president THAT
nc, was feeling very i'll and went home
The clerks reported at the bank
VI Sunday morning, and with Preside
ls' Winchester spent the greater part
Us the day in going over the books. VIII
M Smiths shortage was discovered. T
IS following Monday Bank Examir
Stcne was informed Of the condition
.,z~ affairs. hut it was decided not to ma
no any move against Smith for the pr
an ent. Smith did not return to the ba
use after Saturday. but a watch was k'
on him.. and after the shortage v
discovered it would have been a di
cult matter fer him to have left
1ip- city.
ted, SENT TO PRISON.
lOd-
,ul- Smith was arraigned before Uni
States Commissioner Smith. and, af
ICT brief trial, was sentenced to se'
n,iit years In the Kings county peait
' tiary His time was shortened TO
. years for good behavior, and he '
made boOk-keeper at the prison.
Smith had been in the employ Cf
bank about twenty-five years, and \
ISL considered one Of the best paying-t
10 ers in the city. On the railroad p
el. day he would pay out thousands
.wer dollars. the greater part of it dur
I by the noon hour. and he was ne
he- known TO make a single mistake.
He was always considered thcrua
rect. trustworthy, and much confidence
placed in him. His books were alw
80. kept in an admirable manner. and
suspicion Of any wrong attached
him. He was a steady man. Of ex
lent habits. and his downfall can {
be attributed to living beyond
means.
HIS HOME HERE.