Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1898-12-08


ness called by the government, testified
to heing president Of the Dover bank
on june LIST, 1897, when 1T was dis
covered that the teller, William N.
Beggs, had disappeared, being de-
faulter to the eAtcnt of S10T, 900. When
tho tefalcation was discovered, he said,
the boulskceper, Irving ID. Boggs, a
nephew Of William N. Boggs, brought
it to the attention Of the cashier,
John II. Batemun, who informed him
(the witness), and tho latter called a
meeting of the directors and notified
the bank examiner, Francis N. Buck,
who began an investigation. Mr.. Rich
ardson said the capital stock at the
time was 800, 900 and the surplus S57,
600. He guaranteed the depositors
against loss and thus prevented a run.
On ross-examination, which was con-
Quoted by Mr.. Biggs, of counsel for
the defence, Mr.. Richardson said he
had served as director prior to the
time he was elected president, Febru-
airy 10Th, 1896, having been elected a
director in 1895. He had also served as
director before that time. Up to
the time of Boggs' flight witness con-
sidered him an honorable and trust
worthy man. He first heard of Boggs'
gambling at an informal meeting Of
the board of directors, N. B. Smithers
being president, on October LIST, 1895
Boggs admitted at that time that he
had been gambling, but promised not
to do SO again AID was forgiven. As a
matter of fact, Boggs was then de-
faulter and had been so for some time.
He was requested by President Smithers
to notify his bondsmen of the matter,
but was not asked about his accounts.
He was asked to tell his bondsmen
what he had done and ask them to
continue on his bond, the bank being
willing to continue him If the bonds.
men were. His bondsmen were George
v. Massey, Joseph II. Whitaker, DIR.
Smith, John Moore and A. III. Moore,
and the directors present were Presi-
dent Smithers, w. L. Cannon, Manlovt
Hayes, James Pennewill and Harry A.
Richardson. Mr.. Wharton was not there.
Mr.. Biggs asked whether the di
rectors sympathized with Boggs
whether any tears were shed. Mr.
Richardson replied in the affirmative.
Mr.. Biggs asked MIR. Richardson
when he first heard that Boggs wal
dealing in Bay State Gas stock. Mr.
Mandegrift objected. He was sustained
by Judge Bradford, who said tn,
United States laws require the cross
examination to be confined to what is
actually brought out in direct testi
mony.
MI. Biggs asked how much none.
was on deposit at the time of th'
defalcation. Again Mr.. Vandegrift oh
jected and was sustained.
Further in cross discrimination, Mr.
Richardson said the next time he heart
of Boggs' gambling after tho interview
| in October, 1895, was about two week
prior to his departure and then it wa'
not positive knowledge. The account
Of the bank were examined every 81
months, witness being a. member o
| the examining committee in January
| 1897. Mr.. Cannon was also q membe
of the committee which found tn
accounts apparently correct and certi
| fled thereto. The $107, ZOO was no
missed. William N. Boggsf returne,
on February sth of this year.
Mr.. Biggs asked Mr.. Richardso
when he first saw Boggs after tn
latter's return. The court ruled tn
question out of order. Mr., Richardson
in reply to Mr.. Biggs, said that Will
the defalcation was 5l0I, 600, that dit
not represent the banks loss, $40, 90
having been recovered, $4,000 fror
the American Surety Co. of New York
and $40, 900 from the other bondsmen
The depositors lost nothing.
| On redirect examination Mr.. Vande
| grift asked the witness whether du
4 diligence had been exercised by tn
directors. Mr.. Bird objected, sayin
it was not question at issue whethe
the president OF the bank had exercise
due diligence The objection was ovel
ruled. Counsel for the defence havin
objected to the form of questions, the
were sustained.
| Mr.. Richardson, upon being recalled
said, having heard, two weeks befor
Boggs' departure, of his gambling,
was decided to keep watch on him an
4 twas found that he had been gambling
Mr.. Biggs, who conducted the cross
4 examination, asked whether the il
quiries were made in order to asce
tain whether there were any irregt
K larities. Mr.. Richardson said he di
not know of his own knowledge wheth,
Boggs was irregular in his habits.
Mr.. Biggs asked whether anythir
was known about Boggs gambling an
other way than with cards. Mr.. Wand
grift objected. Mr.. Biggs, in suppe
Of his question, called attention to IL
fact that the witness had said he su
pected Boggs was sup to his old tricl
again" and he (Mr. Biggs) wanted
know what those "old tricks were."
Mr.. Biggs' question was allowed
and Mr.. Richardson said he did n,
J know anything about any other kir
of gambling. Mr.. Biggs asked M
Richardson whether he had any know
edge OF Boggs' gambling betwee
October, 1895, and two weeks pri'
, to his departure.
"Gambling with cards?" Mr. Ricl
l ardson asked.
sGambling in any way9" Mr.. Big,
I asked. 4 -.
Mr. Vandegrift objected and wi
5 sustained, after which Mr.. Richards
, left the stand.
i While the examination of Mr.. Ricl
ardson was in progress, the judge sa
he objected to having the. case p
/ necessarily ieng.lened and in h
0 opinion up to that time what b;
: developed from the investigate
! amounted to very little So far as L
a jury was concerned.
r The books of the bank, showing
q organization, &C., were admitted
r evidence, the defence offering no o
. position.
Q Mr.. Bird said, in order to sa
v time, the defence would admit tn
5 the defendant, r. r. Kenney, gave
/, check for 5000 in favor of f. b. Gut
: bert & Co. OF Philadelphia, on t
II First National Bank of Dover, on Sc
$ tember 23d, 1896; that it went throul
"A the regular course and came ba
y through the exchange bank in Phil
y delphia to the Farmers Bank