Barre evening telegram. (Barre, Vt.) 1898-19??, 1899-07-18
TI|D VALENTINE AFFAIR
DeGaulting Cashier of Perth AmDoy
Bank VIII Torego Trial.
LOSS OF THE DEP0SITORS'
Stated There Is No Doubt No" o"'
That n Certain Am0ua.t of Theif
Funds VIII Not BE Re-
turned to Them.

New Brunswick, N. j., July 1S.-H Is
virtually decided that George NJ Falen-
tine. the defaulting cashier of the MIA
dlesex County bank of Perth Amboy'
who stole about $4,000 from the bank
will plead non vult and take his SEN
tence. without trial, some time tins Week.
The exact plan to be carried out Is no'
known yet, kecause it is necessary ior
Valentines counsel, United States us
trict Attorney j. Kearney Rice OF TINS
city, and Prosecutor John S: Voorhees, TO
come to an agreement. Both MI. nee
and Mr.. Voorhees, were at the seashore
over Sunday with their families. IL Is
understood that Mr.. Voorhees, Will be
willing to allow Valentine to plead to an
allegation without waiting for the Sep
TENDER grand jury to consider the case.
Valentine. spent most OF Sunday in CON
sultation with his relatives The first TO
arrive were his uncle, Ross Valentine or
Woodbridge. and his son. They talked
with the cashier for two hours. Inc
cashiers mother and fGthes arrived at
the jail later and staid with their son
nearly all day. Mrs. Valentine showed
the marks of great grief. None OF tue
family would submit to an interview. IN
the afternoon, when the father and moth
er were talking TO their son in the room
on the second floor of the Jail i'll which
witnesses are generally retained, q serv-
ice was held by women from the city
missions. Prayers were offered for val
entine in voice that he must have
heard. Valentine refused to see any
callers outside his family,
The Middlesex County bank will not
resume business. Upon this point the d.
rectors all agree. Whatever hope the
stockholders had in the early hours of
their troIlblc that they would be able to
Withstand the financial shock which the
young cashiers speculations gave the IN
stitution was dashed to the ground on
Saturday by the announcement from
Washington that the comptroller had
granted permission for the establishment
of Il national bank in Perth Amboy.
which has population of about $4,000,
needs banking facilities, and the pros
pect of Il profitable investment for the
stockholders in the new banking institu-
ton Is excellent.
VIII Lose Percentage.
There Is now not the slightest doubt
that the depositors in the broken bank
will lose percentage Of their money. A
large stockholder who has figured 1t out
said this morning that he believed that
when -. banks affairs were wound up
the depositors would get about 80 per
cent. The stockholders will lose their
holdings, of course, but they will not, as
reported be liable for the shortage. This
stakeholder said further:
Under the banking laws Of the state
of New Jersey stockholders are liable
only for the amount Of their stock, and
when this is swept away creditors have
no claim against them. If this bank
had been national bank each of the
stockholders would have been liable for
double the amount of his holdings. While
800 was the par value Of the 500 shares
that represented the banks capital, this
does not represent the actual loss to
stockholders. for the stock sold in the
neighborhood of 5000 a share, and prob
ably one-half of the stockholders bought
their interests when the stock was quot
ed at much above par.
'"There is one phase Of the affair which
promises to be matter of litigation.
and that is the action of the National
Park bank, after it had secured an at
tachment against the Middlesex bank
for $3l 50S to satisfy its claim for over
drafts, in breaking open the Mddlesex's
safe deposit box to attach any securities
found there.
1--WE have been told that the National
Park bank got an order from the court
empowering them to do this. but we have
advice from New Jersey counsel that
this action was unwarranted and that
the Park bank had no right to seize the
Chesapeake and Ohio railroad bonds. Of
value Of $4,000, which they found iii
the safe deposit box. Since the bank
was in the hands of the state board ex-
aminers it seems to us that the Park
bank had no more right to those securi.
ties than any other creditor. An effort
will certainly be made to force the Park
bank to turn over the bonds, also the
mining stocks of doubtful value which
were found in the deposit box, into a
pool for the benefit of all the creditors"