The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1899-01-13
EMBEZZLEMENT.
Gustav Gerstenhauer Gets Into
Trouble.
He is Alleged to be Short in His Ac.
counts with the Lampert Lum-
Der Co. Upwards of$l 900.

A very serious charge is reSGlnS
against Gustav Gerstenhauer, the form
er manager of the Lampert Lumber
Co.'S Mankato yard. He was placed I'M
der arrest by Chief Wagon Saturday
night as he stepped from the 10 40 train
from st. Paul, and was conveyed to the
county Jail, where he remained until
brought before Judge Shissler Monday
morning for arraignment
The warrant upon which Mr.. Gers
tenhauer was arrested was signed by
Leonard Lampert, who is the president
of the Lampert Lumber Co., and charges
grand larceny in the first deg ee, in en-
bezzlement from his company of 81, 900.
While the complaint is signed by Mr..
Lampert, it is understood that the
United States Fidelity and Guaranty
Co., of Baltimore is behind the prosecu-
ton. This company furnished Mr.
Gerstenhauer the bond for 81, 500 re-
quired by the Lampert Lumber Co. of
Mr.. G when the latter took the Office
of manager of the company's local yard
a year ago Theodore Williams is the
local representative of this company.
When Mr.. Gerstenhauer was arraign-
ed at ten o'clock this forenoon. he
waived the reading of the warrant and
his examination was set for Jan. 10Th
at 1000 a. M. The bond was placed at
$1,000
The charge against Mr.. Gerstenhauer
comes as an unpleasant surprise to his
numerous acquaintance in the city. He
entered the employ of the Lampert
Lumber Co. Jan. 10Th, 1898, having
been previously employed by the BONN
Manufacturing Co., of ST. Paul. He
has a wife and three small children re-
siding in the Security block. and these
will have the sympathy of all in the
trouble that has involved the head of
the family.
Mr.. Gerstenhauer's connection with
the Lampert Lumber Co. ceased Jan.
1st At the time the company con-
cluded to change the management of
the local yard, Dec. 10Th, it did not sus
pect that anything was wrong, and it
was day or two afterwards that the
first thing leading to suspicion was
found Since then, bills have been
mailed to all of the company's custom
a,sc, yhn lno1o
and the replies to these have occasioned
the steps that have been taken. 1t is
claimed that there is evidence tending
to show that Mr. Gerstenhauer is be-
hind in his accounts 1,200or more, and
when the full returns are in it is feared
that the amount may be greater The
first evidence of shortcoming dates back
to the middle of April.
1t is said that the books indicate that
Mr. Gerstenhauer collected money and
gave sreceipts therefor without giving
credit on the books, and that he also
entered upon the books as having made
greater deposits than he actually made.
This latter resulted in the firm becom-
ing 1916 overdrawn at the Man
kato State bank The bank
officials did not call Mr. Lam
pert's attention to this, thinking that
he had asked their permission over the
telephone to overdraw the account. At
the company's Office, it is denied that
any such request was ever made. The
telephone was used by Mr.. Gersten.
hauer in these instances. The latter
made the deposits, reporting the
amount ostensibly collected, and Mr..
Lampert issued the checks ON the &C
count as reported. Often, before the
checks were presented, the difference
would be made up by new deposits, and
there would be no overdraft apparent.
Mr.. Gerstenhauer's parents reside in
Winona. Whether he will be able to
make up the shortage is not known He
was given the opportunity to do SO last
week, but did not, and the arrest was
the result. His friends hope that mat
tiers may not be in as bad shape as is
claimed. and that he will be able to Sc
cure his discharge.
Mr.. Gerstenbauer was securing
bondsmen this afternoon. His attor-
neys are Pau & Pau. He states that
the shortage will not go as much as
claimed, and will probably not exceed
$500, and he hopes to be able to settle
t before Jan. 10Th, with the aid of
friends. He realizes very deeply his