The record-union., 1899-12-24
SEQUEL TO A
BOSTON FAILURE.
Chas. H. Cole, Formerly President
Of the Globe National Bank,
Now Under Surveillance Of Federal A.
thsFIties at Los Angeles.

Boston With the Misapproprda-
ton of Mine Hundred Thousand
Dollars While the Head Official
Of the Bank is Now in the Hands
Of a Government Official.
los ANGELES, Dec. 23-Charles H.
Cole. formerly President Of the Globe
National Bank of Boston, is under Fed
eral surveillance at the Van Nuys
Hotel. Mr.. Nuye is charged in a COM
plant mailed to-day from Boston with
misapplication and embezzlement OF
$780, 600 in four counts. The warrant
for the arrest has been mailed with
the complaint.
For thirty years Cole was President OF
this bank. About three months ago ne
was forced to retire, as was then al
legged, for the banks good Yesterday
evening United States District Attorney
Flint received a telegram from the
United States District Attorney at Bos-
ton asking that Cole be taken into GUS
tody upon charge of misapplication
of funds of a national bank now in the
-
Wing as temporary receiver. United
States Marshal Osborne and Deputy
McCulloch found Mr. Cole had been
stopping at the Van Mugs with his
wife and son, Edward B. Cole. In re-
Spouse to inquiry it was stated that
Mr.. Cole was not in. A long CONVEX
sation ensuesd between the official and
young Cole, and the latter, after a con-
versation with his mother, agreed to
take the Federal officers to his father,
telling them that the latter was at
Redondo.
Deputy McCulloch and the young Mr..
Cole drove to Redondo. The officer
found the hotel closed, but was on hand
when it opened this morning, and the
ex-bank President was said to be the
only guest of the place. The elder Mr..
Cole was notified that he was wanted
in Boston in connection with the Globe
National Bank failure. The telegram
of the United States District Attorney
was read to him, and he was informed
that while no warrant was yet at hand
for his arrest, he was wanted by the
United States authorities, and would
be under surveillance from them until
The exbanker appeared very nervous,
but was self-possessed. He declared
his willingness to proceed at once to
Los Angeles, and asserted that he had
no intention or desire to escape. He
claimed that he was out here for the
benefit of his wife's health, who is al
most an invalid, and that his absence
from Boston was meant to be but
temporary. He hoped, however, that
he would not have to be returned there
by officers, and gave his word that he
would make no attempt to avoid service
of the warrant
Later Mr.. Cole said that during his
long incumbency as bank President Of
the Globe National, there had been
overloans, but these he had made good
from his personal property, and this
he could demonstrate. He intended to
return, in justice to himself, to answer
all charges and disapprove or explain
them.
This was in substance all that the
banker would say concerning the case.
He at once secured legal advice retain
ing Judge w. j. Hunsacker to look after
his interests. The younger Mr.. Cole
and while declaring that he knew moth
ing definite concerning his fathers af-
fairs, and was not authorized to speak
for him, said that the only explanation
he could imagine for bringing his faith
er into the case was that the securities
he had advanced to cover overloans had
been rendered insufficient by reason of
stock fluctuations. He stated that his
father owned copper mines in Utah, or
an interest in them, and was to make
an inspection of the properties on his
way back to Boston.
Mr.. Cole remained at the Van Mugs
Hotel in this city all afternoon. No
warrant has been served upon him by
the local United States officials and Mr..
Cole, understanding that he is under
surveillance, made no attempt to leave
the hotel. After his first statements
regarding his arrest and connection
with the Globe Bank, he refused to be
interviewed. and spent the afternoon
in his apartments.
WARRANT DISPATCHED FOR
COLES ARREST.
BOSTON, Dec 23.-The trend of af-
fairs connected with the closing of the
Globe National Bank in this city for
the first time developed a criminal u.s.
pect through the placing under surveil-
lance to-day in California of the banks
former President, Charles H. Cole. The
charge against Mr. Cole is the old one
of overdrafts and overloans, many to
himself.
The action of Mr.. Wing, the receiver
of the bank, ordering the arrest while
a shock to the friends of the former
President, was not surprise to those
who have been watching the course Of
events. and who were acquainted with
the affairs of the bank Rumor was
current here late yesterday afternoon
that such action would be taken, but
for awhile it was found impossible to
locate Mr.. Cole. Late last evening
word was received here that he was on
the Pacific Coast, and this noon came
the news of his arrest just outside Los
Angeles, where he had journeyed with
his wife and son. A warrant was sworn
out during the day in this city and dis
patched tonight to Los Angeles.
In the meantime the brokers and bus
mess men in the city are congratulate
ing themselves that the week is over,
and the worst possibly is known. Just
how the affairs in the Globe Bank were
allowed to reach such stage is prob
ably known to few outside the former
President, but it Is practically agreed
that 1t was gigantic speculation in
copper stocks, in which Mr. Cole be-
came so much involved that the banks
-, o,.o<7sf mo q used until now