Evening star. [volume] (Washington, D.C.) 1854-1972, 1900-10-24
Story of the DefaIcatiOn.

First National Bank of New York city, is
fugitive and hdefaulter to the extent OF
100000.
The announcement of the defalcation,
which was made :erday afternoon. Great
ed the utmost excitement in the financial
district of the city. A statement by the
bank was follows:
The note teller, who has been in the en-
ploy of the First National Bank for many
years, is a defaulter to a large amount
His operations have continued for a
siderable period and have been skillfully
concealed through a manipulation of his
balance book. The discovery was made by
one Of the banks employees few days after
bank by the United States bank examiners
During the continuance of his peculations
periodical examinations have been made by
several distinct corps of examiners repre-
senting the controllers department. all ex-
pert accountants. and the bank has also
had frequent independent examinations,
neither of which has developed any irregu-
larity. The aggregate of the false entries,
amounting to s700 600, has been charged off
on the books of the bank out Of the reserve
fund, without diminishing the surplus and
profits Of the bank as reported In its last
published statement. 1t Is expected that
the shortage will be materially reduced by
a substantial sum. of which there is fair
prospect Of recovery
Directors Had No Suspicion.
Alvord had been with the bank for
twenty years and was one Of the most
trusted men In the institution. His steal
ings extended over a long period. but no
suspicion Of the truth was known until
ten days ago, when he sent word that he
was Ill at his home. After he had been
away for a day two the bank put ex-
merits at work and some irregularities were
found. AS the experts delved deeper and
deeper into Alvord's books the extent of the
robbery began to dawn on the officers, I'M
| halr mad n find hat
reached the enormous figure Of $7OO,O0O.
| Whether that sum is all that he took is not
yet known.
1t has not yet developed how the note
| teller was able to put his hands on so
much money. But one Of the directors Is
| reported to have said that Alvord was en-
abled to take such large sum because
as note teller he was in charge OF the
| mail This he opened every morning, and
he had ample opportunity to abstract notes.
drafts and checks. as well as money. OF
course he had to be especially skillful to
| admitted that he was al a loss to account
| for the failure of the bank examiners to
| discover Alvord's Irregularities at their last
| examination.
Forrest Raynor is in charge of the ma
| tional bank examiners office In New York.
Lost Money Gambling.
| What Alvord did with all the cash is also
a mystery as yet, except that as usual in
such cases, it is said that large amount
| of 1t went in stock speculation. One story
| is that he had lost $4,000 in one deal, hut
| what deal it was is not stated.
1t has been discovered that during the
| summer Alvord visited Saratoga, where he
| cut a great figure spending money like a
prince He rented cottage. kept a fine
Stable of horses and, besides playing the
| races, is said to have frequented gambling
| houses.
| In New York Alvord was known as a
| man Of very regular habits Among his as
| sociates he was looked up to and on Wall
| street was known as Happy Alvord." be-
| cause of his CHEEKY ways His home was
| in the suburb Of Mount Vernon This home
| is a magnificent place, located on Chester
! Hill one of the most aristocratic sections
| of the suburb. 1t Is surrounded by lux
| urious grounds and there are extensive
| stables Alvord has long been considered
! one of the big men of the town. His family
| entertained lavishly and gave large sums
| to charity. He was prominent in church
| circles, and his wife Is considered one of the
most beautiful women in Mount Vernon.
| TELLER ALvORD's SHORTAGE.
Statement Made by Acting Controller
Kane.
Mr.. Kane, the acting controller of the
| currency, made statement today regard
| Ing the heavy defalcation of the note
| teller of the First National Bank of New
York and commented upon the fact that
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