The Bamberg herald. [volume] (Bamberg, S.C.) 1891-1972, 1902-02-13
CLEANED OUT BANK
Vice President Of a Detroit Saw
irgs Institution Goes Wrong.
MADE WAY With A MILLION
Other Banks Victimized for S6oO,OO0.
Money Was Secured 5y Means
of Overdrefts and Certi-
fled Checks-Panic Results.

Vice President Frank C. Andrews,
Of the City savings bank, at Detroit,
Mich, which is in the hands of State
Bank Commissioner Maltse, was ar
rested Monday afternoon and arraign-
ed on the charge Of "wilfully,, fraud
ulently and knowingly securing from
the bank, without security and with
out the knowledge of the directors, a
sum exceeding S1,0G0,000. He was re-
leased on $4,000 bail and his examiIa-
ton was set for February 21.' Cashier
Henry C.. Andrews, through whom
F. C. Andrews is said to have secured
the money by means Of overdrafts and
certified checks, is seriously III at his
home with nervous prostration.
In addition to total Indebtedness
to the City savings bank of s1,loS,00O
to secure which Mr.. Andrews has sign
ed over to that institution all his real
estate holdings and stocks, bonds and
other securitie,, which, it is estimated
will total about $1,000,000, four local
banks and a trust company hold his
checks, certified to by Cashier An
drews to the amount OF S662, A
considerable number of these checks
are protected by securities deposited
with them BY Mr.. Andrews.
Owes Bank Nearly 100000.
AS soon as Commissioner Maltse
took charge of the institution he i'm
mediately began an examination CT its
books. It was found that Cashier An
drews had permitted F. C. Andrews to
oyerdraw his account $4,000. Other
liabilities brought F. C. Andrews total
Indebtedness to the bank up to ST.
15S.G00. In addition to this Cashier An
drews had certified checks for +. G..
Andrews which he had deposited in
other banks to the amount of Ss62,Oo0
At the close of his examination Com =
missioner Maltse has issued the
following statement CT the banks con-
dtion at the close Of business Feb
ruary s:
Resources, total loans and discounts,
bonds, mortgages and securities, ST.
363,O93; overdrafts, $a1S,s52; real es-
tate, s1O,s99; cash in bank, s2SS,697;
other assets, s1S,922.
Liabilities, stock, surplus and undl-
yided profits, s225,212; deposits, So
370,251.
The examination showed that the
record of F. C.. Andrews transactions
was not kept in the regular way, but
in a memorandum book. The first
record of a transaction between Cash
ier Andrews and F. C. Andrews is jan
uary II, but the examiners estimate
that the transactions have been going
on for about six weeks.
The City savings bank was the de-
pository for the funds of the county
auditors, their balance there being
more than s150,00O, and F. c. Andrews
was arrested Monday on COM
plant sworn out by Auditor Christian
after a long conference between the
auditors and Prosecutor Hunt. The
warrant was served on Andrews, who
is commissioner Of police, by two of
his detectives in the Office of the De-
troit Trust Company, where he had
been in consultation with the officers
CT the banks holding his certified
checks. The City savings bank was
also the depository for the board of
education, which had total Of $751;
900 on deposit.
Caused BY Copper Speculation.
Unfortunate speculations, especial
ly heavy purchases Of Amalgamated
Copper stock, are believed to be re-
sponsible for Andrews ruin. Presi-
dent F. C. Pingree, OF the City Savings
bank, says that Andrews told him
that h elost 100000 in Amalgamated
Copper
Although no warrant was issued for
Henry R. Andrews, an officer was sta
toned at his home as a guard. He is
in a serious condition. In addition to
the nervous prostration he has mad a
severe attack of heart trouble.