The Grit-advocate., 1902-02-14
HE TOOK A MILLION
BANK OFFICER sETRAvs TRUST.
Vice President Andrews Of Detroit
Savings Bank overdraws His Ac-
count With Connivance of
the Cashier.


bank, which has been in the hands of
State Banking Commissioner George l..
MaltZ since this morning, was arrested
late this afternoon, and arraigncd to.
night on the charge of "wilfully fraud,
ulently and knowingly" securing from
the bank, without security and with.
out the knowledge of the other direc,
tors, a sum exceeding $1,0OO,OOO. He
was released on $4,000 bail, and his
examination was set for February DIST
Cashier Henry G. Andrews. through
whom f. c. Andrews is said to have
secured the money by means of over.
drafts and certified checks, is seriously
i'll at his home, with nervous prostr.l,
ton.
In addition to Il total Indebtedness
to the City Savings bank of 81 ,15S.OO0
to secure which f. C. Andrews has
signed over to that institution all his
real estate holdings and stocks, bonds
and other securities. which, it is estl.
mated, will total about $1,OOO,OO0. foul
local banks and trust company hold
his checks. certified to by Cashier An.
drews, to the amount of S662,OO0. A
considerable number of these checks
are protected by securities deposited
with them by Mr.. Andrews.
At the close of his examination Com.
missioner Malt tonight issued the
following statement of the banks con.
dition at the close of business Febru.
ary Sth:
Resources-Total loans and discounts
bonds, mortgages and securities. 81.
1863 3,O93: Overdrafts, $913,S52; real es,
tate, $10,SS9; cash in bank, $2SS,G91
other assets, $1S,O22
iabilities-Stock. surplus and undi
vided profits, $225,212; deposits, 3d..
37O.251.
The examination showed that tho
record of f. c. Andrews transactions
was not kept in the regular way. but
in a memorandum book. The first rec
ord of transaction between Cashier
Andrews and f. G. Andrews is Jan
uary II, but the examiners estimate
that the transactions have been going
on for about six weeks. President +
which the certified checks We're obtain,
ed as follows:
IF. c. Andrews would draw a check
for the amount he wanted. and have
it certified by the cashier, Henry G.
Andrews. He would present this certi
fled check to the person with whom ht
was doing business and ask him to
hold it out for that day. as the bank
was not in funds to meet it. Perhaps
he would thus hold it out for two OF
three days, and eventually when there
was money enough in the bank to meet
the check. he would go in and take il
out. There would be only the slip OF
paper in the drawer and the with
drawal would be put down as Il casl
item. With this money he would il
person pay the certified check and tcnl
it up. This was done time and time
again"
The City Savings bank was the dc
pository for the funds of the count!
auditors, their balance there being
more than $150,NOO and +. &. Andrews
was arrested this afternoon on Il com
plaint sworn out by Auditor Christian
after a long conference between the
auditors and Prosecutor Hunt. Tn,
warrant was served on Andrews. who
is commissioner of police. in the Office
of the Detroit Trust Company. where
lie had been in consultation with otii
GERS of the banks holding his certified
checks. The City Savings bank was
also the depository for the board o
education. which had total of S4G7,
600 on deposit. Other local banks will
temporarily advance funds to the
board of education for salaries nn,
running expenses.
The other banks of the city are il
good condition and there is no panic.
At the Gratiot Avenue branch of tn,
| City Savings bank, which drew its de
posits largely from the laborng peo
| pie, there were many pathetic scene.