The Billings gazette. [volume] (Billings, Mont.) 1896-1919, 1902-05-30
MAITESON IS
GIVEN LIMIT
SENTENCED TO TEN YEARS IN
THE PENiTENTlARv.
COURTS VIEW Of CRIME
Should Be Severe Punishment for
Bankers Who Speculate With
Bank Funds. 4,

Helena, May 2S.-Herbert Matteson
who day before yesterday pleaded
guilty to the first count in the indict.
fment charging him with embezzle.
ment. was yesterday sentenced to 10
years in the state penitentiary by
Judge Hiram Knowles Of the federal
court. Matteson was given the max.
imum limit for the crime charged,
and at the instance of United States
District Attorney Carl Rasch, the re-
naming 80 counts in the indictment
were dismissed.
Before sentence was pronounced T.
j. Walsh. Matteson's attorney, made
an earnest and eloquent plea for the
courts clemency, but to this plea
Judge Knowles turned a deaf ear,
calling attention to the fact that the
other 80 serious charges against the
defendant had been dismissed by the
prosecution, and that in the Judgment
OF the court the maximum penalty
should be imposed.
Matteson and his wife sat inside the
railing in the court room when the
case was called shortly after 10
o'clock yesterday morning. The
court oom was crowded with curious
spectators, who had been attracted
by the fact that it was known that
sentence was to be pronounced.
Matteson rose slowly when directed
by the court to stand up. After recit-
ing the facts of his plea of guilty to
the first charge in the indictment.
Judge Knowles asked the defendant
whether or not he had anything to
say, or ii there was any reason why
sentence should not be passed.
Matteson looked appealingly at his
counsel, T. ]. Walsh, who arose and
stood beside the accused, and made
a plea for clemency.
Sentence Passed.
AS Mr.. Walsh resumed his seat.
Judge Knowles for a few moments
scanned the indictment. Then turning
to Matteson, he said:
Banks are a necessary institution.
In the conduct of the business of the
country at this time we cannot we'll
dispense with banks. At a meeting of
some four or five bank examiners in
this town a few years ago, l remember
saying to these gentlemen: If you
will amend the banking laws so that
the officers of a bank cannot deal in
money and cannot use the funds of
a bank for private speculation, there
will be fewer failures. believe that
at least two-thirds of the bank fail
ures of the country are due to the
fact that officers of the banks involved
use their funds for private purposes
One of these men said to me: Nine
teen out of 20 failures are due to the
fact that the officers of the banks
misappropriate the funds of the insti-
tutions.'
"Said Judge Davis to me once: I
am fearful that some one connected
with my bank may speculate in coal
lands. Judge, a bank is a judiciary
agent of the people, and it's officers
should not be allowed to- speculate
with it's funds
$50 l feel that there should be a
punishment for officers of a bank who
violate their trust. Banks should be
encouraged rather than discouraged.
am fully aware that banks have fail
ed in Montana and elsewhere, by
which failures depositors have lost
hard earned money, and that their
losses We're due to the fact that they
had trusted men who had the affairs
of these institutions in charge.
Here are some 80 or 80 charges
against this defendant I understand
that the district attorney does not
intend to press the ones remaining.
That being the case, it is the judg-
ment of this court that the defendant
be confined in the penitentiary at Deer
Lodge for the term of 10 years."
Will Go Over to Deer Lodge.
The sentence imposed was undoubt-
eddy a longer one than the defendant
had expected, and he bowed his head
as he resumed his seat. A few min
utes later court adjourned and he was
taken back to the county jail.
Mrs. Matteson's devotion to her hus.
| hand is most marEod CHI, hoe boon