Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1903-12-17
HELD IN $4,000 BAIL.
Eastman Says That Transaction Can
Easily Be Explained.

Berlin, Dec. 16.-oreSldent Eastman
of the Berlin National Bank, arrived
here, today, from Woodville in the GUS
toby of United States Marshal Mute,
having been arrested at Woodville. on
a charge of making a false entry on
the books of the bank here. Mr.. East
man in custody of the marshal went
directly to the bank and soon after
wards efforts We're begun to secure bail
in $4,000 which had been named at a
hearing on the case held at Woodsvile,
Immediately after the arrest.
Mr.. Eastman seemed to consider the
whole matter the result of a misun-
derStanding which he said would soon
be Strengthened out. In an interview
obtained shortly after he arrived, Mr..
Eastman said:
1.-THE United States authorities apIar-
entity suspect q joint note, but this is
not so. The transaction is above board
end perfectly honest and honorable IN
every respect and the proceedings in
due time will be satisfactorily explain
ed. The note is perfectly good and is
secured by stock of the Gorham Ma
tional Bank of which Marshall is cash
While Mr.. Eastman and his family
were endeavoring to secure bail, the
United States authorities We're serving
summOnses of various reside hts of the
city to appear before the United states
grand jury at Concord. Among those
ordered to Concord, were persons inter-
estcd in the City Supply Co., which
failed here about year ago, and also
investors iii the Berlin Water Company
which recently sold out to another con-
Germ which is now supplying the city
with water. The books OF both these
concerns are included in the summons
es which have been issued and also the
books of the Berlin Independent. Mr.
Eastman it is understood has been in
terested in all three of these concerns.
having been treasurer of the City
Supply Co, and having financed the
transaction by which the water COM
pany was sold.
Mr.. Eastman is about 10 years old.
He has been a resident of
Berlin. since about 1880, at which
time he started private bank
with capital of about $4,000 From
that beginning he has branched out
widely along financial lines, having
organized the Berlin National Bank, the
North Conway Loan and Banking Co,
at North Conway, the Goveton Nation
al Bank at Groyeton, the Farmers and
Traders National Bank at Colebrook.
and the American National Bank of
BOSTON.
The persons summoned to appear be-
fore the grand jury expressed surprise
at the action of the authorities and
claimed to be utterly at sea as to the
line OF evidence which they will be
expected to give. 1t is understood that
National Examiner Carroll has been
at work on the case for some weeks
and it is said that his investigations
have covered various transactions said
to have taken place between Eastmans
banks and some of the companies in
which he was interested.
The Berlin National Bank is patron
lied generally by concerns and indi-
viduals interested in the lumber trade
in this section. The German National
Bank, of which Eastman is vice pres
ident, although he is said to own $751;
Oo0 Of the $4,000 capital, has been con-
sidered prosperous.
Before the close of banking hours,
today, Eastman had secured the bail,
the directors of the bank becoming his
security.