Palestine daily herald. [volume] (Palestine, Tex.) 1902-1949, 1904-12-07
TWO ARRESTS MADE.
Bank President and Cashier Placed
Under Heavy Bond.
STARTLING rs STORY.
Aged Head Of Citizens National Bank
Of Oberlin, o., Tells Of Alleged
1879 49, Eaaaftr stasa
Financial Transactions With
Mrs. Chadwick.

Cleveland. o.. Dec. There were
numerous new angles developed Mon
day in connection with the affairs OF
Mrs. Cassie L. Chadwick and the trou-
oles OF the closed Citizens National
bank of Oberlin, o. President c. 7.
Beckwith and Cashier Frank Spear OF
the latter institution were brought here
from oberlin by United States Mar
shall Chandler and a deputy sheriff
shortly before noon. The bank Officials
were later arraigned before United
States Commissioner Starek. Both
pleaded not guilty and waived a pre-
liminary hearing. Commissioner Sta
rex fixed the bail at $4,000 in each
case and bound the two men over to
the grand jury, which meets I'm Febru-
airy next. Spear was shortly after
ward released on a bond signed by NJ.
a. Lander, ex-county treasurer. Late
In the evening President Beckwith Sc
cured bondsmen in the persons OF :.
G. w Cowles. A. j. Gilchrist and
George A. Ceilings. and the aged bank
er was given his freedom.
That the Oberlin bank or President
Beckwith really possessed notes for
s250.oO0 and 100000 respectively,
with The name of Andrew Carnegie
signed thereto. is now known as a def
mite fact. Whether these notes are
forgeries is not 70 be shown. This is
stated on the authority of United
frfn
a very prominent banker of Cleveland.
District Attorney Sullivan declared that
he had the note for $3.50, 1000 with Mr..
Carnegie's signature In his possession.
and that 1t bore the name OF Carnegie,
and Mas Endorsed by c. L. Chadwick
A widely known banker. who requested
that his name be not used, stated pos
itively that he had seen the 100000
note signed Andrew Carnegie" This
banker said he was not familiar enough
with Mr.. Carnegie's signature to state
positively whether the signature was
genuine or a forgery. Receiver n. L.
Loeser Tiled his bond. thus making him
legal custodian OF all property owned
by Mrs. Chadwick.
1t Is stated that the approval of Mr..
Loeser's bond ties absolutely all OF
Mrs. Chadwick's property up. ana not
a dollar of her debts can be paid out
OF the proceeds OF her estate. All cred
itors. 1t is said. must share alike. This
is supposed to apply TO the Newton
claims IL there IL an attempt TO pay
It out Of any money that may be due
to the estate 80
= The attorney TOR Hsrbss,,las E. W. SsJ.
stated that their client loaned Mrs.
Chadwick money only after a note
signed Andrew Carnegie" had been in
dorsed by the president and Cashier
Spear OF the Citizens National bank.
The men who Endorsed the note were
President Beckwith and Cashier Spear
OF the Citizens National bank, ober-
lin. o.
Relating to this matter Banker Beck
with said the banks transaction with
Mrs. Chadwick was as follows:
Yes. we Endorsed the note in addi-
ton to enc other note for $500. 900; but.
oh. God, never for the purpose OF
which hey were used"
DO you mean to say that there are
two 100000 notes In addition to the
no'e for $25o.ooo?" was asked Mr..
Beckwith.
"Yes. notes asgregating s1,25e, 600"
zone OF the 5000 notes is in the
hands OF the receiver and the other
ought to be in the hands of Mrs. Chad
wick. II she has disposed of It she
has done something which she swore
she would not do: so please make II
plain that solemn oath was taken
that the notes which bear our indorse-
ment were never 10 be used by Mrs.
( Chadwick for the purpose OF raising
money. and she knew IT,"
Mr.. Beckwith. to correct any wrong
impression. would II not be wise for YOU
10 state how Mrs. Chadwick induced
you TO place your signature upon the
note2''
MY God, / would like to II thought
II would make IL clear. To tell the
story would be to tell the tale of tor
ture and transactions covering a period
of over a year. To tell Il would take
good half day, and In my terrible
condition ! cannot attempt the task.
] cannot tell the story before go on
the witness stand. ] must seek ad-
vice"
Did we have the slightest suspicion
that the notes carrying the name OF
Andrew Carnegie were not genuine?"
in Heavens name how could we
have had suspicion? Mrs. Chadwick
swore TO both OF US and one or more
witnesses that she personally saw Mr.
Carnegie sign his name 10 the notes
she placed before us. But we said that
we must be sure. A New York attor-
ney two days later appeared in Cher
lin. who said he was the attorney OF
Mr.. Carnegie-his special agent He
vouched for the correctness OF the
claims made by Mrs Chadwick. We
had at least six conferences with his
special agent. He vouched for the cor
rectness OF the claims made by Mrs
Chadwick. We had at least six con-
ferences with this lawyer-two in
Oberlin and four in Cleveland"
Mr.. Beckwith said he had seen the
attest held by Ira Reynolds many
times and understood that genuine
securities were in vaults OF Wade Park
bank. He told OF his business dealings
with Mrs. Chadwick.
1T was over a year ago that learn
ed that w. S. Fay and Henry wurst OF
Elyrla had had some dealings with