The Bourbon news., 1904-12-02
VEIL BEING L|FTED.
Strange Complication Involving
a Bank Failure.
The President Admits That He Per-
sonaIly Assisted in Loahing Mrs.
Cassie Chadwick $102, ,000-Her
Securities Were Worthless.

Oberlin, O., Nov. 29.-The Citizens
National bank of this place was closed
Monday morning until further notice
Soon after the closing of the doors
of the Citizens National bank here
came the startling admission of Presi-
dent C. T. Beckwith that he personally
had assisted in loaning Mrs. Cassie L.
Chadwick, of Cleveland. an amount ap-
proximating 100000.
Cleveland, O., Nov. 3O.-The veil of
mystery which has enveIoped the
banking operations of Mrs. Cassie L.
Chadwick is being torn aside There
is disclosed an astonishing complica-
ton, with possibilities of. disclosures
Of a still more startling nature H. B.
Newton, banker of Brookline, Mass,
sued Mrs. Chadwick for money due
On notes given for money loaned. The
failure of the Citizens National bank
in Oberlin, O., was the result of money
loaned to Mrs. Chadwick by President
c. I. Beckwith. The latter now says
the woman 100000 He further stat
ed that there are two checks in the
bank as security for money loaned
Mrs. Chadwick, one for $50O,O0O and
the other for $250,OOO.
! Mrs. Chadwick was married to the
Cleveland doctor, whose name she
bears, in 1897, and at that time was
known as Mrs. G. L. Hoover, widow.
Oberlin, O., Nov 30.-A meeting of
the directors of the failed Citizens
bank, was held Tuesday night Direc-
tor j. R. Randolph made the startling
statement that the signature on the
collateral notes for $500 900 and $780,
300 on which Mrs. Chadwick was loan
ed money is not worth a dollar. He
said he had seen the notes and they
are not signed by Andrew Carnegie;
that such story is ridiculous. In his
opinion, Mr.. Randolph says, the sigma
ture does not add a dollar to the value
Of the paper.
Boston, Nov. 30.-Further details of
the Chadwick case were furnished
press representative Tuesday night by
one legally identified with the present
litigation. By this person it was said
that Mr.. Newton's loan of $4,000 to
Mrs. Chadwick was made purely as a
business proposition He continued
"Mr. Newton's judgment, it will be al
legged, was Influenced by the certifi-
cate of Iri Reynolds, secretary and
treasurer of the Wade Park Banking
Co., of Cleveland, that he held securi-
ties belonging to Mrs. Chadwick to
the value of $5,OOO,00O.
"a note for $5OO,OOO, bearing as it's
signature the name of Andrew Car
negie' was offered as evidence that
Mrs. Chadwick's credit was unim-
peachable. Mrs. Chadwick, in expla-
nation of the possession of this note,
said that on one of his trips to Scot
land Mr.. Carnegie carried with him a
block of her Caledonian railway stock
which she desired him to dispose of to
the best advantage on the other side
of the Atlantic. In lieu of the receipt
for the stock Mr.. Carnegie, Mrs. Chad
wick explained, gave her his note for
$500, ,O00.'
waiting There is a decided feeling
in the air that something will soon
take place that will change the situa-
tion, either for better or worse, as far
as the affairs of the Citizens National
bank are concerned.
1t is generally known that Presi-
dent Beckwith has received two mes.
sages from New York during the day,
one of which at least bears the sigma
ture of Judge Albaugh. This dispatch
stated that Judge Albaugh was on his
way to Oberlin from New York and
that he had with him security great
enough to cover the loan which was
made through the Oberlin bank to
Mrs. Cassie Chadwick, of Cleveland.
President Beckwith now openly re-
fers to the loan in its entirety as a
100000 loan. This, he now says, COW
ers in general way the loan made
through the bank and by him person
ally. That it is a larger amount than
this he does not deny. His only reply
has been when asked if the entire
amount was $4,000, that 100000 was
large enough for so small an institu-
ton and it's managers to shoulder
New York, Dec. 1-"Mrs. Cassie l..
Chadwick will settle claims held by
Herbert B. Newton, of Brookline,
Mass, for $19O,000 upon cash basis
and in FULL
This statement was made Wednes-
day by George Ryall, of the firm of
Baggott & Ryall, counsel in New York
for Mr.. Newton.