New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-06-03
ADMITS TAKING $4,000,
SPECULATION HIS BUIN.
Teller of NeSc-H1uen Bank Refuses
to Run ArUay.

New-Haven, Conn. June "A loss Of from
$4,000 to $6o000 through the enbezzlement Of
its funds by a trusted employe Douglass NJ
Smith is admitted by tine officers of the Ma
tonal Tradesmen's Bank. OF this city. The ex-
act amount Of money lost viii not be known
until careful and far-reaching examination
that is now being made is finished. Smith who
was paying and receiving teller OF the bank. has
acknowledged voluntarily that he has embezzled
about $4,000. and the greater part Of it, if not
ALL within the last eight or nine months.
statement given out by H. W. Thompson,
cashier Of the bank. summarized all that IS
known OF the situation tonight. It is as fol-
lows:
The national bank exsiners visit each is
retoTs' ~ q PT1TSte examination oy the u-
tional examiner was held last December, and that
snoFtiy aIterWArn. SIN neither examination was
any discrepancy in the accounts OF Mr. Smith dis
and when it was ecideg tn te baHe t6e
9egln on Tuesday last Mr.. Smith did not come
message saying that he had been taking none
NIP qP & ne also said that as he could not hope to
woqla % meet whatever punishment the courts might
As near as We can make out by the examination
tauS lar glVeu we believe that he has taken about
mates He was under bonds for SIS Goo gyen bv am
!ndemnlty company. AS Mr. Smith saysaa has not
make good the loss We shall have re stand the
paance 0L the defalcation above the S15.OO0 in the
ponds; Mr. Smith says he has been specuIatfng.
ard that he took the money for that purpose He
sPe925ulated at the local agents of Buckiin & Co..
some some other customers. The bank is safe and
sound as We have surplus OF about $500 90
There Is no danger to either our depostors or on,
sIockholders Mr.. Smith has been with the bank
OF that period has been teller
smith was arrested this afternoon by United
States Deputy Marshal ". l. Parmelee on a
bench warrant issued by United States Com
missioner ". A. Wright. Smith awaited the ofa-
GERS coming at his rooms in Duncan Hall where
he has lived recently with his wife and Young
SON. Mrs. Smith had steeled herself for the
trouble. and bore up we'll She assisted her hus-
band in getting together what necessities he
might be expected to require II he had to 20
to jail President William T. Fields of the bank
was with Smith when the officer came, and
left the house with a bag full of papers some
OF which are believed to be papers showing
where Smith has speculated and IN what securi-
ties.
Smith was brought before Commissioner
Wright late to-day, and his case was continued
until June II, in bonds OF $4,000 In the even
Ing hours Frank L Bigelow John Cox and Rob
ert Foote gave security as bondsmen and Smith
returned 10 his wife and child In Duncan Hall.
tfTeat surprise was felt over the embeZZlen1eut
Business men at first were somewhat appra-
henslve. but when the full facts became known
the excitement subsided. as the bank is now
known TO be strong and its securities excellent.
statement OF The condition Of the bank at
the close OF business on March D shows re-
sources as follows: Loans and discounts 81 210-
46f 81; United states ard other bonds S2Ip lIgt.
banking house. $4,000: due from banks. S:}53
I39 %; cash hand. SlS49ST 81. The liza bli-
ties were; Captal stock, 100000: surplus and
$1,000; due to banks. $JS366 56i deposits ST.
Do 635 63.