The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-01-19
MORE BANK CASHFOR LAUNDRY
(ITY BANK LENT At LEAST $780,
600 no STOCk WlSHERS.
Frank Brewer borrowed -. 900 Day on
1000 VI. & u. shares. and Turned II
over to Niunroe n MunrOe-Attempt
to show Preference 10 the Bank.

to show Preference TO the Bank.
Evidence Of the further extent 10 which
the National City Bank financed the wash
ing Of Montreal and Boston mining stock
on the curb by Munroe 4 Munroe came
20 light yesterday in the bankruptcy pro-
ccedings against the collapsed haber-
dashery concern before Commissioner
Alexander
II appeared that Munroe & Munroe.
in addition TO the $50 coo which they OBJ
tanned from the bank daily for eight days
on their unindorsed demand notes also
received from the same source in a round
about way S. 900 a day from Nov. 8 10 Dec. :,
the day Of the failure making total loans
Of more than sG900 900 to the laundry in
which Second Vice. President LOOMS of
the bank. since retired. was interested.
1t is likely to be shown that other moneys
were received by the Munroes from the
National City Bank
These 5000 loans we're obtained from
the bank 10y Frank Brewer. head of the
brokerage firm of Frank Brewer y Co.,
on unindorsed notes similar 10 those on
which the Munroes obtained their ao
commodationH from the bank NJ Brewer
testified yesterday that he got this money
almost daily from the bank during the
period mentioned. handed il over 10 the
Munroes in the morning and in the after
noon, shortly before the banks closing
hour. covered the loan with money he re-
ceiyed from the Munroes He put UP with
Mr.. Loomis ns collateral 1900 shares Of
Montreal and Boston, which, he testified,
was the property of George II. Minroe
prownt. ta-tfGoJ that ba efnvraJ In,
business in 1903 with no cash capital Of his
own. but with $1,000 furnished by his part
ner. Hugh McDearmit Of Montreal This
partner he has never seen. George Nun
roe suggested the partnership and supplied
the partner.
Brewer admitted that % per cent of his
firms business consisted Of the orders given
by the Munroes Between Nov. and Dec.
Z. the day when the Munroes refused TO
accept deliveries, he traded IN 22j 900 shares
OF NJ & b. for them His Office rent in
the Broad-Exohange Building had been
paid for several months by drafts drawn
on the Munroes in Montreal in favor of
the manager OF the building He said this
had been done merely because the Munroes
owed him money. Maurice tnternyer
examined him.
y
city Bank and Introduce YOU No.
c q Then YOU opened yonr account At the
CITY. Bank entirely ind.peudcui OF M,nroe
Muutoeg A J. -. Mi LOOMS took my
account ! met him -evernl years ago.
= VINO arranged for ,your advance each
q How was 1t arrNngedY deposited
e,ooo shnrrso Of NJ & B stock wi'hMr Loomis
~ collateral
u You took Mr. Muuroes stock | under
stand Won TO say. handed IL over 10 Mr. Loomis
and opened your account Tor sN"h' A. ler.
! borrowed III the morning ANA paid III the
q Just as the Munroe, did in their seo.ooO
V O Did You 20 there alone on Nov to
have your credit established \ Yes, ALSO
utely
. Mr. curtis Munroe's manager. was
Q So this 5000 was charged by You each
day 80 Munroc n Nuuroe and credited back
when II Was paidf ! les did l. as an
accommodation 70 them
. How WIS It an accommodation 70 them
A Why thew got tn" money
q Nou gave them % 'hrck each day.
Yes Or paid for stock coming 70 them
q You say that You can still 80" some
thing 10 Distinguish the firm OF Frank Brewer
A 60 from the trim of NunrOc ~ Nluuroe.
Notwithstanding that you haye been in part
nam. was suggested by Nuuroe. that the
articles OF partnership we're outlined by
Muuroe's attorney. that Niinroe himself
was empowered 20 adiudicate differences in
the firm, that hs manager. curtis, had the
power OF attorney for your partner and hut
Munroe has paid Your once rent Yes
II was also brought ont that a check for
s35 900 drawn by William Gallagher, a
broker. in favor Of the Munroes was not
deposited in the National City Bank until
after the banks closing hour on Dec I.
the day OF the failure This check was
one Of the check, used by the bank in tax
ing mp the last 10000 note and the credi-
tors alleged that it, paymen, made he
bank a preferred creditor MIR LOOMS
has been quoted as saying that no business
was ever done with the Munroes 10y the bank
after closing hour.