The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1906-08-11
TELLER A SUICIDE,
SfficiaI of the Wrecked Chicago
Bank Kills Himself Because
Friends Suspect Him.
DEFICIT MAY BE 100000.

President Stensland's Alleged Defaica
tions Augmented by Investigation.
Found to Have Bet Heavily on Horse
Races-Poor Stockholders May Have
to Pay Shortage.
Chicago, Aug. 11-Frank Kowalski,
for five years paying teller of the Mil
waukee Avenue State bank, which
failed last Monday, shot and killed
himself in his home, $40 North Car
penter street Criticism by neighbors
and friends, who accused him of a
share in the downfall of the bank, it
Is believed, drove Kowalski to suicide
The acme of the trouble was reached
when woman he had known for years
aecosted him on the street and accused
him of being responsible for the fail
ure of the bank. Speaking of the in
cident Kowalski complained bitterly of
the suspicious of his friends and de-
clared that unless his character was
speedily cleared he would take his own
life.
Kowalski's relatives assert their firm
belief that he was innocent of any
knowledge as to the mismanagement
of the bank by President Stensland
When the bank failed Kowalski had
$700 of his own money on deposit in
the institution, and his immediate rela-
tives had in the bank nearly $4,000
Kowalski, who was thirty years old,
had been with the bank for thirteen
years, beginning as office boy.
Examining Banks Assets.
While the search for Paul o. Stems
bank, Is extending to all parts of the
country Cashier Herring spent many
hours with the state attorneys exam
lining the banks collateral in an effort
to determine the shortage in accounts.
After an all day search forged notes
aggregating more than 100000 were
found and are now in the possession
of the state attorney, who will use
them in the prosecution of persons re-
sponsible for their utterance From
statements made by Herring regarding
loans made by Stensland to himself
and the shortages found by previous
investigations it is asserted that when
final adjustment of the affairs of
the bank is made it will be found that
President Stensland's alleged defalca-
tions will aggregate nearly $2,000,000
In addition to the discovery of pri-
yate ledger kept by President Stems
land and In which was concealed rec
ord of $191, 900 of savings bank depos-
it's, another sensational book came to
light during the examination of Cash
ier Herring by Assistant State Attorney
Olsen at the bank
This book showed that Stensland, in.
company with a coterie of friends, was
heavy plunger on the races. 1t CON
tanned memoranda of the campaigns on
the turf. One day Stensland and his
companions bet $4,000 to win 100000
on horse called General Bragg. The
animal won. There were lots of los
ings, however, to Offset this big win
ming.
The authorities are chary of reposing
implicit confidence in Hering's state
ment that he did not forge the names
on certain notes and by implication in
sinuating that Stensland did.
StensIand an Invalid.
The reason is that for the last two or
three years Stensland has not been
physically perfect. His nerves have
given him lot of trouble, and so poor
has been his control of them that his
hands have shaken as if he had the
palsy. No wavering penman could do
the high grade forgery that has been
going on.
Herring will be confronted with the
crooked signatures and questioned point
blank about each one The actual Sc
curing of money on bad paper always
was put through at noon, when the
paying teller was out at lunch Then
Herring would enter his cage, take the
money and leave debit slip on the
hook
The stockholders of the Milwaukee
avenue store number 5000 persons,
many of them workingmen, holders of
shares of $40 EACH The individual LA
bilities of these stockholders, it is
claimed, is mooted point, and it may
be that the court will hold that the
creditors of the company have recourse
upon the individual property of them
ALL