The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1906-08-11

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that Paul o. Stensland was
the sole forger Of the S1.00o,-
III 600 worth of crooked notes in
the looted Milwaukee Avenue
bank, were smashed last
night
to. the fugitive president are thought TO
have been engaged in the production OF
SIC, 600 with the name of M. A. La Buy
attached to it was discovered The
authorities now believe that Cashier
Hering's hand penned the signature
The discovery. yesterday of new trails
of crookedness running through the
mulcted bank led the states attorney
to summon peremptorily last night
three of the principal directors of the
affairs of the institution They were
called upon to explain conditions when
indicate that another line of robberles
was being carried on Independently OF
Stenslands own gigantic sWfndle- The
directors who responded to the sum
mons were Frank R. Crane and Marlus
Kirkby. An officer was sent for NJ
A. La Buy, another director, but ne
could not be located.
Director Crane denied all knowledge
of the forgeries perpetrated by Stems
land. From the admissions secured
from the two officials 1t appears con-
elusive that the board of directors
throughout its existence was a board
of dummies.
Did you ever attend a meeting Of
asked Mr.. Olson of Crane.
No, sir, I never did, replied the
director.
Did you ever know the executive
committee to neet?'
TT never met so far as know ad-
mitted Crane.
Did you ever pass on loans or do
anything else to further the interests
of the bank2" pursued the prosecutor
mo, sir said Crane.
He borrowed S25. 600.
The director said that he had Dor
roWed a total of $4,000 from the
bank. He is indebted to the bank for
the whole amount at present The Sc
curity which Crane gave. consisted OF
forty shares of West Chicago street
railway stock valued at 2,40o.z The
assistant states attorney produced the
books Of the bank showing that the
dividends on Cranes stock were not
paid to him, but to an account in the
bank known as 400 This was one
OF stensIaud's personal accounts.
Director NJ RUS Kirkeby was ques-
toned on the same subjects. He was
a member OF the loan committee to-
gether with Stensland and his son. He
was supposed to pass upon the loans,
but he admitted to the states attorney
that he left the greater part of that
responsibility to the president
Among other papers examined last
night was check for $4,7O0 which
bore no signature except one made
with a.. rubber stamp. This had been
handled by Cashier Herring, according
to his own admission, and President
Stensland obtained the money on 1t.
Paying Teller a Suicide.
Frank Kowalski. paying teller and
for some time assistant receiving teller
in addition to his other duties, shot
and killed himself last night at his
home. $40 North Carpenter street.
Criticism by neighbors and lifelong
friends who accused him of share in
the downfall of the bank, is believed
to have driven KoWalski to his death.
Kowalsk had complained bitterly
of the suspicious of his friends, and
declared that unless his character was
speedily cleared he would take his
own life His relatives assert their
firm belief that he was innocent of
any knowledge of the mismanagemen
of the bank by President Stensland.
When the bank failed, Kowalski
! had $500 Of his own money on deposit
! in the institution, and his Immediate
relatives nearly $4,000 Had the tel
| Ter known of Stensla nd S defaIca tons,
they assert, he would at least have
notified his relatives. and would have
taken his own money out of the in
4 stitution.
The dead teller, who was 80 years old.
had been with the bank for thirteen
years.
After an all-day search, forged notes
aggregating more than $500 600 were
| found, and are now in the possession of
the states attorney, who will use them
I in the prosecution Of the officials re-
J spOnstbIe for their utterance. From
/ statements made by Herring regarding
4 loans made by Stensland as banker to
{ himself. and the shortages found by
previous Investigations. 1t is asserted
| that when final adjustment of the af-
fairs of the bank is made. 1t will be
found that President Stensland's defal-
cations will aggregate nearly 81, 600, 900.
Assistant States Attorney Olsen found
what ne termed a regular forgers'
nest" The nest" was composed OF two
/ envelopes filed with notes and blank
l forms. The blank forms contained sig
| natures which had been traced from the
regular depositors signature book. Ac-
cording to Mr.. Olsen, these were ready
| to be filed in for any amount which
| would be charged to the account of the
| person whose name was signed. The
other envelope contained notes running
up to thousands of dollars with the
names of many prominent business men
attached.
Curses for Dead Teller.
Chicago. Aug 11@The directors of
4 the Milwaukee Avenue State bank
i were today examined as vigorously as
was Cashier Henry w. Herring yester-
day. Six detectives were sent to bring
In the directors soon after the inquisi-
tors had arrived at the bank today.
Police we're summoned to keep
order at the inquest into the cause OF
the death of Frank Kowalski, teller OF
the Milwaukee Avenue State bank
who shot himself yesterday evening
at his home. The feeling of some OF
the depositors in the defunct bank was
so great that the dead teller was
cursed as his body lay in the parlor Of
his home. The wreath on the door OF
the home was torn down and its flow
ers scattered by the angry men.
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