Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1906-03-09
First Step Against Mutual
Reserve Life Officers.
erand Larceny and Forgery,
Five Counts Against Each,
cbaIgsd Against President and First and
Seesat Vice Presidents.

. New York. March 8.-Indictments
charging grand larceny, in the first
degree, and forgery in the third de-
gree by Frederick A. Burnhem, presi-
dent; George D. Eldridge. first vice
ond vice president of the Mutual Re-
serve Life Insurance Co. were found
by the grand jury today. In all five in
dictments were brought against each
omcer, two for grand larceny and
three for forgery. The alleged lar
ceny and forgery was brought about.
according TO the indictment, by pay
ment Of $4,000 of the company's money
to law Arms, the apparent purpose Of
which Is alleged to have been to settle
claims against the company while The
real object Is alleged to have been to
settle actions which had been brought
against officers of the company as in
dtviduals.
The indictments on which charge
Of larceny Is based allege that the Of
heers embezzled two sums. one of
$500 and the other of $500 on Oct.
"a. 1901.
In the first case of alleged forgery,
the indictment charges $500 was en-
tered in the cash book as paid to
Nichols and Bacon, attorneys of p. P.
Armstrong, to settle a claim of Arm
strong against the insurance company,
arising out of n contract between him
and the company. In fact, however.
the Indictment charges. the money was
paid to Nichols and Bacon IN settle
ment Of an action which they as at
torneys for ]. Douglas Wells, had pre-
viously brought against Frederick A..
BuTnham individually.
The second indictment for forgery
charges that the defendant caused the
item of $500 to be entered on the COM
pany's books as made in payment to
James Schell and Elkens for legal ser
vices rendered by them to them. In real
ity. declares the indictment, the money
was paid with instructions to turn it over
to the attorney of j. Douglass Wells to
reimburse Wells for disbursements which
he claimed had been made by him in de-
Tending actions brought against him by
Frederick A. Burnham, individually, and
by George d. EIdridge individually, and
IN order to induce Wells to consent to i,
discontinuance of those actions.
The third indictment for forgery is bas-
ed on the payment of 5000 of the com
pany's money on Sept. "a. 1901. That pay
nj the indictment charges was enter
edN the cash book as made to james
Schcli and Elkus for legal services. The
real purpose Of this payment is how
ever. alleged to have been for delivery Ia
Baldwin and White. attorneys for j.
Thompson Patterson. for the purpose of
settling one action which Patterson had
previously brought against the company
and against Frederick A. Burnham and
George d. Eldridge individually. and three
actions which had been brought against
Patterson. one by George d. F;ldridge, in
dividualiy. one by Frederick A. Burn
ham and one by the company.
The three officers appeared in the court
Of general sessions where Judge O'SulIi-
van fixed their bail at SEQ for each
and fixed upon next Thursday as the time
for pleading.
George Burnham. Jr.. when seen at tho
company Office after the jurys action had
been announced, said:
I'VE have been expecting this and hav,
engaged counsel to defend U.S. Aside fior,
stating that IL there has been any crime
committed 1t Is but n technical one, 1 do
not care to discuss the case