The Montgomery advertiser., 1906-08-12
HERRING WAS
 BIG F0RGER Cashier the Tool of Stensland. TEN WARRANTS ARE ISSUED Bogus Signatures to Notes Are
 Exposed.
Director Crane's Testimony shows That Execnsi.e Committee of Bank Consist. of Practical Dum,aies
 In Executive's Hands.

a4 ~HiraSos Au&. 1A--Ien warrants Tn the Milwaukee Avenue Bank case were issued this afternoon by Judge Kersten in the absence of Judge Smith,
 The first two charge conspiracy to cheat and defraud the Milwaukee Ave nue State Rank of It's money. property and goods. Paul Stensian. Henry w. Herring. Theodore Stensland divers other persons yet unknown" are named in these two warrants.
 The next two are against Henry ". Herring. and charge perjury in re- gard to q report. made and sworn to by him to the State Auditor in January and April 1906. on the condition of the bank. atThe next two charge larceny of s1.0Q0 and s350 and name Henry W. Herring.
 Five cases of forgery are then charg- ed against Paul o. Stensland and Henry ". Herring It is alleged that they forged the name of NJ. c Bartholdt to two notes for s2.50o each. the name of M A Labuy to one note for $s,Soo, and the name of Marius Kirekby to a note for Si0,000 and the name of s. Herold to a note for s1o.00o.
 All theories that Paul O. Stensland was the sole forEer of the &1.0e0.000 worth of crooked notes in the footed Milwaukee Avenue Bank were smashed last night
 At least three men In addition to the fugitive president are thought to have been engaged in the production of boz gus signatures The authorities now believe that Hering's hand penned the signatures to over s50o.o00 worth of crooked paper. The first thing to make the inouisit0rs certain of bogus note for yfo.0o0 with the name of NJ. A. I,abuv Attached to 1t was discovered. when confronted with the signature ara charged with it's execution. Herring became embarrassed.
 This was late fiji the afternoon and at i a. nj, when the nights inquisition came to an end. moral certainty nad taken the place of suspicion Tn the minds Of the officers of the law.
 Tn stensImnd'n Grip.
 rtve years ago Herring fell Into stensiand's grip. He had. It is allegeds rnilfv knowledge of the theft of $So,oo0 bv the teller in the savings department, Ana in fact Is said to have pArtici- pAted in the loot. The discovery yeH- tetday of new trails Of crookedness running through the mutiiated pank, led the States attorney to suniison s soa peremptorfly last night three of the nrincipaf directors in the affairs of the institution.
 Thev were called upon to explain conditions which indicate that another line of robberies was being carried on fndependently of Stensland's own gt- gantic swindles. The directors who responded to the summons were frank R Crane. and Marius Kirkeby. An of- ioer was sent for M. A I.abuy, another director. but he could not be located.
 Director Crane was submitted to hot examination by Assistant State Att tornev Olsen, 1 nthe presence of In- spector Shippy and Assistant Chief or Police Schuetler. He denied all knowl- edge of the forgeries perpetrated by Stensland.
 From the admissions secured from the two officials. 1t appears conclusive that the Board of Directors throughout its existence was board of dummies.
 Testimony of Crane.
 "Dfd you ever attend meeting of the Executive Committee of the BoardT' asked MT Oslen of Crane.
 ''No. sir. never did" replied the director.
 Did you ever know the Executive Committee to meetT'
 "It never met, so far as l know" ad- mitted Crane.
 ,sbid ycu ever pass on any loans or do anything else to further the inter ests of the bank?" pursued the pros ecutor.
 "No. sir,' said Crane.
 The director was shown q note of s4.0Oo dated April I. last. and asked if inc sisnature was genuine He replied that if was. He said that he borrowed a total of $25,000 from the bank, the sA 0oo note being the last transaction of ire series He Is indebted to the hank for the whole amount at present The security which Crane gave the bank for this, $25.000 in loans consisted or forty shares of West Chicago street RaIlway stock, valued at $42.40O. He
 of thl hank. he aid not consider that poor security for a borrower to put up.
 He did not think SO.
 Tbe Assistant States Attorney then nroduced tho books of the bank, snow ing that the dividends on Cranes stock were not paid to him but to an account in the bank known as "40S. '" Srhts was one of stensland's personal accounts. Crane refused to answer further questions along this line. The director declared that he is worth s200,00o.
 In to President.
 rirector Marius Kirbey was ques- tioned on the same subjects. He was a member of the loan committee Lo- Rether with Stensland and his son He was supposed to pass on the loans put he admitted to the state attorney that he left the greater part of that responsibility to the president
 Among other papers examined last night was a cheek for S4.To0. which bore no signature except one made with a rubber stamp. no name peing attached in It's place, bearing only the address "409 Milwaukee Avenue.
 This has been handled by Cashier HerIn according to his own admission ana had been handed In by President stensland. who obtained the amount of the check in cash.
 Judge Kersten fixed the amount Of Hering's bonds at $ss.000. Herring ap- peared in court in charge of deputy sheriff His attorney. John Coburn. pleaded with the court to reduce the amount. declaring that he would not be able to secure so large an amount of bonds before Monday and in conse- auence his client would have to go to jail.
 "The court must also consider the gravity of the alleged offense of Her ing and I cannot see how I can make the bonds any lower" Judge Kersten