Iowa County democrat. [volume] (Mineral Point, Wis.) 1877-1938, 1906-08-09

land, vice president of the Milwaukee
Avenue State bank, was arrested late
yesterday afternoon on a charge OF
violating the Illinois banking laws
Earlier in the day the institution was
placed in the hands OF Il receiver, and
Paul o. Stensland, president OF the
bank and father of the vice president,
together with Cashier Herring, were
officially declared fugitives from JUS
tiCe and their personal descriptions
placed in the hands of the police
throughout the country. This action
was taken by the authorities after
developments yesterday had showed
that the finances of the failed insti-
tuition were in a deplorable condition
and had been for a number of years
Besides the discovery of many irreg,
uIarities in the management OF the
bank it was also found that even the
safety deposit vault owned and rent
ed by the bank had been tempered
with and riaed
The specific charge on which Theo-
dore Stensland was arrested was
that of having accepted deposits at
the bank when he knew the institu-
ton to be insolvent. The arrest was
made in the office OF Chief of Police
Collins, where Stensland had gone to
confer with the head of the police
department.
The warrant was sworn out by ].
p Straub, a liquor dealer, who de
clared that last Saturday he deposit
ed $3.50 in the bank and that TheO,
dOre Stensland as one of the officers
had knowledge then that the bank
was insolvent. Sraub contends that
the vice president should have mott.
fed the acting officers of the bank
that had not been done and his mou-
ey was taken in violation of the
banking laws.
Later in the day Jacob J. Kern,
former states attorney, signed bonds
Of $4,000 for the release of Theodore
Stensland.
May Have Gone Into Canada.
Promises he'd out Monday that The
elder Stensland would appear in Chi,
cago yesterday were unfulflled and
it is the belief of the police, based on
dispatches from several northern
cities, that he has fed into Canada.
A warrant was issued for his arrest,
charging embezzlement and violation
NF 40
Ter Herring, sought on a similar war
rant, is thought to have reache' the
dominion by another route.
Some Hope for Depositors.
The days developments were like.
wise productive of the first ray of
hope for the depositors who Monday
believed their savings Of years were
swept away in the wreck. David R.
Forgan, vice president of the First
National bank and one of those to
whom the status of the defunct banks
affairs had been laid bare, declared
that probably 20 cents on the dollar
would be paid in the final adjustment.
The affairs of the bank are said 10
be in On almost hopeless tangle, new
irregularities being disclosed as the
examiners go deeper into the books
President StensIand loaned money to
himself, it is alleged, by the subter-
fuge of having employees sign the
notes.
Safe DEPOSIT Boxes Looted.
Among specific instances of the
footing of safety deposit boxes, was
that of Mrs. Lydia Herman, who de-
clared that $3.50 of her funds had
been taken.
The clearing house committee is
sparing no effort to bring the missing
president to justice. Hand writing
experts, it is said, will be rut to work
at once upon the case to establish
the seeming case of forgery.
The belief that Stensland has made
his escape into Canada is supported
by report from Superior Wis, that
Sergeant Of Police Scoon of that city
saw the missing banker on a Duluth.
Superior car en- route to Superior.
Another dispatch from Superior tend
ed to show that Stensland made his
way to Canada by boat from Duluth
Cashier Herring is thought to have
reached the line by the way Of De
troit
Daughter Lives in Madison.
Mrs. Inga Sandberg, teacher Of
piano in the staff OF instruction Of the
university school VI music, is a
daughter of the missing bank presi-
dent She was formerly Miss Inga
Stens.and. She left here recently
for Eau Claire.