Omaha daily bee., 1906-08-12
FOUR GUILTY OF FORGERY
Chicago Authorities Find New Evidence Of
Fraud in Wrecked Bank.
Herring SAID TO BE GUILTY OF CRIME
Directors Called Upon for ExpIRnR-
tion of Condition of Bank
and but Two of Them
Respond.

CHICAGO, Aug. n.-All theories that
Paul o. stensland was the sole forger Of
the 100000 worth Of crooked notes in the
looted Milwaukee Avenue bank were
smashed last night
At least three other men in addition to
the fugitive president are thought to have
been engaged in the production of bogus
! signatures.
The authorities now believe that Cashier
Hering's hand penned the signatures 20
over $4,000 worth Of crooked paper
Five years ago Herring fell into stems
lands grip Herring had. II is alleged,
| guilty knowledge Of the theft of $4,000 by
the teller in the savings department and, In
fact, is said to have participated in the
/ loot.
| The discovery yesterday OF new trails OF
crookedness running through the bank led
the states attorney to summon perempto-
rily last night three OF the principal d.
rectors in the affairs Of the institution.
They were called upon to explain condi-
| tions, which indicate that another line OF
robberies was being carried on independ-
entity OF stensland's own gigantic swindle.
The directors who responded TO the sum-
| mons were Frank r. Crane and Marius
| Kireby. An offcer was sent for NJ. A.
| La Buy, another director, but he could not
| be located.
Among other papers examined last night
was a check for 800, which bore no sig
nature except one made with rubber
stamp, no name being attached in its
place bearing only the address 100 Mil
waukee avenue" This had been handled by
Cashier Herring according to his own ad-
mission, and had been handed in by Presi-
dent Stensland, who obtained the amount
of the check in cash.
warrants Being Prepared
Preliminary action by the states attor-
ney's ONCE against those responsible for
the failure Of the Milwaukee Avenue State
bank was begun today. Assistant States
Attorney Olsen was busy several hours
preparing bench warrants, which was ex-
pected would be taken out later In the day
before Judge Smith of the criminal court.
| Olson would not say for whom the
warrants we're being taken out or how
many were being prepared. He later
communicated with John c. Fetzer. re-
ceiver Of the bank and Police Inspector
shippy, and instructed the latter to obtain
| the books Of the bank and bring them to
his ONCE. 1t is probable that a special
grand jury will be summoned and the
matter placed before 1t.
Tne directors tne mllWdukce AVENUE
State bank were today examined as Wig
orously as was Cashier Henry w. Herring
yesterday. Six detectives were sent to
bring in the directors soon after the in
quisitors had arrived at the bank today.
Ten warrants Issued.
Ten wsrrants in the Milwaukee Avenue
bank case were issued this afternoon by
Judge Kersten in the absence of Judge
/ 1Nro1
to cheat and defraud the Milwaukee Ave
nue. State bank Of its money property and
goods. Paul o. stensland, Henry w. Her
ing, Theodore stensland and divers other
persons as yet unknown" are named in
| the two warrants. The next two are
against Henry w. Herring and charge per-
fury in regard to a report made and
sworn to by him to the state auditor In
January and April. 1905, of the condition
Of the bank. The next two charge larceny
Of 1900 and $3.50 and name Henry w.
Herring. Five cases OF forgery are then
charged against Paul o. stensland and
Henry w. Herring. 1t is alleged they
forged the name OF NJ. c. Bartholdy to two
notes for $500 each, the name Of M. A.
Ladbuy to one note for $780, the name Of
Marus Kirkby to one note for $4,000, and
the name of s. H. Herhold to a note for
$4,000.
Disorder Mt Inquest.
Police were summoned today TO keep
order at the inquest into the cause Of the
death Of Frank Kowalski. teller of the
Milwaukee Avenue State hank. who shot
himself yesterday evening at his home.
The feeling of some of the depositors Of
| 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 flowers scattered by the angry men.
Sergeant Hamilton. detailed at the cor
oner's inquest. forced the disturbers into
the street. policeman was then sta
toned At the door to prevent any person
not wanted from entering the house.
stensland in Texas.
ST. LOUIS. Aug ia special to the
Post-Dispatch from Fort Worth, Tex.
says:
| Paul O. Stensland, the fugitive bank
! president of Chicago. was in Fort Worth,
according to Henry " Adams, former
Chicago commission broker, and Is believed
! to be on his way to Mexico. Adams said
| he Travelled all the way from New Orleans
to this city with the absconding banker
without knowing his bank had failed. Not
until he read an account OF It in local
| paper did Adams know that stensand
4 was neeing. Stensland told Adams he was
/ going to Mexico on trip into the noun
! tains for his health When asked how
his bank was progressing he declared II