Perth Amboy evening news., 1906-08-08
IN
POOR SHAPE
Chicago Failure Follows iIIrsSu-
IaritieS Of Years Vaults Been
Tempered With.

CHICAGO, Aug. S.-Theodore SIRENS
land, vice president Of the MilWauNee
Avenue State bank, was arresteu OH I"
charge of violating the banking laws
of the state. Earlier IN the day inc ih-
stitution was placed In the hands oil u
receiver, and Paul o. Stensland. presi-
dent of the bank and father OF the
vice president, together with Casnier
Herring, were officially declared fugi-
tives from justice and their persolhil
descriptions placed in the hands oil the
police throughout the country. Ill
action was taken by the authorities
after developments had shown that the
finances Of the failed institution were
in a deplorable condition and had been
for n number of years. Besides the
discovery of many Irregularities in the
management of the bank it was also
boxes owned and rented by the bank
had been tempered with and rited.
The specific charge on which Theo-
dore Stensland was arrested was that
of having accepted deposits at the
bank when he knew the institution to
be insolrent. The arrest was made In
the office of Chief of Police Collins,
where Stensland had gone to confer
with the head of the police depart
ment. .t
The warrant for the arrest of the
vice president was sworn by ]. p.
Straub, q liquor dealer, who declared
that last Saturday he deposited $3.50 In
the bank and that Theodore Stensland
as one of the officers of the institution
had knowledge then that the bank was
insolvent; Straub contends that the
vice president should have notified the
acting officers of the bank not to re-
ceive any deposits, but that this had
not been done; and his money was
taken In violation1of the banking laws.
Jacob J6eNern, "A former state at
torney, signed bonds for $1,000 for the
release of Theodore Stensland.
The promises that the elder Stems
land would appear in Chicago were
not fulfilled, and it is the belief of the
police. based upon dispatches from
several northern cities, that he has
fed into Canada. Cashier Herring.
sought ON similar warrant, is
thought TO have reached the Dominion
by another route.le'' aAut1 Anb ta
The days developments were pro-
ductive of'the' first ray of hope for the
depositors. ,whe had believed their saw
ings of years swept away in the
wreck. David r. Forgah, vice presi-
dent of the First National bank, and
such of those to- whom the status of
the defunct bank'sH affairs has been
laid bare, declared that probably 10
cents on the dollar would be paid iii
the final adjustment. o. gre. ",si '''rHrH.
The affairs of the bank are said to
be in an almost hopeless tangle, ana
more Irregularities are being disclosed
as the examiners GO deeper into the
books. President Stensland loaned
money to himself, itass alleged, by the
~subterfuge of having employees sign
notes. Specific instances came to light
during the day of the footing of the
safety deposit boxes. One in particu-
lar to which the attention of the police
was called was that of Mrs. Lydia
Herman, who declared that $3.50 Of
her funds had been taken.
The clearing house committee is
sparing no effort to bring the missing
president to Justice. Handwriting ex-
perts, it is said. win be put to work at
once upon the case to establish the evi-
dence of forgery.