The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-12-31
THREE GUILTY
SAYS THE JURY
Officers of California Trust
Company Charged With
ENLIGHTENMENT.
NOW UNDER HEAVY BONDS
BROWN, BARNETT AND TREAD
WELL II. THE TOLLS.

San Francisco, Dec. 30.-Following a
| thorough investigation into the affairs
of the California Safe Deposit & Trust
company, which failed owing depositors
nearly $4,000, 900, and the methods of its
officials alleged to have been response
bic for the wrecking of the bank, indict-
ments were returned late this after
onn by the grand jury, charging James
| DaiZell Brown, former general manager,
Walter j. BARNETT, former vice presi-
dent, general counsel and director, and
James Treadwell, director, with felony
and embezzlement. One indictment
each was returned against Brown and
Bartnett, and two against Treadwell.
Placed Under Heavy Bail.
Bench warrants were issued and bail
fixed at $4,000 for Brown, $35, 900 for
Bartnett, and $4,000 on one charge
/ against Treadwell and 5000 on the
other. Brown and Bartnett are already
confined in the county Jail on inGict-
ments charging embezzlement in con-
nectipn with the disappearance of Sc
curities valued at s205, 900 belonging to
the Cotton estate, which had been de-
posted by BARNETT as special admin
istrator with the trust company.
Sample Crooked Transaction.
The Indictment against Brown re-
turned today is based on a note for
S25, 000 given by H. n. Storrs, a book
keeper in the bank, on May Z, 1906.
Storrs, according to Assistant District
Attorney William Hoff Cook. testified
before the grand jury that he signed the
note at the request of Brown and that
a 10
bank. As security for the note, some
stock in the Central Traction company,
street railway company in Stockton,
was put up. This stock stood in Storrs'
name as trustee. The latter, it is al
legged, testified that he never owned the
stock and that it was not issued until
some time after the note was given.
How Dummy" Was Worked.
Bartnetts indictment for embezzle-
ment was in connection with note Civ
en- by w. I. Kearney, an attorney, for
loan of $4,000 on October 19, 1905,
Barnett, it being alleged. receiving the
money and Kearney acting only as a
dummy" On that date, it is claimed,
Bartnett had Overdrawn his account at
the bank about $4,000 and got Kearny
to give the note, which left BARNETT
S10,0 0O TO his credit. Stock III the Ma
tiOnal Bank of the Pacific was original
ly put up as security, but upon investi-
CATION it was found that later this
stock was taken up and shares i'm the
Trinity Bonanza Mining company sub
stituted for it.
Easy Way to Pay Debts.
One indictment against Treadwell, of
TreadweII mine fame in Alaska, and
well known in mining circles in this
state, was based on a loan for S45 600
from the bank, in which he was a direc-
TOR. for which Treadwell gave his per
sOnal note on Sept. last. At this lime,
it is alleged, Treadwell already owed
the bank over $500, 900 for loans and had
overdrawn his current account about
ST. 900. Instead of paying interest, it
is claimed that every time that interest
was due he gave d new note.
The obtaining of a loan of S45 900 left
S20,0 900 to the credit of his current &C
count, but by Oct. this was all gone
and he had again OveTdrawn On this
date, it is alleged, he made new note
for S62, 500, dated it back to Sept. 4, had
the note made on the latter date de-
stroyed and substituted for it the note
for $50, 500, which left 81. 800 to his cred
it. The second indictment against him
was based on the latter transaction and
specifies s17,500 as the sum embezzled.