The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1907-12-10
President ofthe California
Trust Company Appre.
hended on the Train
TWO OF HERS ARE
ALSO BEING HELD
Investigation Shows Embezzlo.
tin Connection With Funds
Of Trust Estate NIisappro-
priatcd and Loaning of
Large Sums by Off
GERS to Themselves.

SAN FRANCISCO. CAL, December 0.
David j, Walker, president OF the
California Safe Deposit and Trust
Company. was found speeding south on
Southern Pacific train last night
when Ire was supposed to pe at his
San Mateo home. He was placed under
arrest and taken from the train at
santa Barbara on Instructions of Az.
ststant District Attorney Francis Y.
Heney. Shortly after tile arrest of
Bankers Brown and Barnett last
night. detectives were hurried to Sal:
Nfateo to keep David +. Walker. presl-
dent of the bank, under surveillance:
but finding he had already left his
home. tralled him down to Santa Bar
lbara, where lie was held by the police
authorities
The depositors' committee of the de-
funct California Safe Deposit and
Trust Company determined on Satur-
day To proceed Immediately with the
investigation OF the affairs of the Fill
more Street branch of the company.
looking toward the arrest of the OIL
GERS for embezzlement
Thereupon Gustave Chevasuss, ac-
countant of the Fillmore Street branch,
was examined at considerable length,
and his examination continued yester-
day The testimony of Teller Gabbs.
of the same branch. was taken, and
the committee brought to light start
ling series of reckless transactions,
which the attorneys brand as misde-
.mcaDor cnlbezziements
Reckless Banking Methods.
according TO a statement Issued last
night by the committee and the attor-
neys, the officers OF the bank took
practically all the money deposited at
the Fillmore Street branch and loaned
it to stockholders in large sums. to
themselves and To mythical companies.
1t Was intended to cause the arrest of
The officials for these acts. but upon
advice OF Fraucis j. IIfney4 the ,lniiior
charges werc dropped 'foe shat OF fell.
sprls uezziemeut In connection with
the Misrepresentation OF the funds Of
the Cotton estate.
4 AS a result of the committee's work
", Dalzell Brown was arrested last.
night. a warrant was issued for @ thsl
arrest OF Walter j.. Barnett on a
charge of felony, and detective was
dispatched to San Mateo to the home
OF David F. Walker. president of the
bank. with instructions to keep him
under surveillance. His departure
from there led to his subsequent cap
ture and arrest at snnta Barbara. w.
q. baTIlett was arrested at his home In
Marion county last night. and was
held in custody there until to-day.
Brown, who was arrested earlier In
the day In this city, was locked up in
jail.
Walker Cinims Innocence.
SANTA BARABAIsA, CAL. ID ecember
9.-At the police station 10 which
President Walker was taken, he made
the following al tpfnpr BE-
i am Innocent of any wrong doing
in this matter. and came to Santa
Barbara some dayssago upon the adj
vice of physicians and attorneys be-
cause the affairs OF the bank We're
weighing heavily upon me.
ITO show the confidence had in the
/ will say that continued
to make private deposits up to two
days before the crash, and I am left
without dollar. except what is now
on deposit in the bank. ! have $4,000
there. and besides am heavy stock
holder in the institution. will re-
turn to San Francisco as soon as pos
sihfe and may arrange to so to-