Evening star. [volume] (Washington, D.C.) 1854-1972, 1908-05-08
SECRET DOOR IN BANK WALL
DISCOVERIES
BY AN EXAMINER.
Half Million Vanishes From 1nsti-
tuition Favored by
Quay.

Special Dispatch to The Star.
P1TTsBURG, Pa. May S.-FinAncial and
banking circles of Pittsburg were not
seriously disturbed by the arrest late yes
terdav afternoon of William Montgomery,
asher of the Allegheny National Bank.
IN q charge of having embezzled D'OOO
of the banks funds.
The bank is such solid institution that
no fears were entertained as to Its SOW
ency as proved when it opened this MORN
ing and business resumed without rip
pie of excitement.
Examiner Folds was at the bank when
# opened this morning, and. when asked
for a statement, said: when visited
the hank about a year ago I did not like
tho appearance of affairs. I returned this
wear a little ahead of time and made the
discovery l found that there was door
in what appeared to be a solid wall In
the rear of the bank. This door led out
into q court yard in the rear. surrounded
bv high wall. learned that II was
through these doors or outlets that d
messenger was sent ;d 10 o.meI oe""s
Examiner Folds left the bank about V:4o'
four assistants being left in charge.
Banker of Wide Acquaintance.
William Montgomery. cashier Of the AL
legheny National Bank Of Pittsburg. VINO
was placed under arrest here late yester-
day on the charge of embezzing $4oOVVO
from the bank Is one of the best known
bankers in Pennsylvania. and has been
with the Allegheny National for more
h;,.<, Of
DAYS of United States Senator M. 8. Quay
was his financial hacker and adviser. 1t
is limited that the alleged Declarations
may reach 81. 100000.
Montgomery was liberated under $JOOOO
bail. the bail bond being furnished by
George E. Tener, brother of the repre-
sentative-elect from the twenty-tourth
district.
The first intimation that Montgomery
was believed to be short in his accounts
came from Henry Reber. the former
paying teller of the Farmers Deposit
National Bank, who. with James Young.
former auditor. robbed that institution
of over 81, 1O5 900. Reiber and Young are
in Jail, and last week Reiber Is alleged
to have stated that part of the immense
sum of money he took from the Farmers
National had gone as loans to Montgom-
cry to help make up his shortage.
hurried examination OF Montgomery
books was made. and sufficient evidence
was found against him to cause William
Stewart. the president to send for Ma
tional Bank Examiner William l.. Folds.
Folds arrived here from Philadelphia
yesterday afternoon. He soon discovered,
it Is said that M0ntgOmery's defalca-
tons reached s459.OOO at least.
Political Importance Of Bank. ,
Because of the political importance of
the bank it is believed that the defalca-
ton will be one of the most serious OF
the many that have recently happened
i'm Pittsburg For years the Allegheny
National Bank has been the headquarters
of republican politicians. The late Sem
atOr NJ 8. Quay always made 1t his
headquarters. and during all Of the Quay
campaigns Bill Montgomery handled
the Quay money. Most Of the Allegheny
county republicans of the present day are
Commonwealth Robert McAfee being one
of the directors.
Cashier Montgomery has been known
as man about town all his life. but In
spite of that fact was considered con-
servative i'm business. He was always
thought to be wealthy, his fortune being
estimated frequently at 100000. When
make was that he has not penny of the
money left, nor has he any Of his own.
He declares he has loaned large sums to
SPECTATORS. and when he called on them
to return the loans they were unable to
do so.
Some of the wealthiest men in Pitts
burg are connected with the institution.
Both the city and the state carried
amounts at the bank, the state account
being in the neighborhood OF &5OOOOO. Be-
cause it is a checking account the exact
amount is unknown.