Waterbury evening Democrat. [volume] (Waterbury [Connecticut]) 1903-1917, 1908-03-28
4 M!LL!uN STOLEN.
Pittsburg Bank Looted by Dis
honest Employees.
THIEVING WENT ON TEN YEARS
Institution Will Make Up Sum From
Surplus and Depositors Will Not
Suffer - Pathetic Features of Case
Include Blind Father of Embezzler.

Pittsburg March 2S.-"At a special
meeting of the board Of directors, held
at the banking house, corner of Fifth
avenue and Wood street, at 1890 a. IN,
it was resolved that the actual amount
of the defalcation of the paying teller
and the auditor having been ascertain
ed to be $1,105,000, this amount was
ordered to be charged off at once out
of the surplus and other undivided
profits of $2,S63,00O, leaving the capital
100000 and the surplus and other
undivided profit $1,756,000."
The above statement was issued by
L. Hart Given, president of the Farm
ers' Deposit National bank. Accord
ing to information brought out, Henry
Reiber, paying teller of the bank, and
John Young, the auditor took the ST.
10000 in three years. 1t is admitted
that their populations have been going
on for ten years. The statute of lin
itation prevents prosecution after three
years, so that it may never be known
how much money the two employees
really did get.
Will Not Try to Get Bail.
Bank Examiner William L. Folds ap-
peared before United States Commits
sioner William 7. Lindsay and swore
out two additional informations against
Reiber and Young. charging them with
embezzling from the bank the sum of
81, 100000. The warrants were served
on them in Jail and their bail increased
to S250,000 each. J. Scott Ferguson,
their attorney, says that no effort will
be made at present to obtain bail.
Bank Examiner Folds gave out the
following statement:
The total amount of the defalcation
from the Farmers Deposit National
bank is $1,105000. 1t is no more and
no less. The capital and the surplus
of SIS, S63. 600 Of this bank are sufficient
to enable it to sustain this loss with
out affecting 1t. The defalcation is no
reflection upon the method employed in
the conduct of the bank. There are
no better methods used in any bank
in the country. When the auditor,
who is supposed to safeguard the bank,
joins the men in charge of the money,
a situation is presented which defies
the best methods and the most alert
olncials''
Half Of Banks Surplus Gone.
AS will be seen by the statement is
sued by President Given, almost one
half of the banks surplus is taken to
make good the deficit of these two
wonderful looters. The Farmers bank
Is one of the two most important banks
in Pittsburg. In spite Of the fact that
this immense sum Of money was stolen
from it there is absolutely no excite
ment among depositors. nor is it ex.
pected that there will be.
Reiber has two sons who are stu
dents at Cornell university. They will
be graduated this year, just about the
time that their father is being called
to answer the charges against him
after having been for more than
quarter of century one Of the most
bankers of Pittsburg.
The father of Young, for many years
prominent in business here, is at pres
ent in hospital undergoing an opera
ton on his eyes. He is totally blind
and will never see again. He has not
been told of his sons disgrace.