The Barre daily times. (Barre, Vt.) 1897-1959, 1909-02-27
A SHORTAGE
OF Sl9,5OO
WOOdSyille National Bank
Cashier Under Arrest
BANK DEPOSITS ARE SAFE
Cashier H. W. Allen Lost Money in
Speculation With the Usual Re-
sults--LOss win Not Cripple
the Bank.
BANK DEPOSITS ARE SAFE

woodsyille, n. IT,, Feb 27.--A shortage
Of sl0,5OO in the accounts Of II. w. Allen,
cashier OF the Woodsyille National bank,
has been discovered
The bank is declared perfectly solvent
and will continue to do business.
A joint examination Of this bank was
made by National Bank Examiner Nor.
win s. Bean and the Woodsville Guaran.
~ Savings Bank, with the state bank
commissioners, Richard NJ. Scammon Of
Straham, Henry F. Green Of uttleton
and Arthur Il. Dole Of this city. The
examination was in progress for three
days and at is close the shortage in the
national bank was revealed.
The funds Of the savings hank were
found intact. Jerry Abbott is treasurer
Of the latter institution.
There win be absolutely no loss to the
depositors, as the capital stock is $4,000
and there is surplus of $4,000. The
cashiers bond is $4,000.
Upon the discovery of the shortage
Mr.. Allen promptly rendered his resigna.
ton. The resignation has been accepted
by the directors and Jerry Abbott. treas
urer Of the savings bank. has been made
temporary cashier.
Mr.. Bean has concluded his examina.
ton, and so far as the bank is concerned,
the matter is closed.
Mr.. Allen was arraigned before the
United States commissioner at Littleton
on Wednesday evening. and was held
in the sum OF $4,000, and bail was fur.
nished.
At the close of the examination of the
savings bank, the state commission sent
the following statement to the bank
officials;
Statement of Commissioners.
Woodsville. n H., Feb. %, 1909.
TO the President and Trustees of the
woodsvilIe Guaranty Savings Bank:
Gentlemen An examination of the
books and assets Of the svoodsville Guar
anty Savings bank was made by the
bank commissioners on Tuesday. We'd.
pesday and Thursday, Feb. 2s-25, 1909,
and we hereby certify that we found The
books and accounts in proper form and
the assets belonging to the institution
intact. This examination was made ST.
simultaneously with the examination Of
the woodsville National bank, BY Nor
win S. Bean, the national hank examiner
Richard M. scammon,
Arthur f. Dole,
Henry +. Green,
Bank Commissioners.
Unfortunate speculation is given as
cause Of Mr.. Aliens unfortunate situa-
ton. He has turned over his property,
which is said to be enough to cover
the difference between bis bond and the
shortage License Commissioner Henry
w. Reyes Is president Of the national
bank.
MFR. Allen has also resigned his posi-
ton as one of the trustees OF the savings
bank.
Although the shortage was discovered
early in the week by the bank examiner,
and Allen was arrested and was taken
before the United States commissioner
at Littleton on Wednesday, the matter
was kept so secret that nothing was
known Of he affair until yesterday, when |
the local newspaper published very
brief item.
1t Is understood that Cashier Allen
has admitted the responsibility for the /
shortage, but has given no information /
regarding what became Of the funds. II /
is said by those who were intimately &C.
quainted with the cashier, that he was
in several enterprises, the de-
yelopment Of timber lands being among
them.
Cashier for Twelve Years.
Allen is about 40 years Of age, is mar
ried and has two children. He has been
cashier Of the bank for about II years.
1t is understood that the latest exami
nation of the banks books was made at
the request Of some of the other officials
Of the bank, who were suspicious that
all was not right.
According to the bank examiner, the
alleged Misrepresentation Of funds by
Cashier Allen has been going on for some
time, but was never discovered on pre-
vious examinations owing to the fact
that individual deposit accounts were so
iuggled az to make detection very diff
cult to discover.
Allen was also treasurer Of the town
Of Hayerhill, Of which WoodsSille is q
part. II is said that his town accounts
are perfectly correct. His report for 1908
was finished two weeks ago and a careful
examination Of it has failed to show any
evidence Of manipulation.
Allen belonged to one Of the best
known families IN this section. He was
socially prominent and although he was
! regular attendant at the Congregation
4 church, he never was very prominent
n church affairs,
I