The sun. [volume] (New York [N.Y.]) 1833-1916, 1910-12-28

= bffn n1tlf nFauNuitf
| The Interesting fact. however. lie that
tho Nina. pa-sbook. which on October as
showed a deposit credit Of So ao when
I retnrusd after the November balancing
showed no such credit on thai or any other
day and nov has only eleven half pages
therein instead Of twelve a. IA the other
| paS-hooks of this bank
| Remembering that the Xmas check
Ia the Bankrrs Realty Was not Deposited
on October - a. expected ~ will he -een
that In spite OF III. holding OF tn. sso. 200
check for collection the ftnas balance
remained ~ 10 should haV. h--n until No
Nemb-r ! bn that day. however. Robin
nrssi-d money IN connection with his rail
road enterprises Hrnc. to make the
| ttnas account good without the for
collection check IL was but about $50. OoOI
\ Robin borrowed So 10 from the bank
| through Morris. his confidential man.
using collateral which he seems to have
scQnIr'-j from he fina and then deposited
the last mentioned sum To the .ftna :. credit
IN the bank Tn. 50. CsD check given the
BANKERS Reality for the Babylon bonds
Was then put through and Robin without
the know l-dg. OF tn. .i.tna officers had
thus borrowed 81. oaS Of the .ftna's money
| Tor such time a. he could hold the other
sshso check in the bank for collection
| Thus matters rested until the impor-
iunity Of the .ftna for the s5O.OsS cr.di;
| IN pNs~bObk inc latter now helnG IN
! the banks Possession and TO b.. attended
TOO soon whenever asked for forced
another move without the knowledge
Of tn. iErna officers Robins man Morris
ON December . deposited to the credit
! Of The f,na in the bank a bankers Realty
anu Security Company check for o. .sS and
left with 'h. bank again for collect ION
I Robins personal check for st3.sD. also
dated December .. the s5o. nsS held for
collection check OF October - being then
| returned 10 Morris and cancelled.
The passhook was then further chang ed.
4 in tn. back Of the book. two collection.
entries. On" a. al October Is for Na.oHo
and the other a. OF IN" same date for 81 COO
being made IL has not vet been asc-r-
! tanned who made these ~nt rie-. bu, on tn.
statement that the two collection checks
w-r. certainly not in existence until be
! cemh~r the admission by Morris. Robins
| confidential man. that IN. entries were
| fakes seems justified
Ever since the invest CATION began Robin
chairman Of 'hs finance committee. has
been sick IN hts apartments in New York
and Brewer. vice president. AZ his house ia
New Jersey Hence who il Responsible
Tor the above transactions which cover a
period during whi"h regular Banking D-
partm-nt call for sworn statements of con.
dition. was made has not vet been a~'ar-
tanned
NAMING coon WIN RAD CHECks
But on December Robin stiil had s,a .Orn
OF the ftna's money, borrowed without
ia knowledge The examination began
Oh the 18th and departmental demand for
tn" missing pass hook made longer con
cealrnent Of manipulation impossible. Then
this interesting Transaction took place
Robin took his Ssa. on note up az the North /
ern Bank bv draft ON the Carnagl. Trust
Company, where he had no account. and
DaN M Ia
his mote and ample collateral. met tn. I
draft rrst given nv another on the Atlantic I
National Hank of Providence inf which |
Edward M.tcaf. director Of tn. ftna !
- pr--ideRt. Wh~r. also he had no aC- !
count IN. state and national banking !
departments were Informed Of this trans.
action apparently IN tim. to stop ~ Robins ]
draft On Providence. WAS protested. and /
IN. Carnegie Trust Company has his not. !
and collateral. HIS secret dent TO the /
TINA VA. thus paid
A. consequence Of these transac- /
tion-. however. the Department ordered ,
all funds Of the F,na and the Rochester ,
company Withdrawn from the Northern /
Bank and t's branch. the Riversida Bank. .
and placed the facts before the Banking
Department ~ soon a. the record j.
fully transcribed ~ will b. placed at the |
disposal OF rh. District Attorney.
superintendent Of Insurance Hotch- !
mas taken possession OF all the
naming assets OF the Title and Gunrante. /
Company Of Rochester The latter com
PAW will probably he liquidat.d nv the .
New York department. ~ being ~ best |
hu' dormant company and ~ such sub ,
'sct Ia raids such a. thar recently made
Thor. - undoubtedly considerable .
shrinkaz~ IN the assets Of the .ftna In
d-mnUy Company. whose small surplus
i unGu-stionnhlv wiped ont aud WHOSE
capital - impaired Whether this corn.
PAW Will he r.hnbilitatPd or rpIn-ured ,
has not vet been determined
The testimony taken - Illuminating a.
{" the methods Of endless chain rnanc. ,
and - Thought 10 emphasize the rul. in 7
sisted ON hv the New York department
when the control Of stock insurance
company passes - new hands ~ must h.
informed ~ 10 the transaction and satisfied
that the new owners mean FAIR and ar. en-
titled 10 confidence
INSURANCE CONCERNS OFT THFIR CASH
chief F,smin~r Hughes Of the ln-rIr.
RnC. Department went To the Northern
hank last week end Demanded all the. cash
depr~ tad TO the 40" hInr " the f'ul aui I
81 the little and Guarante. Company Of
Roch.--I-r 4 certificate IL deposit wa.
offered ~ him bv III. bank officers but
ne insisted an certified checks and finally
got s70IsD for tn. .ftna and 81 gD for th.
TIT. and Guarantee COMPANY III that
form aud deposited ia" checks in another
bank
Mr. Robins associates had testified IN
the lI.suranC. DEPARTMENT = inquiry that
Mr. konin held controlling interest III
IN. Atlantic National Bank IL Providence
ON which Robin bad drawn - draft for
s,rns' although he had no account there
i.-t@rd afternoon An officer Of th. At
Iantic National called up Mr. Hotchkiss
on the long distance phone and denied
that Robin controlled that hank This
o ticial stated that control was held IN
Prov ld.nce and that Robin held not - or.
than twenty shares
'ITYs $2ooO DEPOSIT BONDED
Comptroller Pr-nd-rgast said y-ster-
day:
I'm IN. spring Of 1879 prominent down
town interests secured a years option
upon a majority Of stock of the Northern
Bank Al the request of those interests ,
and for No other reason. l became "A III. ,
rector and a member Of IN. executive
COMMITTEES Of IN. Northern Bank Early
III D-c-mb.r last year. after my election
a. comp' roller. | resigned from the III