Los Angeles herald., 1910-07-26
ASSOCIATED Press)

NEW YORK, July 25.-A general
alarm was sent out by the police today
for a trace of Erwin Wider, missing
cashier of the Russo-Chinese bank, al
though oddly enough the district at
torney's office said tonight no aid had
been asked of it by the bank and that
no application for warrant had been
filed. But this contradiction is only
one of a series that have kept step
with every development of what is
now admitted to be the most puzzling
and the most serious defalcation in
the history of Wall street since Cor
nelius Award stole S606,000 from the
First National bank, served term in
Sing Sing and then retired to the Sc
clusion of a princely country palace.
When the Russo-Chinese bank first
made public that it's strong box was
short, the amount was given as $SO,OOO,
all in negotiable bonds, a list of which
was furnished. This afternoon the
amount suddenly jumped to 100000,
of which the additional $520,000 is said
to be in stocks partly owned by the
bank and partly by it's customers.
No positive statement has been made
vet as to where these stock certificates
now are, or with what intent they
were stolen Inspector E. E. Markow-
ski, now in charge of the New York
branch of the bank in the absence on
vacation of Manager Gertz, says he is
convinced that Wider had an outside
accomplice.
INVOLVES ACCOMPLICE
"When Wider entered our employ"
| explained Inspector Markowski tonight,
| che was a modest, exemplary clerk.
| Within the last year L feel sure that
some man of strong personality has
gained control of him and changed his
/ whole personality. 1 am satisfied that
IL % rfn nf hjG nUT
ton or on his own Initiative
1t is perhaps with hope of laying
hands upon the power who shaped the
cashier to his own ends that the bank
has dealt so delicately with Wider. His
counsel and neighbor, l.. B. Ginsberg,
has said from the first that the bank
was in touch with Wider, and even
tonight, after the general alarm mad
been sent out, Mr.. Ginsberg reiterated:
"They know where he is just as well
as l do
Ginsburg was quick to supplement
this statement with two qualifications.
First, he wishes it understood that in
his attempts to arrive at an under
standing with the bank he is not try
ing to compound a felony, and sec
ondly, he charges bad faith by the
bank.
TT was intended to have my client
come forward at the proper time"
said the attorney, "to take his medi-
cine, but Wider objected to being
locked up in the Tombs this hot
weather when he might be unable to
get bail. That was his only reason for
keeping out OF the way"
A GENTLEMAN's AGREEMENT
On the second co mt Ginsberg spoke
with emphasis.
"Trere was a gentleman's agreement
that the loss of the securities was not
to be made public at this time," he de-
clared 1.-The plan was to restore them
without loss to the bank in the fall,
but instead of carrying out the agree
ment the police have been put on the
case and L have been dogged by de-
tectives.
II want to say it was not Inspector
Markowski who discovered the loss
He knew nothing of it, nor did any one
else in the bank, until my client con-
fessed."
1t was known yesterday that the
stolen bonds had been hypothecated
with brokers' and that the bank knew
where they were. The names of these
brokers are still withheld, but today
the list of possibilities narrowed down
to two we'll known houses.
1--WE shall institute suits to recover
fr m two Wall. street firms the Sc
curities they obtained from Wider"
said Inspector Markowski. "They must
have known that he did not own them
an they ought to have known he stole
them"
The Russo Chinese bank is credited
in Wall street with a capital of $15,-
100000; but it could not be learned
today what assets or capital are cred
tied to the branch in this city.