The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1911-10-16
SPECTACULAR CASE
TO BEGIN TUESDAY
Nv. J. Cummins, Master Mind
of Carnegie Trust Co.,
to Be on Trial.
(National News Association)

tNational News Association
NEW YORK. Oct. 16.--One OF the
most spectacular careers in American
financial annals. comes to its crisis to-
morrow when William J. Cummins,
master mind" OF the Carnegie Thust
company. now defunct. goes on trial
tomorrow before the Criminal Divis-
ion OF the New York State Supreme
Court charged with grand larceny OF
$40. 900, misappropriated. it is alleged,
from the funds OF the institution.
The trial Is on one of the eleven
counts found against him In the indict-
ment OF the grand jury on March 21,
the total alleged defalcations amount.
ing to $35O.OOO
The entire banking world is watch
ing for the developments of the trial.
which may be vital and farreachng in
their results. Not since the trial OF
Charles W. Morse have financial cir
tcles been so enwrapped in excitement,
"A political upheaval in the state is
zone possibility that may result from
the expected revelations.
The star witness for the prosecu-
ition Is Joseph G. Robin. former head
.of the wrecked Washington Savings
bank and Northern bank, who was
convicted for his ''skyrocket" schemes
and is awaiting sentence. Following
1.-THE verdict Of guilty last soring.
IRobin decided to turn States evidence
land testify in the trial Of Cummins
land of former City Chamberlain. Chas.
H. Hyde who is under Indictment for
falleged criminal action in depositing
New Work city funds with the Car
tnegie Trust, when he was alleged to
kknow OF it's unsound condition. Rob
bins banks had extensive dealings with
1.-THE other company, and he has said
that his testimony will disclose con-
Editions unparalleled in records OF
r''high finance"
Reichmann a Witness.
Joseph b. Reichmann. president of
the Carnegie Trust company until
,shortly before it was closed on Janu-
)ary 7, of this year, who is now under
"a five months sentence for violation
.Of the banking laws in connection
with the Carnegie Trusts operations,
ialso is expected to prove an important
witness for the state. He is out on
bond pending his appeal to the Appel
Plate division of the Supreme court.
sReichmann declares he was merely a
tool in the hands of Cummins. who
he says, controlled the institution and
all it's big dealings with an iron will.
Cummins will be represented in
court tomorrow by some Of the fore
most legal talent Of the state, led by
Max d. Steuerm. brilliant pleader
and criminal lawyer. Arrayed against
them will be District Attorney Whit.
IMAM and corps of special assistants
who have been working on the case for
months hunting down evidence and
preparing it for presentation.
The maximum penalty in case OF
conviction results is ten years in the
penitentiary.
The Carnegie Trust company, in
which Cummins made his last opera
tons produced sensations from the
day it was founded by the late Charles
C. Dickinson, former state bank exam
liner. 1t attracted public attention
first through it's dispute with Andrew
Carnegie over the use of his name
eMr. Carnegie at first objected to hav'
hing the institution named after him
and even went SO far as to consult
nawyers and authorities in Washing
rton with view to compelling the
Ifounder to rechristen it. Failing in
that after it had been alleged that the
name had been taken from a town in
pennsylvania and not from him, he
tolerated the institution. and after
Nharles NJ. Schwab, one of his friends
has been induced to become direc
tor OF it, he became quite friendly to
It,
Shaw Was President.
Leslie NJ. Shaw. former secretary OF
the treasury. was made president Of
the institution Immediately after he
left the Cabinet. 1t was during his
regime that the company became con
'nected with p. J. kieran Of Fidelity
Funding company fame. kieran made
lupes Of almost every Catholic church
and religious order of that church il
the United States. and when the ex
.'plosion came. the trust company hat
to carry more than 100000 Of hi
securities.
Dickinson, who owned the stock con
troll in the institution. then broke will
Shaw. The latter sold his holdings
and retired from the presidency, which
was resumed by Dickinson, who Sc
about seeking the business Of coun