New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-04-26
CARNEGIE SAYS He
DIDN'T Offer AID
Ironmaster Tells Grand Jury He
Was Not Asked by Bank
Department So to Do.
CHENEY WILL NOT TESTIFY
Reichmann, Former Head OF
Carnegie Trust, Says Charles
H. Hyde Was Greatest Asset
Of w. j. Cummins.

grand jury yesterday afternoon Joseph
3 Reichmann. former president OF the
Carnegie Trust Company. testified hat
the greatest asset william J. Cummins
had was Charles H. Hyde.
Mr. Rechmann was asked. in SUBJ
stance: Did you ever yourself. promise
bank city money IN return for per-
sonal accommodation. or did you ever.
yourself, try to influence the deposit OF
city money!
To both Of those questions the witness
returned negative answer. but when
| they were asked with regard 10 Cum
Minis Mr.. Reichmann replied, again In
substance:
II have heard that Mr.. Cummins
promised city money 10 banks which lent
him money, and he did see Hyde"
So much for the days testimony most
vitality concerning the City Chamberlain
end Of the inquiry. The bank depart
| rent was more interested In Mr.. Carne-
gies absolute denial that he had ever
| assured either the officials of the Car
negie Trust Company or the bank de-
| partment that he would keep the COM
pany afoat. or. further that he had
ever been asked for such an assurance.
AS a result Of this denial the indics-
ment of a bank department official was
freely predicted about the Criminal
Courts Building Superintendent Cheney
is not to be called before the grand jury
| Mr. Reichmann was testifying when
Andrew Carnegie arrived at the build
ing in his automobile. accompanied ny
R. A. Franks. his confidential man. MT.
| Franks had been closetsd With the Dis
! trict Attorney In the morning. ana az
that time, IL is said. had tried 10 per-
suade Mr. Whitman 10 let him Franks)
represent Mr.. Carnegie before the grand
fury. II would be impossible. he is re-
ported to have said, for Mr. Carnegie to
appear in person before May a. Mr..
Whitman. il is supposed assured him
that the grand Jury must deal with prin-
| cipals only. and wound up by threatens
ing to serve Mr. Carnegie with sub
| poena II he did not consent to appear by
request.
The District Attorney refused to dis
cuss Mr. Carnegie's testimony. but
friend of the ronmaster, speaking ior
him. said Mr.. Carnegie had blamed MS
whole connection with the unpleasant
situation on Clark Williams. The ST.
Ia
coterie in January. 1910. he lent TO the
men individually and not To the trust
conpany. he testified, and he lent IT, not
for the purpose OF discharging any ooll-
cation of the bank. but TO enable MS
creditors 70 buy the Van Norden Trust
Company. the Twelfth and the Nine
teenth Ward banks and merge them WIN
the Carnegie Trust Company. Cummlns
told him. Mr.. Carnegie said, that clark
Williams was TO be the president OF the
merged banks, and MIR. Williams did not
disabuse him OF that idea.
"The Way Of tho PhiIanthropst."
Gentlemen. gentlemen, the way of the
ph;lanthropist is hard indeed"
So the witness expressed himself, II -
said. He went on TO say that not a cent
of this loan had been paid back to him
and that il had all been used 10 take up
notes Of the trust company.
As for the company IT was born in
iniouitv. or words TO that effect. The
use of his name. Mr.. Carnegie asserted.
WAS q distinct fraud TO begin with He
had tried 70 prohibit 1t. he said, and had
consulted his lawyers carefully on the
subiect, but they had assured him that
Carnegie vas a common name. that the
only name in which he had exclusive
rights was Andrew Carnegie But, though
ne knew the name would connect him
with tho trust company in the public
mind and that II was being used on that
account TO deceive that same public, he
felt deep down within him that COM
pany bearing the name of Carnegie must
not be allowed TO continue on a corrupt
course. He therefore came to It's aid
following the pSnic Of 1907 with loan.
the first. Of S2,000.000.
At that time he obtained promises
from the Carnegie Trust management
that II would clean house but the prom
ises were not kept. he said Not then
or later. however, did he assure any ono
that he would come 10 the aid OF the in
stitution again on any condition. and
not then or later did any one ask him for
further aid for the company. So his tes-
timony ran.
IF had promised To lend the COM
pany money, would certainly have done
so," he is reported as saying. Il have
always been able TO discharge my fnan-
cial obligations. l have been reasonably
successful in business
He had met Superintendent Cheney
only twice in his life. he said one meet
ing was at his own house on January
and the second took place at dinner In
the Waldorf on January q. at which
both were guests But on neither oc-
caslon. according To Mr.. Carnegie. did
Mr. Cheney ask him TO help the Car
neeie Trust Company. At the dinner
Mr. Cheney told him. he said. that he
J had decided finally TO close the trust
company. II was in such a hopeless con-
dtion, and Mr.. Carnegie replied. he ties.
titled:
I'm sorry to hear 1t. but go ahead"
No Guarantee for Cumnins.
| Al tha, point n grand Juror or two re.