New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-04-01
:CUMM|NS TO FACE Jury
Won't Change PIea-Carnegle
Trust Receiver Sells Securities.
CHENEY FILES INVENTORY
Politicians and Carnegie Trust
Men Borrowed Freely from
Robin Institution.

The nlea Of no; guilty entered week ago
last Tuesday. when he was indicted for
grand larceny. Cunmns was charged in
three indictments with tho larceny OF
total OF S3S5cA from the Carnegie Trust
company in April. 1910 He is now out on
sOono hail. Although indicted first his
trial Will come after that Of Joseph H.
r Rcichmann. his associate Rcichmsnn. VINO
VAS indicted last Tuesday Tor swearing as
presiden, TO ? false statement of the Car
aosie Trusts condition. may be tried be-
fore the grand jury finishes its investiga-
ton of the whole scandal incident TO the
tJst companv's failure.
The grand jury took rest fIom Carnegie
Trust affairs YESTERDAY and relieved one o.
the General Sessions grand iur:es IN its III
,estieation Of routine subjects. District
attorney Whitman went to Boston. to pre-
side as one of the Judges at college de-
bate tonight The only real activity IN the
Criminal Courts Building. so far the
Carnegie Trust Company was concerned
was Joseph G. Robins industrious prepara-
tion Of a statement. and a conference be-
tween Assistant District Attorney Clark
End William r. Montgomery. the convicted
banker
Montgomery. who has been waiting in
lIi' iOilL~ SiilNt Tvs tVHNirt!Nu tN' ihr V''-
come Of motion FOR certificate of rea-
scrable doubt told Mr.. Clark. il was said.
some interesting things about the alleged
brilery Of bank examiners Mr.. Clark viii
$50 trc information so obtained in his ex.
animation OF bankers next week IN the Car
nocie Trust case.
I'm tho offices Of the Carnesie Trust Com
Ianv state and city bonds we're auCtioned
NJ in two lots. George W. Eghert, Deputy
sank Superintendent. who is acting as re-
-celvcr Of the trust company. had sent out
ircadoast through the Wall Street district
notices that he would receive bids for these
-tords until { o'clock yesterday
\ riot started when one of the bidders
asked permission 10 change his bid after
clock. Immediately chorus Of angry
30 nos and ordinations Of That's
lot fair.' and Not by damsite.' arose,
White the Iron Master eazcd down with
calm ,milinz Countensnce and a pax yo-
hscum' expression.
Mr. Echert said - would give all those
present unil o'clock to change their bids
II they SO desired. The bidders scattered 20
confer with their principals. ana promptly
A. O'Clock returned. bat they made so
much noiso that IT was found eXpedient TO
usher ihom into tho safe deposit vaults.
'Thc successful bidders were Harris. Forbes
Co. who bought $4,000 New York state
Iot cont bonds. principally canal and
highway. at loo7s. and the Guaranty Trust
company. which purchased siSQHo New
York city per cent bonds NJ es,m2.
Tho schedule ~ assets Of the Northern
Rank. fled YESTERDAY in tho County Clerks
Office by q. u Choney. Superintendent %
he safe Banking Department showed
-ha, among those Who discounted paper
which tho hank still held were several
peU known persons rho also figured In
,he inventor Of tho dNrrnct Carnegie
Trust Companv
The largest item under bills discounted
wae the particirarirc agreement i'm loan
. usde by the Carnegie Trust Company to
4 = : Marcus. president OF the Public
Fauk. amounting 70 S2l5."o of which the
Northern Banks share was $4,000. This
uss the loan Joseph g. Robin, chairman
OF the Northern Bank board. induced the
hank 20 make TO protect its city deposits
and which ted in the Indictment OF
Joseph Il. Reichmann.
Another Of the discounted bills held by
,6e Northern Bank vas a demand loan of
SH.l6 made "a +. Augustus Heinze on
March :. 1914. There was no security. Otto
~. Kelsey was q borrower in the Northern
Bank to the amount of $50. Lately Kei-
sew has been president Of the A;tna IN
, oemnity Company, one OF the concerns pro-
d NOTED by Joseph c. Robin.
+ 8 lanes T Wood. president Of the Bank
2 trs' Realty and SecJrities Company, bor-
lowed SO. 800 on November 3. 1910, which is
due on MAJ % next. Among collateral were
one hundred shares Of the Italian American
Trust COMPANY now the Savoy Trust Com
lany. Wood was also vice president Of the
WASHINGTON Savings Banl; and director
o. the Nor; horn. and also Of other Robin
concerns. September -. 1910. the same day
Robin borrowed s2f7. $50, Theodore Werner
chained $500 from the Northern. putting
up a. collateral 20 shares OF the State
Savings Bank Of Butte. Mont. a Heinze
COMPANY
The maiority Of he loans ~ the bank
brought 5 per cont, bat those to Robin.
wood. Werner and The Bankers Realty
and Secun;ies Company brought only per
cent. Even Abraham Rabinovitz, whom
Robin and his sister. Dr.. Louisa Rabino-
witch. repudidted a. their father, had TO
MY per cent Oh two loans for $3.50 each.
Two loans one for '$S275 and another
(or $SS.2oS. were made 70 r. F. O'Neil. The
indorsers being William J. Cummins the
Indicted director or the Carnegie Trust
company: Joseph r. Reichmann, Charles
u. Moore. ir.. ard Martin Condor.
There are a number OF notes OF Senator
Timothy H. Sullivan and his theatrical
firm OF Sullivan & Kraus big Tim Sui
Ivan also appeared as the indorser OF sew
eral notes Among these was one OF for
n,or Corporation Coun% William y. Eli
son FOR $500 and one OF Senator CHRISTOPHER
.. Sullivan for 1874 50. Then there was
note Of Timothy u. Sullivan for A.1c. in
dcreed by Sullivan q kraus individually.
Big Tim" indorsed papsr for S.Si2 made
bv HaIloran g. Mccormick and another by
the same concern for $3.50
Frank Farrell, owner OF the New York
baseball club 81 the American League, Dor
owed $3.50 on $500 IN bonds Of his club
Assen1blyrnan Edwin a. Merritt borrowed
too on big note, secured by bonds Of the
Imper!al Road Company. which obtained
TWO loans on the Endorsement Of Assem-
n,yrnan Merritt Assistant Postmaster
Thomas F. Murphy, director Of the bank.
borrowed $500 on the Endorsement OF his
wife