New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-06-17
RE|CHMANN JUROR GOES
District Attorney Against Him,
and Defence Gives Its Consent.
TRIAL DELAYED AS RESULT
Hard to Rally Scattered Tales
men to Get New Man IN
Place of Architect.

The dismissal of juror No. s. George IL.
Budlong. an architect. halted the trial OF
Joseph B. Reichmann, former president OF
the Carnegie Trust Company. for an hour
or so Yesterday and prevented John hirk-
land Clark. Assistant District Attorney.
from completing his opening address. But
when Justice Vernon NJ. Davis ADJOURNED
court AT I o'clock-he wanted an opportu-
nitv 10 approve Daniel OReilly's bail bond
the Jury and the spectators had got
GOOD general idea Of what the Reichmann
trial was all about
The trial began promptly at 1890 o CLOCK
with a full jury box. the result Of Thurs
dav afternoons work John B. Stanchfeld.
associated with stephen c. Baldwin as
counsel for the indicted banker. moved that
the case be dismissed on the ground that
the Indictment did not specify the place
where the alleged. crime had been com
mitted and the acts complained OF did not
constitute crime. District Attorney
Whitman protested and Justice Davis later
denied Mr. Stanchfeld's motion. but in
the meantime he called both men into a
whispered consultation. The conference
over he told Mr.. Budlong that by consent
Of both sides he was excused from jury
duty. Budlong Immediately left the court
room.
Certain facts were brought TO my at
tontion this morning" said the District
Attorney last nighe which caused me
TO consider Mr. Budlong not fit juror in
the present trial l communicated with
Justice Davis and he agreed with me.
When the defence consented the dismissal
followed"
The court adjourned until 1870 TO allow
the summoning Of talesmen from whom 10
select a substitute for Mr.. Budlong. At
1880, however. only two men had been
rounded UP. and as neither qualified, ad-
journmert was again taken until O'Clock.
on the reconvening of court FIVE tales
men were dismissed in rapid succession be-
fore Harry f. Roby, n silversmith, OF No.
l26 East 9th street, proved acceptable 10
prosecution and defence. After Mr.. Roby
had been sworn, Mr.. Clark arose TO explain
I'm detail the misdemeanor with which
Teichmann is charged-briefy, the certi-
fcation on September s. 1910. when he was
president of the Carnegie Trust Company,
Of a false report of the trust companys
condition on August 81 Of that year.
At the outset however. Mr.. Baldwin OBJ
question. made TO the State Banking De-
partment. was not an official report be-
cause the special charter Incorporating the
Carnegie Trust Company specified that II
should make semi-annual reports 10 the
Superintendent Of Banks, one on or be
fore January % and the other on or be
fore July % Of each year. But Mr.. Whit
man pointed out that by an amendment
of this special charter the Legislature
had stated that the Carnegie Trust Com
ranv should he subject TO the same SUI
pervslon and inspection by the Superin-
tendcnt Of Banks which obtained in the
case Of other state banking institutions
Justice Davis overruled the objection and
Mr. clark resumed.
The prosecution would show. he said.
FIRST. that Reichmann. in signing the re-
rcrt NJ September S. knowingly subscribed
to tho false statement contained in il that
On August 81 the Carnegie Trust Company
lad no contingent liabilities. AS a matter
OF fact. he asserted. the company's in
GCrsement appeared at the time on four
notes held by the Nineteenth Ward Bank.
II would further show. he said, that Mr..
Reichmann signed that report knowing
that $4,000 Of the Ss13127 entered due
from banks" represented fictitious drafts
on out-of-town points used in operations
10 cover up forbidden loans to favored
enterprises.
But the allegations on which the Assist
ant District Attorney laid special empha-
sis was that Of the false entry Of a loan
Of $4,000 10 the Carnegie Trust Company
by the Northern Bank on August g. That
transaction appeared in the report as a
participation By the Northern Bank in the
purchase Of two notes negotiated by Jo-
scph s Marcus, president of the Public
Bank. with the Carnegie Trust Company.
II Is this Northern Bank loan which
Charles II. Hyde. former city Chamber
lain. is accused OF having obtained for
his friends I'm the Carnegie Trust Company
by promising the Northern Bank increased
city deposits.
Both Mr.. Stanchfeld and Mr.. Baldwin
attended their client in court. Mr. Reich
rnann's hating step as a result Of two