The sun. [volume] (New York [N.Y.]) 1833-1916, 1911-10-12
INDICTMENT AGAINST CIRCUIT
CHA RGES ALLEGE SIGNING or
FALSE BANK STATEMENTS.
Paro'ed 10 Custody Of Ills Counse,-Pcn.
atty II Convicted May Dc One Years
imprisonment. or Fine. or BOth--Statc.
mcnt by GrOut--A Ashley Also lntiict Ell.


mcnt by Circuit Ashley Also Indicted.
Indictments of Edward NJ. Grout and
James T. Ashley. former president and
cashier respectively of the defunct Union
Bank, which had been expected for few
days, were handed down yesterday to
Judge Dixie in the County Court in Brook
lyn by the Grand Jury. which has had the
/ tangled affairs Of tho bank under inquiry
for more than a month. The indictments
are identical, charging Grout and Ashley
with a misdemeanor in making a
false report to the State Superintendent
! of Banks as to the condition Of the bank
on March 25. 1910.
Grout and Ashley had evidently been
well aware that the indictments were to
be submitted for both were in the crowded
court when Judge Dixie took his seat
shortly after 10 o'clock. Mr. Grout was
accompanied by his brother. Paul Grout:
j. F. Mckinney. also a law partner. and
his counsel. Stephen e. Baldwin. as well
as by several friends.
! Pending the arrival of the Grand jury
Mr.. Baldwin, speaking for his client,
said tha, Mr.. Grour had no intimation OF
what the indictment was for. but that he
had prepared for bond in any amount
| through the American Surety COMPANY.
When tho jurors filed in and their names
were called Foreman Camm handed down
the indictments. and Judge Dixie said
Are the defendants in courtY IL they
are, cali their names"
The clerk then called out: Edward NJ
Grout and James T. Ashley to the bar.
G. ,,.,ti hair r,.
scpctive counsel and with District Attor-
ney Clarke and Aascmbyman Goldste,n
special prosecutor in the bank invcstiga.
ton. in tho group. When Mr.. Baldwin
was asked il he waived the reading Of the
indictment he said. Let me SEQ it first.
The document was then carefully scanncc
by MIR. Baldwin and his client and thcrt
was a brief conference. Mr.. Baldwin
then said: "On behalf of Mr.. Grout
wish 10 waive the reading Of the indct
mcnt and plead not guilty to the same
ask tor ten days in which to decide
whether we will demur u the indictmon
or il we choose Withdraw our plea anc
: enter any other which we may deem ad
visible" Lawyer Van Thun on behalf
of Ashley also entered q similar plea.
Has the question Of bail been dis
cussed:- asked Judge Dixie.
1t is for misdeinelnor' the hIstrlc
Attorney responded.
/. That being the case" Judge Dixie said
Il shall parole the defendants in the Gus
tody of their counsel, the purpose of bal
being in any case to assure the presence
, OF the accused on the day Of the trial il
court ana l am sure there VIII ne no Iaiiur
in these cases. The defendants ar
parood in the custody Of their attorneys.
. Following the PROCEEDINGS District Al
,orney tl,rLo ,nado tb;a sta,epent cx
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, The indictments are fonnd under sec' o
Gil ot IN" renal tcd"' whch p-o'lo"s WA
Wfc''"r' ono o' aI' nv "i t":Por"u"
wh, fno",ns,F r.'n,,S hih;, III i,n,r,n,a WI. =,
~,irs ar rccnria,v corsi,irn ron,ain,n
snv material staten, nj which i, false. a
who omts or concirs in omt;ng any state
m,nt required hy Law to he contans
G therein. il guilty of a misdom,gnor
Tho ipdict,ncr, alleged ,ha, smony IN
resourc,s of tho hank tho loans and dis
p counts .moun,ed ~ s,o;.,ss !, is a
r ,oced ,hs, his Is n fa,sc statement, in ,b.
h ~, 80, - ~ '..t " W.
III" s',L 49,, ,.o. >,
. '"r'n'r aleE'u Ihn' a.,'h" va
Liabilities was th' s'a'em'n, tha' mn
= payab" amounting to sissy ssSsi III
= not mature until Dee mber. lalo. II
alleged that tha' is false in that all of th"s
, bills payable matured and were due an
payablc on April .. 1910. the date when III
reno, wa. mnde
Z Tho ipdictm,n, alleges ,ha, the II,
f.ndan,s knovinvIv ori,tcd IN insc,
], ar,nn,, tho nah,li,i,. in ,h. re,o-, ,ho sr,
a"o .aao cow ,ho aa,.,nan, ". n.i,.h a., VI" nu'
~ o-"'"'' VIZ pa w Nv Va ",'' '"' "''
. Bans "i hrooSH hau En"raht''u-
II IN" M"tr"poiten lin't company ha
4 loan"d t" IN" on'iow- Moore company an
e III" shetland tomr:n" the sum Of s:"o,"o'
;. Tn" paym ~ OF this The Union Bank e
Y Brooklyr guaranteed. This was iahilit,
: II i claim d. which s,ould have been -
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Du' Wha oNitt'u
rh. ,;r,. ,.,,,,,,, II, ,b., ;,l;o,,,a,,, -.
Il NV M N'.''' W. WV '''' ''ieH' ~
q cites that the bank > rcSOlrces instcli q
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"iho'n''"S W '''' ~ run
, the report 10 mo bdnnlnS lcplrtmen
wer,, no more than 81 1ul iJj % the dii