The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1911-10-17
FINANCIAL WORLD
. IS WATCHING CASE
William ]. Cummins, Master
Mind of Carnegie Trust Com
pany, on Trial To-Day.
SPECTACULAR CAREER
Political Uphcaval in State May
Result From Expected
Revelations.
SPECTACULAR CAREER
Especial to The rimes-pispatch. !

New York, October 16.-One of tho
most spectacular careers in American
financial annals. comes to it's crisis to-
| morrow. when william ]. Cummins.
master mind" of the Carnegie Trust
Tomorrow before the Criminal Divi-
sion Of the New York State Supreme
Court, charged with grand larceny Of
$4,000 misappropriated. 1t is alleged.
from the funds of the institution.
The trial is on one OF eleven counts
found against him in the indictment
. Of the grand jury on March 81. the to-
tai alleged defalcations amounting to
$4,000
The entire banking world is watch
ing for the developments OF the trial.
which may be vital and far-reachlns
In their results Not since the trial
| of Charles w. Morse have financial
circles been so cnwrapped In excite
ment a political upheaval in the
State is one possibility that may re-
suit from the expected revelations
Robin Star Witness.
The star witness for tho prosecu-
tion 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 sent 'ncc. Following
the verdict of guilty" last spring.
Robin decided to turn states evidence.
and testify in the trial of Cummins
and of former City Chamberlain
Charles Ii. Hyde. who is under indict-
ment for alleged criminal action in
dcposting New York City funds with
the Carnegie Trust, when he was al
legged to know of it's unsound condi-
ton. Robins banks had extensive
dealings with the other company. and
| he has said that his testimony will
disclose conditions unparalleled i'll re-
cords OF high finance"
Joseph Il. Reichmann, president of
the Carnegie Trust Company until
shortly before it was closed on January
OF this year, who is now under five
months sentence for violation of the
Carnegie Trusts operations, also is
expected to prove AN important Wit
ness for the State; He is out on bond
pending his appeal to the appellate li-
vision of the Supreme Court Reich
mann declares he was merely a tool
ir the hands of cummina. who, he says.
big dealings with an iron Will.
cummins will be represented in court
TO- morrow by some of the foremost
legal talent of the State. led by Max
u. Steucrm, a brilliant pleader and
criminal lawyer. Arraycd against
them will be District Attorney Whit
tldn anu a corps OIL special assistants,
who have been working on the case for
months, hunting down evidence and
preparing II for presentation.
! The maximum penalty in case CON
Niction results is ten years in the peni
tertiary.
The Carnegie Trust Company in
which Cummins made his last opera
lions, produced sensations from the
day II was founded by the late Chas
c. Dickinson. former State bank eX-
amner 1t attracted public attention
hrst through its dispute with Andrew
Carnegie over the use OF his name
Mr.. Carne-' at first objected to having
the institution named after him. and
even went so far as TO consult law.
with a view to compelling the founder
TO rechristen It, Failing in that after
!, had been alleged that the name had
been taken from n town in Pennsylva-
MIA and not from him, he tolerated the
| institution. and after Charles NJ.
Schwab. one of his friends, had been
induced to become a director of it, he
became quite friendly to II.
Shaw Was President.
Leslie NJ. shaw, former secre tary of
left the Cabinet. 1t was during his
regime that the company became con-
nected with p. j. Iiieran, OF Fidelity
Funding Company fame. Kieran made
dupes OF almost every Catholic Church
end religious order of that church in
the United States, and when the explo-
carry more than 100000 of his securi
ties.
Dickinson. who owned the stock con-
FOL in the institution. then broke with
Shaw The latter sold his holdings
and retired from the presidency, which
was resumed by Dickinson. who set
about seeking the business of country
banks and sold much of the stock to
small bankers all over the United
States, but principally in the South
west. Cummins. who has since been
SO much in the public eye, then n
commission merchant In Nashville.
Tenn. and interested in the Fourth
National Bank OF that city. was one of
the men TO whom Dickinson sold some
stock Dickinson having learned that
Cummins was associated with the Gu
dahys and other men of money ia,
tered him by making him director
of the Carnegie Trust Company. Cum
Minis soon after this came back to New
York.
About this time, tho Van Nordcns.
who owned control in the Van Noraen
Trust Company and the Nineteenth
Ward and Twelfth Ward Banks. de-
sired 10 retire from the banking field
They offered their stock to a syn1i
cate of the Empire Trust Company
directors. While the latter were dick
ernE over the price. Dickinson and
! Cnmmins heard of the proposed deal'i
and snapped mp the stock. as they said
right under the noses of the Empire
Trnst people.
Then they announced their plan to
HcrEe the TOUR institutions. hut the
state Banking Department. then under
the superintendent of Clark Williams,
opposed them on the ground. as al
legged, that the law would not permit
the merging of banks and trust col-
panjes. The real reason, however, II
was said. was something entirely diff
ferent Cummins in trying TO learn the
secret. discovered, 1t was said, that the
real trouble was caused by the per-
sonnet of the management.
Cummns promised to bring about
change diplomaticallr. and soon there
after MIR. dickinson who had been
severely Injured by "A fan from his
horse in Central Park. retired.
Reichmnnn Elevated.
Joseph IS. Rcichmann, the young head OF
the National starch Company, generally re-
gardcd Standard OIL affair was select
ed by Cumm!ns the fittinE president for
the Carnegie Tru,t COMPANY Although In
delicate health. he accepted the post.
The first trouble the