The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1911-10-16

try 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 a CON-
mission 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
Cudahys' and other men, of money,
flattered him by making him director
Of the Carnegie Trust company. Cum
Minis soon after this came back to
New York.
About this time, the Van Nordens,
who owned control in the Van Norden
Trust company and the Nineteenth
Ward and Twelfth Ward banks, desir-
ed to retire from the banking field.
They offered their stock to a syndi-
cate of the Empire Trust company di-
rectors While the latter were dick
ering over the price, Dickinson and
Cummins heard of the proposed deal
and snapped up the stock, as they
said, right under the noses of the En-
pire Trust people.
Decided on Merger.
Then they announced their plan to
merge the four institutions, but the
State Banking Department, then un-
der the superintendent of Clark Will
liams, opposed them on the ground,
hot hn lou
permit the merging of banks and trust
companies. The real reason, however,
it was said, was something entirely diff
ferent. Cummins is trying to learn
the secret, discovered, it was said,
that the real trouble was caused, by
the personnel of the management.
Cummins promised to bring about
change automatically, and soon
thereafter Mr.. Dickinson, who had
been severely injured by a fall from
his horse in Central park, retired.
Joseph b. Reichmann, the young
head of the National Starch company.
generally regarded as a Standard Oil
affair." was selected by Cummins as
the fitting president for the Carnegie
Trust company. Although in delicate
health, he accepted the post.
The first trouble the company eX.
perienced under the Reichman regime
came in connection with a loan the
company had made through broker
to man who turned out to be an ex'
convict. The broker and his princi
pal quarreled, with the result that the
latter rushed to the District Attor'
neys office and said that he had been
defrauded out of 100000 in bonds
This was distorted into the report that
100000 worth of bonds had been stol'
en- from the vaults of the Carnegie
Trust company.
The name of the institution was
linked with the crash in the Columbus
Hooking Coal and Iron company stock
pool, which had been under the man
agement of James r. Keene. and run
on the institution was the outcome
Subsequently President Sheldon, OF
the Pr9nix Fire Insurance company
was exposed as an embezzler, as a re
suit of stock market gambling, and
some of the securities belonging to the
company which he had pledged, were
found in the Carnegie. That started
another run.
$4,000 Stolen BY Boy.
Meanwhile a messenger boy had
stolen a registered package contain
ing $4,000 and had eloped with g
Jersey City girl. This brought more
unpleasant notoriety on the company
The boy was not prosecuted, however
He is the nephew of we'll known
New York politician.
Finally Reichmann resigned as pres
ident and was succeeded by James
Howell, Of Cummins' Fourth Nationa
bank in Nashville. The selection Of
Howell was approved by Carnegie
whose attitude toward the institution
had changed so much that he hac
helped it on the occasion when it hat
been hard pressed by the runs caused
by the various unexpected happenings
This help had been extended at the