The sun. [volume] (New York [N.Y.]) 1833-1916, 1911-03-13
CARNEClECASE TOCRANDJURY
BANK DEPARTMENT EXPERT
1 PRINCIPAL FITNESS.

Has Been Ge,ns Over Robins Confessions
and the hooks and Piecing Out the
Transactions That Wrecked the Com.
pany STORY Of window Dressing Tips.
The Grand Jury will probably begin
this afternoon to examine the evidence
that District Attorney Whitman has Sc
cured concerning the financial operations
Of the men who were in control of the
Carnegie Trust Company when it failed.
Most OF the District Attorneys evidence
has to do with the operations Of william
J. Cummins. who was in fact the head of
the trust company: Joseph B. Reichmann
who was the president, and Liston L.
Lewis. a director and legal adviser.
Judge Whitman has intimated that he
is satisfied with the progress OF the in
vestigation 10 far a. it has had to do
with the borrowing and lending methods
Of the Cummns syndicate. What he 10
anxious to accomplish now il the gather
ing Of evidence that will make plain to
the grand jurors that there was some
thing more than coincidence in the
fact that Mr.. Cummins and his friends
got big loans from q number OF banks
soon after these banks had obtained
deposits OF city money. Joseph G. Robin
has told Judge Whitman what he knows
about alleged agreements that banAs
were to get city cash provided they
obliged the Carnegie Trust Company
management. but his statement as to an
agreement lacks corroboration.
Joseph b. Reichmann as president Of
the Carnegie Trust Company was aware.
30 Robin has said. of the understanding
between the Cummins people. number
OF bankers and city official. and Reich
mann will have chance to tell Judge
Whitman how much truth there is in
Robins story. SO far the presidents Of
half a dozen banks that received deposits
Of city money and then lept money to
the Carnegie crowd have been questioned
by the District Attorney and other bank
presidents will be questioned this week,
among them Bradley Martin. Jr.. pres-
dent Of the Nineteenth Ward Bank.
The scope Of the investigation has
broadened in the last few days. 1t was
learned yesterday that the District Attor-
ney will ask the Grand Jury to look into
several cases Of window dressing. He
has been told that the Northern Bank
and the Carnegie Trust Company we're
never caught mapping by the bank ex-
aminers and were always able to pro-
duce bundles Of satisfactory securities
and to show plenty Of cash when tho ex-
aminers turned up. The District Attor-
ney is trying to find out IL any State
official was 30 careless az to let tip get
out that examiners would he around
on certain day.
1t in probable that most OF the Grand
Jury's time to-day will be taken up by
Joseph A. Broderick. the expert OF the
State Banking Department who has
been assisting the District Attorney
in preparing evidence. Superintendent
OF Banks Cheney lent Mr.. Broderick
to the District Attorneys Office at the
outset OF the inquiry and Mr.. Brodericl;
has been piecing together bits Of infor-
nation obtained from Robin and others
William J. Cummins and I.iston L. Lewis
will he called early in the week. il is said
and JosephlB. Rekhmahn will be a wit
ness as soon as he returns from DAYTON
Ohio.
| Three indictments are expected this
week, but a direct intimation comes
from the District Attorneys Office that
others are likely to follow in short time
Judge Whitman has made it plain that
he wants the Grand Jury to look into the
activities OF persons who were not con-
nected with the Carnegie Trust Com
1 pany.
Liston l.. Lewis was at Cape May yester.
day at the home of his mother-i in. aw
Mrs. Sarah A. Foster. in Perry street
He declined TO discuss the story that he
took William Ferguson. his law clerk.
to the Carnegie Trust Company at ths
time it was desired TO cover loans to Robir
by issuing renewal note in Ferguson
name, explained the law to Ferguson
and advised the clerk that the State Bank
ing Department knew all about the loans
Mr.. Lewis said he did not know when hs
would return to this city. His wife |,
i'll and he may stay at Cape May few
days.
DAYTON. Ohio. March I2.-Joseph b
Reichmann, who has been here for few
days said tonight that he is ready L
return to New York whenever he is needed
Mr.. Reichmann will go to Cincinnati fo
a few days. He has been suffering from
a severe cold since his arrival here and hai
been under the care OF physician, II,
showed Improvement to-day and says h,
thinks he will be able to leave tomorrow