New-York tribune., 1911-03-17
USED MEN WITH GUNS TO
GET NOTE BACK AGAIN
Turbulent Visit to Carnegie Trust
by SouthernerS Led to Max
ing of Dyer Note.
ROBIN BEFORE GRAND JURY
After Giving Evidence He Makes
Statement Attacking Former
Allies, and Explains Fer
guson Loan.

between trial court and grand jury room
as a witness. had enough energy left last
night to issue statement in criticism Of
those of his former associates who have
turned against him. jump to an exp!ana-
tion Of his knowledge Of the Ferguson
notes in the Carnegie Trust Company
and turn to a long conference with his
lawyer, Samuel ]. Goldsmith, and talk
with his sister, Or. Louise Robinovitch.
At the end of tiresome day he was
ready TO go back TO his cell in tho Tombs
smiling hopefully. and apparently con-
vinced that his activity in aiding the
District Attorney would result in a de-
cided mitigation of his sentence.
Other phases Of the Carnegie Trust
Company matters were being aired in
the United States Circuit Court yester-
day, when Gardner. Van Amringe &
KOhler put in the answer Of George l..
Dyer to the receivers suit on his 1896.
OOO note to the Carnegie company, ad-
mitting practically that Dyer had acted
whatever
In connection with this Dyer note a
comic relief was injected into the
situation when II developed that South
ern fertilizer company which had been
induced to give a note to the Carnegie
for exhibition" purposes in
connection with tho formation Of the
fertilizer combination sent
up a delegation of Southern gun men"
to the Southern room of the trust
offices. who made demand for
their note. and got it in what was eVl-
IDENTIFY the shortest possible time for such
a transaction.
According to this story the gun men"
were not called upon to use the tools OF
their trade. but they had them ready at
hand. and the only reason New York
missed seeing real "shootin' up Of a
bank" in bandit style was that the note
which they demanded was hastily handed
over to them.
Immediately thereafter it was ncces-
sary for the trust company TO replace
the note which the Southerners took
away with them, so Dyer was called
upon. and he gave first note for $500
900. the same amount as was written
upon the so-called exhibition" note of
the Southern fertilizer company. Later
Overs notes were changed and reduced
TO a total of S396.000. and his lawyers
said Yesterday that it was a mistake
when it was given out few days ago
that the collateral back of the Dyer
notes was the stock of the Platt Iron
Works. 1t is said now that the Dyer
notes were always secured by lnde-
Fertilizer Company stock. and
that fact was noted on the face OF the
notes. Dyer said he loaned them his
notes. and they agreed to take them up
at maturity, and there was no considera-
ton
Dickinson and keran Loans.
The inquiry on the Dyer notes de-
vel ,ped yesterday also that as to these
fertilizer loans" and the Keiran loans,
which together aggregated at one
time close to s3.OOO.OOO in the trust com
many. the State Banking Department
called upon the late =. G. Dickinson FOR
a report in March. 1909. That was about
six months after the collapse of Keiran
Fidelity Funding Company. Dickinson
report TO the department was made in
November, 1909. and in one place in this
report he is said to have made the gen
eral explanation that the notes were
used TO make an apparent increase In
deposits." while in another part OF the
same report. again characterizing their
utility in general way. he put it that
"these notes are trust funds
The District Attorneys office has the
facts in another story of the linking OF
CITY deposits and loans to the Cummlns
syndicate. in which the moving force is
said to have been letter from city
official TO an officer OF the Hungarian
American Bank.
W. T.. Holloway a Robin man. for
merly president of that bank together
with John Alvin Young and Jacob Hal
stead. two of the directors at that time,
according to the story told To the DIS
trict Attorneys Office. voted as an eX-
ocutive committee Of the board Of direc-
tors on August 10, 1910, an $4,000 loan
to the Cummns syndicate.
That was within few days after a
meeting of the board of directors. and on
a. punt of the summer season it was two
months before another meeting Of the
hoard was called. Up to that time. from
Junc l:;. 1909, when the city first began
to nee the bank as depository. il had
seldom had more than S2c.0t there. but
almost coincident with the loan To the
Cummins group came increased deposits.
which ran up in the neighborhoQd of
s1noUOo. and later up 10 Sl2J.OOO. at
which figure il stood last December
40 security bond was ever given TO
the city for these deposits. and though
the District Attorney admitted last night
that he had not yet seen the letter from
the city official To Mr. Iiallo"ay which Is
believed TO be responsible for the Cum
minis loans. he said that hc had been told
of il and hoped To see II soon.
If is understood that Robin, before the
grand jury yesterday went into consid-
cradle detail as to the methods of the
state Banking Department III making
examinations Of banks. Also he Is said
TO have followed up the stories that nave
been told by other witnessos OF what mas
becn called the striking condolences
between the places where heavy city de-
posts went TO and the places which ac-
commodatcd the Cummins syndicate