The evening world., 1911-03-29
SAVOY BANKERS
TELL GRAND Jury
Of CITY DEPOSITS
Dealings With Chamberlain
Hyde and Loans to Cum
Minis Group Recited.
ASKED FOR 500, 900.
Letter Preceded Opening of
Si25,OOO Account for
Public Money.
ASKED FOR 500, 900.

The Supreme Court Grand Jury thl.
reia lions between the Savoy Trust
Company Al No. 800 Broadway, the Car
ncgie Trust Company ana the william
j. Cmnins cotcrie OF hnancierr
Emanuel Gerli. president. and Arthur
Bauer. secretary and treasurer Of the
Savoy Trust Company. were examined
this afternoon.
They are among the bankers sub
poenaed last week 70 tell what they
know about commissions being paid 20
persons for securing city deposits. The
Savoy Trust Company IL one Of the
twenty banks In this city holding city
deposits which made loans to the cum.
Minis crowd.
Cummins and his associates Dor
rowed $4,000 from the Savoy Trust
Company. Tho city. through Chamber
lain Hyde. has carried as high as
3t25.o00 on deposit in this institution.
The balance on deposit there TO the
credit OF the city now Is si0O. 000.
Denying Paying for Deposits.
On1cers OF the Savoy Trust Company
to-day Indignantly denied that they
had paid any commission for their city
deposits. They also denied tina, there
was any association between the re
ceipt OF city deposits and the loan OF
$4,000 TO the cummins interests.
This loan. according to the bank ON
cials. was negotiated BY Louis y. Ham
merl.ng. president OF the American As.
ISOLATION OF Foreign Newspapers and
formerly n director IN the institution.
Mr.. liamncrling has severed his con.
~nection with the Savoy Trast Company
since the loan was made. lilo zuaran-
teed the loan. ana the bank people say
he Will have to pay II IL the Cunmins
crowd do not come across with their
obligation.
Named Sum az $too, 900.
It appears that the .'avoy Trust Com.
pany was very anxious TO get city de,
poslts and solicited them in 1910. The
following letter appears to have hac
the effect OF drawing the attention o
the city Chamberlain 10 the Save,
Trust Company:
Hon Chas. II. Hyde. Chamberlain
city OF New York.
iNal 'H-ht " I1tCt1nH III the RI
nance Committee or the City Of New
York. held In the latter part OF
January. this company was desig-
mated IA depository of the funds Of
tho city.
We own nj the present time $780,
, OD New York city bonds and have
on deposit with you $50. 900 of such
bonds. as pcr receipt delivered to
us Feb. Is, and feel under these con
ditions. that We are entitled to re-
ceivc n deposit from the city.
=. We also wish to draw your atten.
, ton to the fact that We have always
!, considerable sums q, money due rs
y by the city. by reason OF assign
l ments by clients OF moneys due
o under contracts with the city.
Trusting that We may be favored
A with a deposit OF $4,000 to sloo 900
q on which We will pay the customary
interest, We remain,
Yours respectfully.
" 1Signed) ARTHUR RAUR.
g Sec. and Treas.
President Gerll was on the Board
Directors OF the broadway Trust con
pany with Mr.. Hyde. Following the n
ceipt ~ the letter from Mr.. Bauer. III
city Chamberlain. on March 3, deposiie
sS, 100. This was followed ny deposl'
of similar amounts on March l, al
March 10. on September 3. 1910. II
city deposited 10000 in the Savoy Tru
Company, bringing the total of deposi
there up to N25. 00. These deposits we
guaranteed by a bond.
\ Still Holds 100000.
j ON Jan. 10. 1911. an additional depos
I OF S,0N was given to the savoy Tru
Company. ON Jan. % the sum OF &9O,0
was drawn out. leaving the balance
10000 which still stands.
The trust company conducts strict
business banking and does not engaI
= In any Wal street transactions
Mi. Baur Mas the first wttnc
called by the Grand Jury this afte
noon. lie brought with him the hoo
and records called for by the Distrit