Evening star. [volume] (Washington, D.C.) 1854-1972, 1912-07-27
NOTES WERE FORGED
Work of Bank EmpIoye Just
Brought to Light.
MAY NOT BE PROSECUTED
Taken Over as Assets When Institu-
tions Were Consolidated.
TOTAL INVOLVED. $24.6SS.75
Detection Comes Through the Dis
covery of Few Words
Added to Paper.
MAY NOT BE PROSECUTED
TOTAL INVOLVED. $24.6ss.75

Notes aesresating s24,6ss35. forged
by trusted employe OF the former
National city Bank. which were taken
over as part OF the assets Of that hank
when it was consolidated with the Com
mercial National Bank. in April 1871.
have been discovered by the officers of
the Commercial National Bank
Under the protection of bonding corl-
panies the bank VIII not lose by tho
forgeres. it is understood. The employee
who was responsible for the irregula rites
may not be prosecuted. il is said. as rela-
tives have agreed TO reimburse the bond
ing companies
The empioye who is charged with
forging the notes was. as stated. an EN-
plo,r OF the National City Bank. and
when that institution was taken over
more taan year ago by the Commercial
National Bank several o! the employees
of the National City Bank We're given
positions with the Commercial Bank
Among them was the employe who II Is
alleged was responsible for about $1,000
worth % worthless paper being in the Ma
ional City Bank The forgery was so
cleNerly done that il defied detection by
the committees who went over the ac-
counts Of the old bank.
Made Substitutions.
Commercial in z position similar TO that
which he held in the National City. the
employee destroyed the papers and SUBJ
stituted other forgeries that We're exe-
euted in such a manner that he was able
to cover up the shortage.
In choosing the names TO be forged tho
employee invariably selected such had
a high standing financially. The forger .es
Were as near perfect as possible. even I"
the initiating OF A. q. Chaplain the
president of the bank, and other officials
OF the institution. through whose hands
the notes were supposed to have passed
\ short time before a note became due
the employee would destroy the paper and
substitute new names on other forged
notes.
In this manner he was able TO escape
detection for more than a year. and it
probably would have gone on indefinitely
had not the employe failed to ascertain
that one of the firms the name OF which
he forged to a note had a large credit
at the bank. Detection came through
discovering the words and , per cent
interest added to the note.
Officials OF the bank, knowing that the
firm had q big credit, and that Its notes
were discounted and interest taken out
when the loan was made. were puzzled
at the notation land per cent interest"
attached to the note. and started an In
vestigation. The result was that II was
put the note in the bank.
A hurried investigation among the en-
ployeS through whose hands note oe
that character would pass soon resulted
in a confession by the guilty individual.
Statement Given Out.
Ashton g. Chaplain, president OF the
Commercial National Bank. Is away from
the city today, but other officials OF the
inc ont ha fnllauinU
ment:
THE officers of the Commercial Ma
tional Bank discovered, some weeks ago.
that forged notes aggregating S24.6Ss.15
had been taken over from the assets az
the National City Bank. the forgeries
having been repeated from time 10 time
as the notes matured by former en-
ploye of that bank, who has subsequently
become lbut is no longerD an empioyf ot
the Commercial National Bank.
The Commercial National Bank -
practically fully protected By its fidelity
bonds =