The Washington times., 1912-07-28
Bankers Would Not Welcome Public Speculation Oatk
IN LOCAL FINANCIAL CIRCLES
By I. A. FLEMING.

oy \. n.
In the banking business It Is abso-
lutely obligatory on cashiers and other
officers to take no chances on any pro-
position advanced that calls for the
cashing of drafts or checks for people
with whom they are not acquainted; or
on paper for any amount that is not
backed by known and substantial
names, and the correctness of the in
dorsements thoroughly understood.
1t is frequently hard to explain to
stranger whose honesty is almost as
plain, through personal appearance, as
the hall mark on a piece Of silver, that
It Is impossible to furnish the cash in
exchange for bit of paper, no matter
how bankable the latter may look.
without the Identification of the payee.
but this kind Of action, despite un-
pleasant feelings that may result, Is the
only safe line for the banker to hew
to.
The wolf is abroad in the land night
and day; he changes his garb and
travels apparently clothed In decency
and uprightness, but he is constantly
putting over something new to win q
living without the necessity of honest
work.
Every dishonest man will find a way
all his own Of putting the scheme
across. He will rarely follow in the
footsteps of q predecessor In crime,
although every now and then "spiel-
mark" trick or something as old or
older than Bull Run, will be success
fully foated across. 1t is only within a
day or two that foreign fruit vendor
In New York accepted two old Confed-
crate notes, and gave the change in
return, but this IL rough work and
could not be counted on for the turn
ing of trick Of any important pro.
portions.
The latest Jim, the Penman," to OPP
crate In the District, was, indeed, some
expert. Exposure eventually was GER
tain despite the excSllent reputation the
young man enjoyed And yet but for
the one mistake he might have con-
tinued to fret and worry for another
year or even longer.
This young man was obliged to refuse
an excellent offer from one Of the larger
banks at the time when the National
city Bank was taken over by the Com
mercial National, for the reason that
was necessary to keep tab on the big
block OF forged paper. He could not
anord to accept It. It would have meant
earlier exposure.
Tor the officials to place trust in each
other and In the under clerks, giving
such consideration to the keeping of
things straight as they can, but always
projecting the bank against all en-
pioyes' OFFICIALS, ETC.. by heavy fidelity
bonds The crook will be crook and
he will discover a scheme and keen N
going until he Is caught
That the latest forger was a wonder
ful expert Is shown from the fact that
the batch Of forged notes from the Ma.
tfonal City passed muster before the
TWO committees that went through the
securities of the National City. The
bank examiner has probably vized these
and again-or the substitutions, for the
scheme contemplated elimination before
cate OF maturity, and the substitution
OF q new batch, but he was not expect
ed 70 Know that they were not 20. K''
Memory and memoranda were evidently
worked to a nicely and the bad paper
Kept from entering the approaching
| maturity file.
Bonding companies are. under GER
tain conditions. soulless. But und :.
other conditions they are generous even
to the criminal. They will not prose
cute II there is a chance for a recovery
or all or part Of the funds that have
been absorbed.
1t does not seem possible that an ar
rest In the Commercial National case
can De avoided, the more so as the claim
maze tnat the case is now in the
hands OF the Department Of Justice
IL Is well enough to conceal names Of
young men who have been guilty Of
small picadeloes. in the interest Of bet-
ter manhood. but a $25 900 forgery ia too
large a one to permit OF the forger
dodging the net.
1t was a former employe of the Amer
lean National who put over something
new during the regime of former Presi.
dent X. n. Harper. He did time,' for
the trick, which was clever for a short
period and then bungling.
Inis young man was In the habit of
holding out a big deposit in the ag-
hope of some time being able to make
up the amount. He knew to a nicety
Just when a big depositor would have
his book balanced, and the proper credit
was given on the ledger just before the
oalancing. and shortage against
30 on ad lib.
He frequently handed over his cash at
night In old bills, short of the amount
on the wrapper, but would exchange for
clean money in the morning. right as to
amount
This youth did not want his vacation
during the summer. preferring to wait
till late fall. But mans best laid plans
oft go wrong. Sickness necessitated
absence from the bank and kuilty
conscience did the rest. The telephone
was used time and again to discover
IF everything was all right.H and the
finger of suspicion made a straight
point
Conviction followed.
Honesty Is the best policy" and the
banking institutions know that a fidelity
bond is the very best assurance that
where honesty fails. losses will be re-
couped
1t is a tough temptation to some men
to put them I'm cages with nothing
but money all around them-just at the
contents of the cages are temptations
to some men on the outside.
Here is an interesting case. bank
was asked to certify a check after bank
ing hours and notification from the
maker thereof to stop payment was re-
ceived before banking hours the follow
ing morning. What is the action in the
case? >..
The attorney for the American Bank
| ers' Association holds that the bank
had a perfect right to make the certi-
fication and that the maker can not re-
cover thereon.
He holds that a bank may pay a