New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-04-08
Old Indictments To Be Dis
missed When They An
swer IA New Ones.
THEIR $4,000 BAIL
WILL CONTINUE
Prosecutor Says That Both Men
Constantly Signed False
Financial Statements.

hanks and banking houses and deposit
ors in the private bank of Henry Siesei
& Co. Both will plead not guilty and ask
for fortnight in which 10 change 'heir
pleas aid submit motions.
At the same time they will be freed
from the three indictments on when theE
were held March II in $4,000 bail Ihe
District Attorneys office viii not ask Tor
any increase in bail. but it viii insist on
a speedy trial
In the indictments, each Of which Gov
ers 1o5 printed pages of double the SIZE
usually used, the theft of $1,000 from
banks is charged. They are the longest
indictments ever presented in this coun-
~. According 10 the District Attorney s
Office. il is the largest commercial trans
action 10 figure in a criminal trial In
this county.
The amount actually obtained from
banks was s25oO.0O0 and as much more
by the bank of Henry Siegel & Co.
More indictments If Wanted.
More indictments would have been
found. but the District Attorney did not
think Il worth while TO hold the grand
fury longer. One indictment which was
voted was not delivered yesterday be-
cause the printer had not completed the
work. and IL was decided not to delay
the Jurors. In twelve OF the indictments
siegel and Vogel are charged with grand
larceny and in the others Siegel and Vo-
gel figure alone.
While Siegel and Vogel are pleading
Judge Hough, in the United States
Court, will be listening to argument on
a request by Henry Melville, receiver OF
the Siegel bank, for instructions as to
what he shall DO with A64,o0 he now
has in hand. John p Murray will ask
in behalf of q large group OF depositors
for its Immediate distribution by Mr..
Melville 10 avoid delays and trustees
fees.
The indictments returned yesterday
charge both men with stealing $1,000
from the National Park Bank by false
statements as TO the financial condition
of their enterprises; $4,000 from the
Union Exchange National Bank, 10000
from the Bank OF the Metropolis. 10000
from the National Park Bank and $780,
coo from the Garfield National Bank
Vogel is charged with stealing $500
from BGoldman. Sachs & Co., and Siegel
with stealing 10000 from the National
Bank Of Commerce. Receiving deposits
while insolvent is charged against both
in two indictments.
A statement OF the condition Of the
Fourteenth street store on February l.,
1918. showed net assets Of t1,S92,74s when
the net value was :32419. In one other
statement assets were made as high as
s2.42959s.
The District Attorneys Office issued a
long statement pointing out that the IN
dictments disposed OF the contention of
S.egers friends that Vogel was respon-
sible for any crimes which may have
been committed The indictments
charge that Siegel constantly signed false
statements as to the condition of the
stores.
All Statements False.
The District Attorneys office says the
indictments show that the practice Of
obtaining money fraudulentiy has been
going on for years. that every statement
issued by Siegel and Vogel relating TO the
condition Of the three stores is false and
that false returns were given the federal
government and the states OF New York
and Massachusetts,.
1T has been learned" said the District
Attorneys statement. that the Boston
books were manipulated in precisely the
same way as the New York books and
that Siegel was in the habit Of classifying
his accounts even before Vogel came 20
New York at all Under the laws OF
Massachusetts an annual audit OF cor
poratlons books is required. This situa-
ton was met by holding a meeting OF
stockholders, at which Siegs presided,
and voting that the chair should appoint
a committee to select an auditor and at
tend to the audit. Siegel would thereupon
appoint himself and Vogel as such com
rniGtee. and they. in turn. would select
Oscar A. Prall as auditor, who would
thereupon 20 from New York 10 Boston
and pass upon the correctness Of the
books. which he had already manipulated
at their instructions
with regard 10 the statement attrb-
uted 10 Levy Mayer. Of Chicago, at the
hearing before Commissioner Gilchrist. 10
the effect that Chicago friends Of Frank
r. Vogel had raised $4,000. in addition
20 the 1900 which had previously been
collected 10 partially repay the depostors
in the defunct bank Of Henry Siegel &
Co, bankers. IL now appears that the
10000 In question is the same 81 900 90
that was raised by Max Pam within a
week after the receiyeyship for the pur-
pose Of putting the Chicago store OF
Segel Cooper & Co on hrmcr founda-
ton. and represents merely an additional
issue Of fl.0lD0O0 Of preferred stock, al
or 3 per cent which WIS subscribed for
by Chicago capitalists. This Is not 81 0oo.-
90 contributed for the benefit Of the de-
posltDrs ~ all nor IN II $4,000 sub
scTibed by Vosers friends for tho pur-
pore Of assisting them.
Typical Misstatement Cited.
The indictment charging larceny on
April -. 1919. from the National Bank OF
Commerce Is typical Tho -Four
teenth Street Store applied . for the
loan u fSUo. and . offered q note
Of the Fourteenth Street store indorsed
by Sie8el and Voge. together with a
statement Of the assets and liabilities Of
the Fourteenth Street Store. from which
81 appeared that the excess Of assets Of
liabilities Of that store on February ! OF
that year amounted 10 N.lU4s8 81. that
the National Bank ~ Commerce, before
making the loan. desired 10 DO assured m
"a the sbillty NJ Siegcl and Nogel the In