Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1914-01-31
BANK tOOTERS GET
BIG SUM IN CASH

pleaded guilty to a number of in
dictments charging them with failure
to enter on the certified book of the
bank checks certified to by them.
John B. Scarlet. director OF the
defunct bank, was next arraigned.
Then came a call for Raymond Il.
Smith, the former treasurer. Smith
| had been brought from the Jail and
detained in an anteroom of the court
room proper. When his name was
called there was a craning of necks to
see him.
Smith wore half smile as he en-
| tered. He seemed in better health than
when he returned from South Jersey.
whence he fed after the failure of the
| bank last August. He was dressed in
a newly pressed brown suit and took
q hurried glance over the persons in
! the rom before turning toward Prose-
clItor Hood.
Former Judge Thomas A. Davis
was present to represent Smith as
| counsel. The first indictment Smith
was called on to plead to was one
charging him with conspiracy to de-
| fraud. Scarlet, Thompson and Jen-
nings We're jointly named in the in
| dictment. Then, as rapidly as Prose-
cutor Hood could read indictments,
! Smith entered not guilty pleas. In
all he answered TO thirty-six indct-
ments. Seven of them were con-
| spiracy indictments, in which other
persons were named, the remainder
being for embezzlement, false certifi-
| cation and false entry.
In one of the conspiracy indict-
ments with Smith, William p. Odell,
| the former president of the bank, was
named. Odell Is mentioned in but a
single indictment. That is one charg
| ing him and Smith with having on
! June %, 1918. made false report of
| the banks condition to the State COM
missioner of banking. This bank re-
sport was prepared by Smith and sub
mitted to Mr.. Odell. The latter signed
| it. so he claims, without questioning
its correctness.
Others Answer Pleas.
In rapid order the other men plead
ed not guilty after the long list of in
dictments against Smith had been fin
| ished.
| Prosecutor Hood then announced
that bail would be fixed in the Office
of the county clerk. With two score
court attendants closely on guard the
thirteen defendants, practically SIM
| liar number of lawyers and eighteen
or twenty bondsmen marched down
the stairs to the first floor There the
work of bailing out the men was
taken up by the county clerk.
! This work was finished at about
O'Clock. Scarlet was the last man to
be bailed. Nicholas r. Sica, 96 Elev-
enth avenue, who had gone on his
bail when he was arrested last
Wednesday, was ready to qualify
again, but Prosecutor Hood refused
to accept him alone. Scarlet had to
| remain in custody until a brother of
Sica's reached the Court House and
joined in furnishing $4,000 bonds.
| In the meantime Prosecutor Hood
was unfolding the intricate story of
high finance that resulted In the
wrecking of the RoSeville Trust Com
nany. In the last sixty-fve indict-
ments found there are seven that
charge conspiracy. In these indict-
ments is found the trail of the $780,
2S250 that went INTO the pockets of
Smith and a favored few of his
friends.
Smith, william C. Armstrong.
jennings and Thompson are named in
| the so-called big Indictment This
Indictment is a. printed enc that con-
tains approximately 10000 words,
enough to fill over fifty-seven col
umns in the Evening Star.
| In the Indictment about 800 overt
acts are specified All of them are
of the same general nature. The
total amount obtained from the bank
was S35, 1896. The period covered by
the indictment is from June Il. 1912,
until the time of the closing of the
bank in August, 1918. The method of
| procedure was as follows:
Checks Would Be Paid.
! Armstrong, it is claimed, would
draw a check. knowing he had no
funds in the bank to meet it. This
check would be paid by Smith. Smith
| would omit to charge Armstrong; ac-
count with the check. Instead Smith
would retain the check in his pos
session.
| A large number of these Arm
strong checks were found in the mys-
| terious safe deposit box in the Rose
vile Trust Company that was held
in Smiths name. Jennings and
Thompson figure in this indictment
inasmuch as they at times certified
checks of Armstrong; when there
was no money in the bank. The
checks are for all sorts of sums, rang
ing from one of fifty-seven cents up
to thousands of dollars
In another conspiracy indictment
Smith. Jennings, Thompson, Clar-
ence v. Whitman, John B. Faunce
and Jesse S. Peters are named.
Faunoe Whitman and Peters were
president. treasurer and cashier re-
spectively of the Inter City Land
and Security Company. a New York
city concern of which Smith was the
vice. president.
This concern did business with the
bank for but a short time from March
IS, s915, until the failure in August
the same year. But 1t managed TO
corral SIS, 4S7.73 of the banks money
in that time by means of having
checks and drafts cashed and certi-
fed when they had no money in the
bank.
Home lee Firm Named.
Next on the conspiracy indictments
Is the Home Ice and Products Com
pany crowd of Plainfield. In this in
dietment A. d. Fike. Michael T. Mon
vihan and Francis w. Holbrook, all
of Plainfield, are named along with
Smith, Jennings and Thompson From
September 81, 1912, until the close of
the bank the Home Ice and Products
Company outfit got S24,196.96 of the
funds of the bank.
Frank Bruno and Antonio Melia,
contractors, who are at present en-
gagged in some street work in Balti-
more. started getting money from the
bank on April 9. 1918. Up to the time
of its close 1t had obtained 1928, 221. IL |
In bank funds by means of checks
cashed when neither Melia or Bruno |
had funds in the bank.
Bruno, Meiia, Jennings and Smith |
are named in one indictment, this |
being the fourth of the conspiracy |
indictments involving large sums. In |
all, these indictments the procedure |
required to get the money was the |
same All that a member of one of |
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