New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-04-10
Cincinnati Man Accused of
Getting Loans by Mis-
representation.
NEW YORK BROKERS
AGENTS IN BIG LOAN
E. Naumberg & Co. Succeeded in
Securing $21 5000 for Ohio
LIQUOR Concern.
fRv TcleEranh 70 The Tribune.


Cincinnati, April 9-Morris T. Bettman,
formerly president of the Bettman-John-
son Company, well known Cincinnati dis
tling and Wholesale liquor concern, now.
in the bankruptcy courts, was indicted to-
day on the charge Of having used the
mails TO defraud. The Indictment was re-
turned by the federal grand Jury IN It's
report to United States Judge HOLSTER
Bettman is made the defendant in two
counts-one based on a transaction with
the brokerage firm OF l.. Naumberg
Co. New York. and the other on trans
action with tho Fifth-Third National
Bank, Of Cincinnati.
Frank Dnsmore counsel for Mr. Bett-
man. arranged for his clinets appearance
before Judge HOLSTER at once. Mr. Dins-
more expressed the desire not TO enter
any plea TO the charges until there could
be examination of the indictment. but the
court would not consent to that, and the
plea of not guilty was offered with the
understanding that it would not bar any
subsequent action the defence might want
TO take.
Difference as TO the time for trial was
settled by Judge HOLSTERS deciding that
IL should take place Immediately following
hearing which is set for April % and Is
expected to continue the ensuing two
weeks. District Attorney Mcpherson
wanted bail fixed at $1,000, but the court
accepted the defendants counsefs sus-
gostion that a $4,000 bond would be SUI
ficient. 1t was siven. with Alma 5. Bett-
man. wife of the defendant, and his
brother Edgar Bettman, as sureties.
The first count of the indictment relates
TO the transactions by which the Bettman-
Johnson Company in the spring of last
year succeeded in obtaining loans and
credits to the amount of 5000 through
T.. Naumberg & Co. bankers and brokers
of II Wall St. New York II specifies that
in April of that year the company sent on
its statement showing that its assets at
that time were valued at S1,252,962 and
its liabilities s440,501, and that those la
bilities included bills payable amounting
to SSs4,195 and accounts payable TO the
amount OF S3l ,3Si.
This statement, the Indictment declares
was false and fraudulent in the fact that
the bills payable amounted 10 s32GSSs
more than was stated, and that tho ac-
counts payable were at the time s146.Se2
moro than the statement reported them.
The liability list was thus. IL was pointed
out. false and fraudulent TO the extent Of
S473.751, which was the difference between
the real and pretended amount of the Ia
bilities at the time. The defendant Bett-
man, Il is charged knew he could not oh
tain the money and credits he was seeking
from Naumberg 6, Co. IL the true condi-
ton OF his company were known.
II was on the strength Of the alleged
fraudulent statement that Naumberg q
Co. proceeded to make loaus for the bett-
man-Johnson Company as follows: Marine
National Bank Buffalo, $4,000; Holyoke
/ National Bank, Holyoke. Mass, 5000
/ Public Bank, New York City, $500;
/ Public Bank, New York City, $1,000; New
York Life Insurance and Trust Company,
/ $50 900: Mechanics and Metals National
Bank. $4,000: Hackettstown National
Bank. $4,000: state Savings Loan and
Trust Company. Quincy Ill, $1,000 State
Ranl. Omaha, $4,000; Thomas National
Bank, NORWICH, tohH'' 7o'VVV' 'd"h '''''
ings Bank, Piqua, Ohio. $4,000; Citizens
! National Bank Piqus, Ohio, $4,000
First National Bank. Norwood, Ohio, So
coo. and j. Naumberg & Co, New York
City, $4,000
The second count OF the indictment re-
lating 10 the Fifth-Third National Bank,
of Cincinnati. repeats the charges OF fraud
in the statements Of condition sent out by
the Bettman-J Johnson Company.
Mr.. Bettman and his attorney said they
had nothing to say in connection with the
case at present. The Bettman- johnson
Company has been for years ono OF the
foremost concerns OF It's kind I'm the liquor
and preserved fruit business in the
country.