Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1915-12-20
BANK DIRECTORS
MUST PAY THEFTS
OF COL NJ A N

Boston. Mass, Dec. 19.-1n a decis-
ion handed down Saturday il the
United States district court. Judge
Bingham found the directors Of the de-
func1 City Bank Of Cambridge guilty
Of negligence il making it possible for
George W. Coleman. the boy book
keeper with the assistance Of VIII
liam J, "CBig Bin'D keliher. to loot
the bank of approximately s2S2. 900.
Stole $4,000
The total amount Of Colemans steal
inss was $3.50, 900 When the suit, start
ed by former Gov. John L. Bates as
receiver for the bank, was brought in
the district court in 1910, Attorney
Frank n. Nay, representing the receiv-
er. claimed that if the directors had
exercised reasonable care, all the
thefts committed after September, 1907
could have been prevented. Up to that
date Coleman had taken about $50 600.
The result Of Judge Binghams de-
cision. unless il should ultimately be
set aside by higher court. IS Ia make
the defendants responsible for the pay
ment Of the s2S2 GOO stolen after Sep
TENDER, 1907. Thus the depositors will
receive dollar for dollar Of their depos-
its, and the stockholders will be repaid
a large part Of the assessment that
they We're forced to pay by the govern
nent, Up TO the present time the de-
positors have received dividends
amounting TO IS per cent. Of their losses
Whether q settlement Will be made on
the basis Of Judge Bingham's finding, or
whether the case will Ne appealed to the
United States circuit court Of appeals
and perhaps to the United States SUI
preme court. the attorneys for the de-
PENDANTS have not Yet decided. Three Of
the five directors against whom the suit
was directed are living. They are Sum-
ner Dresser George W Gale and David
A. Barber. Two Of the five Edwin
Dresser. president of the bank and
George F, Richardson, have died since
the suit was started. The court has d.
rected q Judgment against their estates
There were two other directors at the
time of the crash, but they mad only re
Gently gone on the board and were not
included in the suit.
The defence was in the hands Of several
attorneys. Robert NJ. Morse and Paul
Dudley Dean represented Edwin Dresser
and Sumner Dresser: Albert T. Tillsbury
and former United States Dist Atty Asa
F. French represented David A Barber
and Clarence A. Bunker represented
George r. Richardson.
Atty. Bunker said last night that
ne and his associates had not had an
opportunity to decide what course to
take and that no decision could be
reached until they had read Judge
Bincham's finding. The document is
voluminous covering " typewriter
pages.
However" he said. 4 should mag
Inc that the case would go on-on
general principles. A man who gets a
Judgment Of 1888 900 more Or less.
against him, doesn't usually lie down.
But, of course. l cannot say definitely
what will be done"
Both Attys. Pillsbury and Dean were
out of town yesterday, Mr. French
said tina, it was TOO early to outline
the course that counsel for the va
rious defendants would pursue.
Former Gov. Bates and his attor-
ney Frank \. Nay, expressed their
qualification over the decision The
latter said that throughout the long
suit has been going on for more
than five years-he hed never lost
confidence in the outcome Of il