The Bridgeport evening farmer., 1916-11-14
KNAPP SENTENCED
 TO YEAR IN JAIL
fContinued from page D

Nj: hODfnSOn, Harrford, St,o0to4, Je11- nie l.. Smith of this city, $2,306, An nie Sundstrom of this city, $1,2ee; Josephine B. Wilson of Newark, N: g., $682.7o; H: e: Ely, New York, $15e:
 Crash Game Two Years Ago
 The banking firm of Burr & Knapp which had been established by Eben- ezer Burr, many years ago, with con stant1y increasing business in bank ing, insurance and mortgage loansi closed its doors on the morning of September A., 1914.
 The firm at that time consisted of Mary H. Burr, Herbert M: Knapp and Elizabeth Faxen Knapp, wife of Her bert M. Knapp. Involved. in the business of the firm were the Water vliet Hydraulic Ce., the Georgia Loan & Trust Cd. and the City Guaranty & Trust Co. of which John G. Chamber lain was director: It appeared in later proceedings that Charles j: Knapp participated In official acts of the firm but was net aware ef the nature of the transactions to which he affixed his signature: Ebenezef Burr, the founder of the institutions died In 1904.
 
 the banks closing that irregularities would be found in the books. Ap- plieaten was at once made for a re- ceivership and John c: Chamberlain was appointed. This proceeding was superseded by Bankruptcy proceed lngs and the announcement by the federal court that a first. meeting of creditors would be held fer the elee- tien of a trustee.
 Creditors at Variance.
 The creditors became widely sep arated in their views: The minority creditors at a hearing before Referee John W. Banks, declared for Charles s. Garfield, upon the assertion that Attorney Chamberlain had been tee closely connected with the company in official capacity. MT. Chamberlain told the court that he had never been retained in legal capacity for the concern and upon the voting of many proxies obtained from creditors of Burr & Knapp yet remaining loyal to Herbert M. Knapp, Chamberlain was elected trustee.
 Herbert M. Knapp, temporarily dis appeared from Bridgeport and took
 
 New York, following threats of prose- cution made by the Hungarian Sick Benefit society who claimed that s4,- 900 deposited with the firm of Burr & Knapp had been mfsappropriated, and murmurings from other creditors whose moneys had been similarly dealt with. p Knapp, was prevailed upon to re- turn to this city and for a time lived in his handsome residence in Park place. at Lafayette street. He later moved to the Hetel Stratheld where since he has resided.
 Business Sold Out. F.
 One of the first acts of the trustee was to close out the Burr & Knapp business which had formerly been conducted at 915 Main street. The { Title Guaranty & Trust Co. was form ed and eventually through the trustee bought the insurance business and books and papers relating te that business from Burr 6 Knapp. Sub- stantially the same business conduct ed by Burr & Knapp without bank ing department was conducted in the Beers building, Broad street, for a time, and later moved to the First Bridgeport. National Bank building.
 Many complaints were received by States Attorney Homer s. Cummings relating to transactions done under the guidance of Knapp.
 ! Attorney Spottswood D. Bowers, previously employed by creditors for investigation of individual losses, was retained by the states attorney to conduct general investigation of the affair.
 FIND BOOKS IN BARN
 One of the first moves was to set books and papers of the banking bus mess. These could not be found in the offices of the Title Guaranty & Trust Co. or in the office of Referee John w. Banks. They were found in 8 barn belonging to George D. Chamberlain, brother of John c. Chamberlain, in Reservoir avenue, in the farming section near Trumbull.
 Under the expert investigation of William J. Nussbaum, an accountant of Albany, N. T.. who had previously been employed in similar capacity in the Barnes-Roosevelt suit, these facts were developed among others:
 For eleven and one-half years
 the firm of Burr & Knapp had
 done business at loss of $z7,-
 431.09 per year, making the total
 loss of $316, 6,457.56. During that
 same period the partners drew
 down salaries at the average rate
 of $16,986.03 per year and paid
 themselves during that period
 the sum of $195,339 each The
 distribution among the partners
 was as follows:
 Ebenezer Burr, in 1908 and
 1904, then his widow, Mary H.
 Burr. who received $61,43901;
 H. M. Knapp, $S2,707 and Mrs.
 Elizabeth Faxon Knapp $34,-
 7S5.34.
 Losses in investments amount
 ing to $124,40s.37 were found
 in a suspense account
 Suit, thereupon, was brought to take the Park place home, occupied by Mrs. Knapp from her upon the ground that it had been faudulently transferred. The case was never heard because the properly was returned to the estate. Suits were brought also against a Bridgeport bank to recover large sums of securities said to have been pledged for loans. This case is not yet settled.
 Arrested on Fraud Writ.
 Herbert M. Knapp was arrested upon a fraud writ on August 8, 1915.