The Brattleboro daily reformer. (Brattleboro, Vt.) 1913-1955, 1916-05-10
DirectOrsOf sOfVermOntNatiOn-
al Bank Ignorant of It's
Existence
WAS NOT INCLUDED
AMONG BANKS ASSETS
purchased Years Ago and Locked Up
IN MIR. Averill's Private Box-De-
fendant Made a General Denial of
Charges in His Testimony.
Especial to The Reformer.)

Charges in His Testimony.
Especial to The Reformer1
BURLINGTON, Nav 10.
George C. Averill was on the stand
several hours today in his own defense
IN the Brattleboro bank case. He made
general denial of the charges alleged
IN the indictment He said he owned
-oo shares OF the bank stock at a par
value OF $50. When he came there in
1855 the bank paid 10 per cent divi-
dends, when he left it paid dividends
OF 10 per cent.
he alone was responsible for the. en-
tries on the books. He made out and
entered the cashier s checks frequently
IN the forenoon, anticipating their use
IN the day s business. If not needed
they were reversed the next day. He
had no difficulty in getting loans ON
cashier s checks on the Shawrnut hank
OF Boston. His bank S credit was ex
celIent, ITS resources ample, and he new
er made false entries with intent to de-
ceive.
The books We're open at all times for
examination, and there was no need +o
pad accounts at any time. The Wit.
ness denied that he had ever held mn
collections on other banks for the pur-
pose OF deeeiving. The matter of the
contemplated loan to the Howland
Pulp and Paper company of Maine was
started TO protect the credit of the
company, which was a big depositor
IN the Vermont National bank.
Mr.. Averill had no financial interest
IN the paper company. The witness
salo ne had never made a dellaF of
proht ont of the bank, nor did any
thing that imperilled the depositofs.
ne desired to meet the government 3
requirements fully.
Other witnesses TODAY were Juaga I
N. Tyler of Brattleboro, a director of
the bank, a. r. Collier. vice president
OF the Shawmut bank of Boston, II. X.
Hlllett, president OF the Fourth Ma
tional bank, and Miss Florence f. Clark
OF Brattleboro, employed many wears
as stenographer in the Vermont Ma
tional bank
The government closed its case aft
/ clock yesterday afternoon. judge
}. VI. Tyler, DR.. H d. Holton and Dr.
,. Z. Lawton, directors, were on the
stand during the session. None of these
worthy gentlemen knew, they said. of
anything that developed ON account
OF the investigation of the bank by
Examiner kelleher. That is, they took
the reports made by President AveriU
from month to month without much
question, and the examinations made
by the directors were prefunetory
The directors testified they had the
most implicit confidence in the inteo
rity of Mr.. Averill and trusted him
fully.
Judge Tyler in his testimony was
given much freedom of expression. He
told with directness of the converse
/ tlon that Examiner Kelleher had with
the board of directors after Mr.. Kelle-
her had found certain figures on the
books, upon which later was based the
indictment against Mr.. Averill. The
judge had been on the board five wears
and had known Mr.. Ayerill 20 to 25
years. always having the highest re-
speet for him. At the second meeting
of the board with the examiner .Judre
Tyler said he was worried about some
one to fill Mr.. Averill s place lie said
that he asked Mr.. Kelleher If he knew
someone who might be available, re
eeiving negative answer. "How
about yous'' asked Judge TYLER.
I" Conldn I you afford to take ite''
The judge said that Mr.. Keileher an
peared favorably impressed with the
idea. This apparently was the only
basis for Mr. Fits 5 attempt TO show.
when cross s,examining the examiner.
that he was after. Mr. Averill's lob.
Testifying as to Mr. Averill s health
during the period Just before the case
started Judge Tyler said he appeared
depressed. Work piled up on his desk.
The judge testified he would not have
known OF conditions at the bank had
il not been for the discovery by the
bank examiner of certain entries on
the books which appeared in the case.
Mr.. Kelleher's S examination brought to
the knowledge of the board among
other things the fact of a debenture
/ bond of $95,000 which belonged to the
bank and which had been locked ND
in Mr.. Ayerill s private box. This bond
had been purchased years before but
| the. present directors did not even
know of its existence The bond had
never been reported among the bank S
assets.
DIR. Holton testified to the fact that
Mr.. Averill had neurasthenia and ad-
mitted that the disease was caused and
aggravated largely through trouble and
worry.
! John D. Moore of Bellows Falls, an
other director, was on the stand few
minutes. He was not present at the
meeting of the board with Mr. KeHe-
| her.