Ottumwa tri-weekly courier. [volume] (Ottumwa, Iowa) 1903-1916, 1916-04-06
Watch Your Checks
BY FREDERIC J. HAsKIN

grocery store in the new town and re-
quested draft for that amount on the
strength of the letter.
The cashier looked up the cashier of
the city bank in the register and found
the signature to be correct, so, after
some hesitation, he gave the man a
draft for fifteen hundred dollars. But
later in the afternoon Gin the seclus-
ion of his own home, the cashier began
to feel a trile nervous. Why had he
felt any hesitation at all in paying the
draft? Surely, the mans manner had
been peculiar All the next day, which
was Sunday, the cashier worried about
it, and by Monday morning he was in
cold perspiration. He could hardly
wait to get to the bank to send wire
to that city cashier. An hour later his
worst fears were confirmed. The bank
replied that they had never heard of
such an individual and that their
cashier knew nothing OF the letter. 1t
vas a plain case of forgery.
In this instance, however, it was not
too late to act. The cashier immed.
lately wired every clearing house in
the district to stop payment on the
draft and to apprehend the drawer
The same afternoon the man was
caught
While the law holds a bank respon-
sible for accepting forged signature,
Oh the grounds that it is business
to know the signatures of it's deposit
tors, it is not held liable for a raised
check which it pays by mistake of fact
and in good faith.
The banks are becoming difficult
hunting grounds for the cleverest
crooks, but the merchants are daily
victims. The check protector has
made check-raising exceeding difficult.
but there are many firms who do not
consider it necessary to use these de-
vices. They prefer to trust to a
benevolent fate to defend them from
the work of the crafty check-raiser.
On the contrary. some firms have en-
ployed every possible method to pre-
vent checkraising and forgery.
In new towns built around great in
dustrial plants, the company check Is
always currency. and merchants are
forced to cash them. Under these cir
cumstances, there is. OF course, abund-
ant chance for forgery. In Hopewell.
Va, the new powder town built by the
Duponts on the James river, there
were repeated instances Of forgery
and of check-raising for the first few
months Of the towns existence. The
company devised method which
stopped it once and for ALL Each en-
ploye is required to carry on his watch
fob photograph Of himself, together
with his number. When he presents
a check to be cashed, the photograph
on the watch fob Identifies the man,
and number stamped on the check
must correspond with that on the pic.
ture. Thus it becomes a reasonable
certainty that James Jones, No. 1861
is an employe of the company and
presenting his own check to be cashed.
While it is not, perhaps, necessary
for everybody to wear photographs
with numbers on their watch fobs or
coat lapels, something just as effec-
tive, If not as ornamental, should be
used by every large concern. When
it remains possible for a we'll dressed
crook to cash bogus check in every
state in the union and escape punish.
ment, no precaution, however ridicu.
lous, is superfluous. No merchant.
trust company, manufacturer or bank
is infallible-even the treasurer of
the United States cashed forged
draft-but they can at least live up to
their regulations as astute business
men and suspect every check until It
proves it innocence