The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1920-07-27
AMAZING TALE
IS RELATED OF
MILTON CRASH
Ring of Chaos Spreading in
Wake of Cashier Suicide
and Discovery of Loose
Methods In Bank Affairs.
STORIES OF METHODS
(By STAFF CORRESPONDENT

MILTON, Ind, July 81 Account
ants are to be placed at work at once
on the books of the Doddridge Grave
Decorating company, the largest in
dustry here, to ascertain its financial
condition.
Officers of the company decided to
take this action when they learned
that the company's bank books, sup
posed to be at the Farmers Banking
company, now IN the hands of a re-
ceiver, could not be located.
Oscar NJ. Kerlin, cashier of the
bankrupt bank, who committed Licide
the first of this month when a state
bank examiner discovered the institu-
ton to be without funds, was secre-
tary and treasurer of the Doddridge
Grave Decorating company from Feb
ruary, 1918, until the time of his
death.
The announcement that the finan-
cial affairs of the Doddridge company
are to be investigated was made by
James Doddridge, one of the stock
holders of the company and who was
acting secretary-treasurer of the com.
pany for brief time before Kerlin
was appointed to the position.
Investigation Not Vet Done.
Claude Kitterman, Cambridge City
banker, who is the receiver for the
Milton bank, has not completed his
investigation of the affairs of the de
funct institution and says that he has
no idea when he will ue prepared tC
submit his report
Shortly after the bank suspended
business, following the suicide of Ker
lin, it was estimated that the short
age would amount to approximately
100000.
1t is now said that the shortage
proba bly, will considerably exceed this
amount, but this is not confirmed by
Mr.. k1tterman, who announces that
he will have no statement to make in
advance of his official report to the
! Wayne circuit court as receiver
Many Will Sustain Losses
Although the patrons of the Farm
ers Banking company, who include a
large number of the residents of south
| western Wayne and northeastern Fay
| ette counties, are guaranteed against
the loss of their deposits because of
the sound financial responsibility of
! the stockholders of the bank and of
| Kirlin's bondsmen, the fact remains
that many people will sustain consid-
! cradle losses, because of the amazing
! duct OF the banks affairs, the careless
practices of numerous depositors, and
| the fact that many of the banks pat
rons have been obliged to secure loans
| from other sources to tide them over
until they are permitted to withdraw
| their deposits.
| One of the most popular men in
southwestern Wayne county, Oscar
i kirlin, was trusted implicitly by the
| residents of the community.
Made No Pretense of Bookkeeping
Apparently he made no pretense of
keeping the banks books posted and.
on the other hand, there are scores of
people who turned over their money
to him without taking the trouble to
secure deposit receipts.
AS a result, there are many people
who do not know whether they have
balance at the bank or whether they
are overdrawn in their accounts.
The case of Scafe Reid, a tenant
farmer of Washington township, fur
nishes an apt illustration of how
many people conducted their banking
business with Kirlin.
| Mr.. Reid states that his bank book
has not been out of the bank for
eight years. He said that he occa-
sionally asked if the book had been
balanced so he could withdraw 1t, but
he was always told that the book had
not been posted but would be very
| soon.
| He said that three years ago he took
out note at the bank, but he does
not know whether 1t was ever taken
up, but he supposed it had been.
Notified He's Overdrawn $1,000.
A few days ago he was astonished
when he received report that he was
overdrawn in his account 1000. Mr..
Reid states he is positive that he can
not be overdrawn such an amount
but admits he has no evidence to re-
| flute the fact.
He says that last spring he told
Kirlin that he wanted about $3.50 to
buy some hogs and asked Kirlin IL he
had sufficient funds in bank to cover
the amount
He said Kirlin looked into a ledger
and said his account was large
enough to permit such a withdrawal,
but did not state how his account
stood.
Not until the receiver makes his
report will it be possible to ascertain
how many allegedly fraudulent notes
are held by the Farmers Banking
company
d. o. Clevenger. probably the larg-
est land owner in Washington town
ship, states that he was informed that
the bank held one of his notes He
says he recently went to the bank to
ascertain the authenticity Of the re-
port. but obtained no information.
"Of course, l have signed quite a
number Of papers at the bank from
time to time, but to the best of my
knowledge l never executed a note at
the bank" said Mr.. CIevenger
Il don't believe there ever was a
bank failure in the history of the
United States to equal the one at Mil
ton," added Mr.. Clevenger.
Liberty Bonds Not Delivered.
1t has been ascertained that many
people who subscribed for Liberty
Bonds at the Milton bank during the
war have never received their bonds.
The statement is made that a Cam
bridge City man subscribed for $4,000
Continued on Page Eleven)