Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1921-11-24
SLEUTHS TRIAL BANKER
FOR STATE FUND SHORTAGE
R. N, B6rrien, Jry Atlanta
Broker Wanted on Charge
of EmbezzIing $4,000.
School Money

While Sheriff Lowry. Of Fulton
county, was bending every effort to
locate r. N. Berrien, Jr.. Atlanta
broker and school warrant discount
ing agent of the state. who is want
ed on a warrant charging embezzle.
ment Of the proceeds of about $751;.
500 worth of such warrants. two ir-
teresting new phases in the Berrien
case developed at the state capitol.
The first was Governor Hard
wick's announcement that S. N.
Bond & Co., the New York banking
firm through which Mr.. Berrien has
been discounting the warrants, had
notified him that they stood ready to
continue discounting the warrants
by any modus operandi which he
might approve. This makes it pos
sible, the governor said, to go right
ahead with the discounting arrange
ment sol that school disbursements
can be made promptly. He said he
would work out an arrangement
which would have ample safeguards
against any further misuse or con-
version of the funds. The school
warrants drawn by him since taking
office last June, he pointed out, have
been drawn in exact accordance with
the uniform practice heretofore in
vogue since the deferred payment
plan was inaugurated five years ago.
Second Development
The second development Tuesday
was that the loss of the funds al
legged to have been converted by Mr..
Berrien may fall upon the local
school boards receiving the Berrien
checks, which were turned down at
his bank for insufficient funds.
Governor Hardwick expressed
doubt as to whether the law would
allow him to replace the funds with
warrants on the school appropria-
ton. He also expressed doubt as to
whether the state could repudiate,
when they mature, the warrants in
volved in the Berrien shortage.
There was likewise a possibility, il
not probability, that local banks in
which the Berrien checks were de-
posted, and drawn against by the
local school authorities, might be the
losers Of part or all Of the amount
involved.
The warrant for Mr.. Berrien
was sworn out about 4:30 o'clock
Monday afternoon by DR.. M.
l.. Britain. state school super
intendent. at the direction OF
Governor Hardwick, following con-
ference held in the governors of
flee when Mr.. Berrien failed to ap.
pear in response to a written notice
by Superintendent Britain, inform
ing him that he must make good
the warrants by $3.50 o'clock Mon
day afternoon. Mr.. Berrien since
| 1919 has been discounting the defer
red payment school warrants.
Sheriff Lowry said his deputies as
signed to the case had Immediately
| made an effort, when the warrant
was turned over to them, to locate
| Mr.. Berrien, without success. He
said he had sent kilograms to chiefs
of police in number of cities re-
questing them to keep a lookout for
Mr.. Berrien and arrest him if found.
How Investigation Started
About a week ago Governor Hard
wick is said to have received infor-
nation from confidential source
| that Mr.. Berrien had used $4,000
worth of warrants to cover a per.
sonal overdraft at an Atlanta bank,
| where he carried on an account. On
investigating Governor Hardwick
obtained information to the effect
that the warrants had been so used
with, a sight draft on ANEW York
bank He notified the New York
bank by telegraph to refuse payment
on the draft and to return the war
rants, which the New York bank at
| once assured him by telegraph that
it would do. Governor Hardwick
then notified the Atlanta bank that
he would expect it to surrender the
warrants when they came back, and
was assured that this would be done.
An investigation then was COM
menced to ascertain whether Mr..
Berrien could account for all war
rants previously turned over to him
for discount. After completing thu
! investigation superintendent Brit
tain notified the governor in writ.
ing that checks drawn by Mr.. Der.
rien for school disbursements aggre-
eating $37, 500 had been turned down
at the bank, and that he had served
notice on Mr.. Berrien to make good
these checks not later than $3.50
o'clock Monday afternoon.
Decide on Warrant
At that hour Mr.. Berrien failed to
appear. Superintendent Britain and
Attorney General Napier then were
called into conference in the gov
erncr's office. Efforts were made
to locate Mr.. Berrien by telephone
and otherwise, without success. 1t
was then decided to issue a warrant
and request the authorities to arrest
him Immediately.
During the Investigation which
had been in progress for five or
six days Mr.. Berrien was under sur
veillance by Pinkerton detectives, in
structed to keep a close watch on
his movements night and day, at
home or at his office. About IL
o'clock Monday morning the Pinker-
ton agency notified the governors
office that the detectives assigned
to watch Mr.. Berrien had lost him
in the afternoon or night preceding,
and since that time had not sue
ceeded in picking up his trail. All
efforts Monday by the Pinkerton de-
tectives to locate him were with
out success, it was stated at the gov
ernor's office.
Handled S7,500,0O0
About five years ago, during Gov
ernor Harris administration, an ar
rangement was worked out to issue
CONTINUED on Page 6, Column 81