The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1922-06-27
HIATT
INDICTED BY
GRAND JURY
R eturn l3 Indictments
Against Deposed Head Of
Trust Company Charge
Embezzlement, Perjury.
OTHERS ARE NAMED


Thirteen indictments were returned
against Edgar F. Hiatt, deposed presi-
dent of the Dickinson Trust company.
by the grand jury, it was learned
Tuesday.
A warrant for HATS arrest was
placed in the sheriff's hands Tuesday
morning.
Ten of the indictments charge en-
bezzlement OF the funds of the bank,
which was closed by State Bank Com
missioner Charles w. Camp after un-
desirable securities had been discov-
cred in the assets of the trust COM
pany, placed there, he said, by Mr..
Hiatt without the knowledge and con
sent Of the directors.
Two indictments charge overdraw-
ing OF his personal account IN the
sums of s164.14 and $242.96.
One indictment charges perjury IN
that Mr.. Hiatt overestimated the
assets of the trust company in a sworn
statement to Lowell w. Cox, state
bank examiner.
Herman Olsen, c. L. Peck and com
pany OF Chicago. Martin Moehn, Jesse
Vermillion, Frederick Hollingsworth.
Thomas Reynolds, and others. are
named In one of the indictments as the
persons to whose use Mr. Hiatt appro-
pr1ated S722,52604 on March s, 1922,
or within two years prior to that date.
Charge EmbezzIement
The first Indictment for embezzle-
ment follows:
AThe grand jurors for the said state
OF Indiana, impaneled, charged and
sworn in Wayne circuit court to in
qulre within and for the body of the
same special county of Wayne upon
their oath do charge and present that:
Edgar F. Hiatt being then and
there an officer and employe of the
Dickinson Trust company, a corpora
ton then and there engaged in the
city Of Richmond in a general bank
Ing business, and having access to and
control and possession of the monies,
deposits, and assets of said corpora
tion, did then and there by virtue OF
his said office and said employment,
and while SO employed as aforesaid.
unlawfully, feloniously, and fraudu-
lently take, purloin and secrete and
appropriate to his own use certain
monies, notes and credits, chooses in
action and other property, the exact
nature of which is not known to the.
grand jurors aforesaid of the aggre-
gate value of 600, then and there
belonging to and deposited with and
held by said Dickinson Trust COM
pany."
Second Count.
The second count of the first in
dictment charges that Hiatt converted
1
company, Chicago firm.
1t read substantially the same as
the first count, with the exception that
it charges that Hiatt did appropriate
to the use of certain others, to-wit: c.
l.. Peck and company, a corporation,
certain notes, credits and chooses in
action, to the value of $4S, 600"
Beginning with the second indict-
ment, the others follow
March Z, 1922-Eight thousand dol
lars appropriated to the use of Fred
erick Hollingsworth.
January. 1922-s225,0 900 appropriat-
ed to his own use.
September, 1921-$70 900 appropri-
ated to his own use.
January, 1922-$135,0 900 to the use of
c. L. Peck and company.
January, 1922-s50,000 to the use of
C. l.. Peck and company.
March Z, 1922-s85, ,475.S5 to tie use
Of c. L Peck and company.
January, 1927, 120 to the use OF
Martin Moehn.
September, 1921-s1OO,OOO to his
own use.
March 6, 1922-s722. .526.o4 appro-
priated to the use of Herman Olsen.
c. L. Peck and company, Martin
Moehn, Jesse Vermillion, Frederick
Hollingsworth, Thomas Reyonlds ano
others.
Perjury Charge
The perjury charge in the eleventh
indictment is based on statement
made March 10, 1922, when In a state
ment of the banks resources before
Lowell w Cox, bank examiner, Hiatt
declared the resources to be $5,453,-
608.12. when they were under that
amount.
Two charges of overdraft are made
in the twelfth and thirteenth indict-
ments:
One in May, 1921, when he overdrew
his personal account of S2676 in the
amount of $242.96 by cashing checks
for $S,166.32, and $9540. The other
in February, 1922, when he overdrew
personal account of $56 25 to the
amount of s16414
SpecuIatIons Involved
The indictments for embezzlement
are mainly connected with Mr. Hiatt's
speculations in improved real estate
in Chicago and in plantations in Mis-
sissippi. The men mentioned as being
the persons to whose use Mr.. Hiatt ap-
propriated the funds of the trust COM
pany are some of the agents with
whom he was associated in the deals.
Clyde l.. Peck of Chicago repre-
sented him In deals there and also In
plantation deals in the south. Fred
erick Hollingsworth, of Grand Rapids,
also was connected with Hiatt In a
southern plantation deal
Peck's name appeared as early as
the Starke county, Indiana, deal,
which is believed to have been the
first speculation of HATS which cul-
minated in the final disclosure Of the,
substitution of undesirable securitiea
in the assets of the trust company.
Claim Securities Good
Peck said several times after Mr..
Hiatt had been replaced as president
of the trust COMPANY that the seruri.