The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1922-07-05

bank commissioned, closed the bank.
HATS transactions with the banks
money amounted to $1,526,91733, but
he was able to put in enough good Sc
curities to reduce the shortage to the
amount named in the indictment. The
second count of this Indictment
charges that Hiatt embezzled that
amount of money for 1.-THE use of c.
l.. Peck & Co, Herman Olsen, Martin
Moehen, Thomas Reynolds and Jesse
Vermillion." 1t will be shown that
Jesse Vermillion, who is an esteemed
citizen of Anderson and president of
the Anderson Banking company, did
not in any way benefit personally, but
that his name was used by Hiatt, it
is said, to cover up a transaction in
Anderson real estate.
The state asserts it will be shown
in the trial of Hiatt that on September
26, 1921, Hiatt, as president of the
Dickinson Trust Company, placed with
the company s555, 900 in securities of
doubtful value, and took out in money
and first class securities that amount
of money. This $4,000 was made ND
of the following items: H. c. Stickney,
100000; w. ]. McAllister, $40 1000;
w. Clay Jones. 100000; Somerset
company, $4,000; Glass Block com
pany, $4,000; Sundry Cotton Bills,
$4,000. Neither the grand Jury, the
! stockholders committee nor the ex-
perts who prepared an auC of the
books, could get any information con-
corning the Stickney, McAllister and
the Jones deals. The books showed
that paper representing S230,0OO had
been exchanged for money, and then
taken out. The transactions involv-
ing them are still unknown
Peck Acted as Agent
The investigation made by the
stockholders committee and others
show that one Clyde L. Peck. of Chi
cago acted as HATS agent in many
deals, even after Peck was indicted
by the federal grand jury at Chicago
for misuse of the United States mails.
One j. w Cook owned a plantation
near Greenville. Miss. This property
consists of 1,760 acres and is we'll
equipped. Hiatt bought this property
and the deed to it was taken in the
name of c. l.. Peck February Z, 1922.
AT the time of the purchase. the Max
well investment company. of Kansas
City, held a trust deed on ii for $50. 900
and there was a second mortgage for
$4,000 given by Cook to G. B. Nc
Lemore. also of Mississippi.
In obtaining this property from
Cook Hiatt traded in his equity in GER
tain property in Stoney Island avenue,
Chicago, and his equity in the Glass
Block at Marion. which he had OBJ
tanned by the use of Dickinson Trust
company money, it is alleged This
plantation has been conveyed to Henry
&c. Starr as trustee for the stockhold-
ers of the Dickinson Trust company
by Peck
The Somerset plantation or. as it is
known in the records, the Magnolia
plantation, is in Madison parish.
Louisiana, about 500 miles north of
New Orleans. 1t consists of 14.7OO
acres. Hiatt bought this plantation
from Thomas Reynolds, also of
Greenville, Miss. There was a mort
gage on the property for $500 900 in
favor of the Planters Bank at New
Orleans, and Hiatt reduced that mort
gage to 100000. On Dec. 5, 1921.
Hiatt gave c. l.. Peck a check on the
Dickinson Trust company. signed bv
himself as president, for $4,000 and
IN tAiNtOAFN tilAo OHCOh W Ilcy uOluS.
On Sept. 26, 1921, Hiatt, as president.
gave the Dickinson Trust company's
check to Reynolds for $4,000. On
jap. IA, 1922, Hiatt gave Reynolds a
check on the trust company as presi-
dent for $4,000. and on March 1, 1922.
Hiatt gave w F. Johnson, as agent, a
check of the Dickinson Trust com
pany for 10000, and this check was
Endorsed to Thomas Reynolds.
Somerset Plantation
After various deals and trades. in
which the money of the Dickinson
Trust company is said TO have figured
largely, Hiatt became the owner Of
the Somerset plantation, but owed
Reynolds $4,000 when the deed was
made to Hiatt Hiatt then sold this
plantation to Frederick Hollingsworth
of Grand Rapids, Mich. Hollingsworth
gave his note to Hiatt for 5000 900,
and Hiatt on Sept 26, 1921, put the
Hollingsworth note in the Dickinson
Trust company, Disgusting it as the
Somerset company, and took out mon
ey and gilt edge securities. The Hol-
lingsworth notes have never been
paid. Through some oversight the
deed from Hiatt to Hollingsworth was
OoVpr LEGALLY thu. +lo