Henderson daily dispatch., 1935-05-06
DETAILS GIVEN ON
K|NSEY'S HEARING
Mill Manager at Warrenton
Held For May Superior
Court There
Warren Record)

Lloyd Kinsey manager of the Peck
Manufacturing Company before that
concern was thrown into the hands
of receivers, was on Wednesday aft
ernoCn bound over TO the May term
of Warren County superior coult TN
der bond of $4,000 by Magistrate
Macy Pridgen who gave him a pre-
liminary hearing on a bill of indict
ment containing eleven counts and
charging him with embeZzling War
renton Bonded Warehouse certificates
and cotton issuing warehouse receipts
for cotton which did not exist OF
which was not present at the time
and misappI opriating proceeds from
cotton delivered to the Peck Manu-
featuring Company. approximately
$4,000 is involved in the charges.
Bond was arranged for Mr.. Kmsey
Wednesday night with b. r. Palmer
of Warrenton and r. l.. Toepleman of
Henderson as sureties. Mr.. Palmer is
to be released from the bond as soon
as Mr.. Kinsey returns from Norfolk
where he has gone to get Mrs. Toeple-
man to go on his oond
Mr.. Kinsey was placed under ar
rest on Saturday afternoon by Sheriff
w. j. Pinnell upon a warrant sworn
out by all the directors of the Peck
Manufacturing Company. AT that time
he was placed under bond of $4,000
pending the hearing on Wednesday,
Claude Bowers was Mr.. KinseVs
bondSman at that time.
The eleven counts against Mr. pin
sey are representative of three main
charges, which are as follows
/. Embezzlement of Bonded Ware
house certificates and cotton to the
amount of POP bales.
2. On different occasions issuing
warehouse receipts to the Citizens
Bank and Trust Company of Hender-
son, on which he borrowed approx
mately $4,000 from the middle of
February to April l on 290 bales of
cotton which did not exist or was not
present
8. Misapplication of the proceeds
from II bales of cotton delieverd to
the Peck Manufacturing Company for
storage by various tenants of B. r.
Palmer.
Evidence was presented at the hear
ing on Wednesday by the state to
show that on the 29th day of March
Mr.. Kinsey paid off a $12, ,239 80 per
sonal obligation at the First National
Bank in Henderson by the sale of
22l Bonded Warehouse certificates to
Holmes and Dawson of Norfolk. 1t
was testified that on the 9th day of
April POP bales of warehouse certi-
ficates were given by the First Ma
tion Bank to Holmes and Dawson s
agent, F. L. Toepleman, and that on
the same day Mr.. Toepleman present
ed the receipts for the cotton. The
Peck Manufacturing Company pres
ented evidence tending 20 show that
oO bales of this cotton had been pur-
chased from j. r. King, four bales
from X. K. Liner, that Holmes and
Dawson held the certificates on 25
bales, which was Identified as r. L.
Caps cotton, and that l.. c. Kinsev
held the certificates for 1913 bales.
Roy Rodwell cashier and vice pre-
sident of the Citizens BanK and Trust
Company, said that the bank loaned
the Peck Manufacturing Company ap-
ProxImately $4,000 on receipts pres
ented by Mr.. Kinsey. Mr.. Burton, exc
cutive vice president of the bank
stated that he had asked for the cot
ton which the receipts called for and
that not any of the cotton was in the
warehouse.
Through George w. Poole. certi-
lied accountant, testimony was pre-
sented which tended TO show that GER
tificates were issued by Mr.. Kinsey
for cotton which did not exist He
explained that numbered tags were
Kept in the office Of the company and
that as cotton was purchased these
tags were placed on the bales and
listed in the cotton book. The mum
Der Of cotton receipts issued were far
IN excess OF the number of tags taken
out Of the box and used ne stated.
Through a deposit slip and other
records the prosecution was able to
orlng out that Al bales of cotton stOt-
ed by tenants of B. r. Palmer in 1881
had been sold by Mr.. Kinsev to An
derson-Clayton Co., and that the
money had been applied to Mr.. Kin
seys personal account at the Bank
OF Warren on the day that it closed
its doors
U. w. PoindeXter, bookkeeper and
director of the Peck Manufacturing
Company, testified that he thought
the missing cotton was in the mill,
that it had not been removed from
his hooks as it was supposed to have
been when it was processed through
the mill or sold.
The bookkeeper stated that Mr..