14038. Germania Savings Bank (Jersey City, NJ)

Bank Information

Episode Type
Suspension → Closure
Bank Type
savings bank
Start Date
January 29, 1887
Location
Jersey City, New Jersey (40.728, -74.078)

Metadata

Model
gpt-5-mini
Short Digest
4da84840

Response Measures

None

Description

The bank closed its doors Jan 29, 1887 after discovery that the treasurer/secretary C. M. E. Schroeder had disappeared and a $30,000 cash deficit was found (defalcation). Newspapers report an application for a receiver and trustees remaining in possession; no reopening is reported in these articles. Depositors thronged the door after the closure, but the suspension was driven by an internal defalcation rather than an isolated rumor or a prior run.

Events (3)

1. January 29, 1887 Other
Newspaper Excerpt
Upon the door was the following notice: This bank is closed pending an application to the Chancellor for instructions, signed Louis A. Lienau, Second Vice-President. Application will be made for a receiver and trustees ordered to settle affairs by disposing of securities.
Source
newspapers
2. January 29, 1887 Receivership
Newspaper Excerpt
An application will be made for a receiver. The trustees were ordered to settle the bank's affairs by disposing of all its available securities.
Source
newspapers
3. January 29, 1887 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Discovery of $30,000 cash deficit caused by defalcation; treasurer/secretary C. M. E. Schroeder missing (presumed to have fled).
Newspaper Excerpt
The Germania Savings Bank... closed its doors this morning. C. M. E. Schroeder, secretary and treasurer, is missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account.
Source
newspapers

Newspaper Articles (15)

Article from Evening Star, January 29, 1887

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Article Text

TREASURER AND $30,000 MISSING. The Germania Savings Bank of Jersey City Closes its Doors. JERSEY CITY, N. J., Jan. 29. - -The Germania Savings bank, 140 Newark avenue, closed its doors this morning. C. M. E. Scroeder, secretary and treasurer, is missing, and it is believed he has gone to Canada. There is a deficit or $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. Vice President Louis A. Lienau says that the securities are intact and that the deficit will not exceed the figures named. The Horrors of Eviction. DWELLINGS RAZED IN ORDER THAT THE POOR PROPLE MAY NOT FIND SHELTER IN THEM. DUBLIN, Jan. 29.- The last evictions at Coomasharr took place yesterday. Three tenants were ejected and their dwellings were levelled to the ground. Two other tenants who were evicted were reinstalled as care-takers. Agent Roe again offered his previous terms, asking in the case of one tenant one gales rent and offering to pay the costs himself. The offer was rejected. There was some trouble between the police and the crowd or on-lookers and some stones were thrown. The disturbance at one time threatened to become serious. Two villagers were hit with policemen's batons, but a magistrate interposed to prevent further trouble. The sheriffs, bailiffs and police have left Glenbeigh. The mother of Mr. Cifford Lloyd, who was a special magistrate in Ireland during Earl Spencers administration as lord lieutenant, and who was particularly severe in his enforcement of the laws against the tenantry, has written a letter sympathizing with the persons who have been evicted at Glenbeigh.


Article from Alexandria Gazette, January 29, 1887

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Article Text

Closing of a Bank. JERSEY CITY, N.J., Jan. 29.-The Germania Savings Bank, 140 Newark avenue, closed its doors this morning. C. M. E. Scroeder, secretary and treasurer, is miss. ing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. VicePresident Louis A. Lienau says that the securities are intact and that the deficit will not exceed the figures named.


Article from The Indianapolis Journal, January 30, 1887

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14 Talbott}Block, Indianapolis. A SAVINGS BANK WRECKED. The Treasurer Is Missing and Is Supposed to Have Gone to Canada with $30,000 in Cash. JERSEY CITY, N. J., Jan. 29.-The Germania Savings Bank, No. 140 Newark avenue, closed its doors this morning. C. M. E. Schroeder, secretary and treasurer, is missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. Vicepresident Louis A. Lienau says that the securities are intact, and that the deficit will not exceed the figures named. The news of the wreck of the bank spread rapidly, and the street was thronged with anxious depositors. Upon the door was the following notice: "This bark is closed pending an application to the Chancellor for instructions," and signed, "Louis A. Lienau, second vice-president." A servant said that Schroeder left his house after a brief interview with his wife, Thursday night. The trustees met last night and found the books all written up and the securities intact, but there was not a cent of the cash balance of $30,000. The trustees claim that the assets are sufficient to pay all the claims. They expect to pay 75 per cent. within thirty days, and the remainder after a sufficient delay to enable them to dispose of the real estate held by the bank. The bank's books are locked up and it is impossible to obtain details. Schroeder fled after seeing that he could not conceal his crime. He is a well-known German, and a general favorite. He has a wife and two children. He is known to have lost money in speculation, The police have learned that Treasurer Schroder was at his home at 7 o'clock this morning. He is being searched for. Trustees of the bank were on his bond for $50,000. State Senator W. K. Edwards, counsel for the bank, received instructions from Chancellor Runyan, this morning. The trustees are ordered to settle the bank's affairs by disposing of all its available securities. No receiver will be appointed, for the present, at least. Mr. Edwards stated that the depositors will not lose over 20 per cent. at the most, and that all will probably be paid in full eventually. Schroeder left a six months' note upon himself for $30,000 at the bank, dated Jan. 31, to President Leinau's order.


Article from New-York Tribune, January 30, 1887

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A JERSEY CITY BANK SHUT. ITS CASHIER AND ABOUT $30.000 GONE. APPLYING TO THE CHANCELLOR FOR ADVICE-CONFESSION BY THE DEFAULTER. A sensation was created in Jersey City yesterday by thedisciosure of the fact that Claus M. E. Schroeder, secretary and treasurer of the Germania Savings, was a defaulter and had run away. The amount of the defalcation, so far as could be ascertained from a hasty examination, is $30,000. That is probably the actual amount, as the directors, when they examined the vault, found, instead of cash, Schroeder's personal note for $30,000, datea January 31, 1887, and made payable six months after date. Schroeder was at the bank Thursday, and when he was leaving in the afternoon said that he was obliged to go to Newark the next day to transact some business. Onthat account his failure to appear on Friday morning did not attract any special attention. but when he did not arrive in the afternoon Louis Lienan, the vice-president, sent a messenger to his house. The information obtained by the messenger caused Mr. Lienan to call an immediate meeting of the directors, and they remained in secret session at the bank until 1 a. m. yesterday. The discovery was then made that Schroeder was a defaulter. At 10 a. m. yesterday, when some people called at the bank to transact business, they found the front doors closed and guarded by a policeman. On one of the doors was posted a notice which read This bank is closed pending an application to the Chancellor for instruction. LOUIS LIENAN, Vice-President. The news that the bank had closed spread rapidly among the depositors and caused great excitement. Crowds of them besieged the door but were unable to gain admittance. They lingered around discussing the matter until the heavy rain compelled them to seek shelter. Reporters who called at Schroeder's house. No. 25 Linden-ave., were told that Mr. Schroeder was not at home and Mrs. Schroeder was too 111 to be seen. The house is a large one, finely furnished, and is owned by Mrs. Schroeder. It was learned that on Thursday night Schroeder sent for James R. Williamson, an insurance agent at No. 17 Montgomery-st. who has been his most intimate friend. Schroeder and his wife were in the parlor when Williamson arrived. In the presence of his wife and the visitor Schroeder made a full confession. He said that he owed the bank $30,000, and being unable to pay it he was compelled to flee with scarcely a dollar in his pocket. On the completion of his confession the miserable man kissed his wife and two children, wrung his friend willjamson's hand and left the house. It is presumed that he has sought refuge in Canada. Schroeder was generally regarded as a man of very steady habits. He had no vices, 80 far as is known, and although he lived well it was thought that hisincome warranted it. In addition to his position in the bank, which paid him $2,000 a year, he was engaged in the real estate and insurance business. He was agent for the Hanover Insurance Company of few-York, the Lieman estate and the Hamburg-America Steamship Company. He was also treasurer of the State Council, American Legion of Honor, and of the Ancient Order of United Workmen. There should be a balance of $1,200 to the credit of the American Legion of Honor. The condition of the Ancient Workmen's fund is unknown General Agent Matthews of the Hanover Insurance Company says that the company will not lose anything. What course will be pursued by the directors of the bank has not been determined. Senator William D. Edwards, their counsel, and Vice-President Lienan went to Newark yesterday and had a consultation with Chancellor Runyon. When they returned they said the Chancellor had given verbal orders that the directors continue in possession of the concern until the formal Issue of an order giving them authority to wind up its affairs. No receiver will be appointed and It is possible that Schroeder's bondsmen will make good the deficiency. Schroeder's bond is $50,000 and his bondsmen are Michael Lienan, F. O. Matthiessen. the sugar refiner, Mr. Kunhardt, of the firm of Kunhardt & Co., 61 Broad-st., w-York, and William Schuman. a wholesale grocer in New-York. It is said that Schroeder engaged in speculations recently and that he was largely interested in a newly patented milling machine which has falled thus far to realize the expectations of its inventor. The following statement of the bank's condition has been prepared $257,530 63 Liabilities


Article from The Daily Times, January 30, 1887

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Treasurer and $30,000 Missing. JERSEY CITY, N. J., January 29.-The Germania Savings Bank, 140 Newark avenue, closed its doors this morning. C. M. E. Scroeder, secretary and treasurer, is missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. Vice-President Louis A. Lienau says that the securities are intact and that the deficit will not exceed the figures named.


Article from Wheeling Sunday Register, January 30, 1887

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OFF FOR CANADA. Another "General Favorite" Treasurer Skips Out With the Funds. JERSEY CITY, N. J., January 29. - The Germania Savings Bank, No. 140 Newark avenue, closed its doors this morning. C. M. E. Schroeder, Secretary and Treasurer, IS missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. Vice President Louis A. Lienan says that the securities are intact, and that the deficit will not exceed the figures named. The news of the wreck of the Germania Bank spread rapidly, and the street was througed with anxious depositors. Upon the door was the following notice : "This bank is closed pending an application to the Chancellor for instructions," and signed "Louis A. Lienau, Second Vice President. A servant said Schroeder had left his house after a brief interview with his wife, Thursday night. The trustees met last night and found the books all written up and found the securities intact, but there was not a cent of the cash balance of $30, 000. The trustees claim that the asssets are sufficient to pay all the claims-25 per cent now and the remainder after a delay of 30 days to enable the bank to dispose of the real estate held by it. The bank's books are locked up and it is impossible to obtain detais. Schroeder fled after seeing that he could not conceal his crime. He is a well known German and a general favorite. He has a wife and two children. Heis known to have lost money in speculation.


Article from The Salt Lake Herald, January 30, 1887

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Bank Failure. JERSEY CITY, January 29.-The Germania Savings Bank closed its doors this morning. C. M. E. Schroeder, sec retary and treasurer, is missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated on March 29th. 1861, and did an extensive savings and general banking business. Vice-President Louis A Lienan says that the securities are intact, and that the deficit will not exceed the figures named.


Article from Fort Worth Daily Gazette, January 30, 1887

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BUSINESS AFFAIRS. A Jersey City Savings Bank Fails Because of a $30,000 Shortage. JERSEY CITY, N. J., Jan. 29.-The Germania Savings' Bank at 140 Newark avenue, closed its doors this morning. C.M. Schroeder, Secretary and Treasurer, is missing and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. Application will be made for a receiver. Vice-President Louis A. Lienan says that the securities are intact.


Article from The Memphis Appeal, January 30, 1887

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HE HAS GONE TO CANADA. A BANK TREASURER SKIPS WITH $30,000 Belonging to the Germania Savings Bank of Jersey City-Excited Depositors Crowd About the Doors. JERSEY CITY, N. J., January 29.The Germania Savings Bank, No. 140 Newark avenue, closed its doors this morning. C. M. E. Schroeder, secretary and treasurer, is missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. Vice President Louis A. Leinau says that the securities are intact, and that the deficit will not exceed the figures named. The news of the wreck of the Germania Bank spread rapidly, and the street was thronged with anxious depositor. Upon the door was the following notice: "This bank is closed pending an application to the Chancellor for instructions," and signed "Louis A. Leinau, second vice president." A tervant said Schroeder had left bis house, after a brief interview with his wife, Thursday night. The trustees met last night and found the books all writen up and the securities intact. but there was not a cent of the cash balance of $30,000. The trustees claim that the assets are sufficient to pay all the claims-25 per cent. now and the remainder of er a delay of thirty days to enable the bank to dispose of the real estate held by it. The bank's books are locked up and it is impossible to obtain details. Schroeder fled after seeing that be could not conceal his crime. He is a well known German and a general favorite. He has a wife and two children. He is known to have lost money in speculation. The police have learned that Treasurer Schroeder was at his home at 7 o'clock this morning. He is being searched for. Trustees of the bank were on his bond for $50,000. State Senator W. K. Edwards, counsel for the bank, received instructions from Chancelior Runyan this morning. Tnetrustees are ordered to settle the bank's affairs by disposing of all its available securities. No receiver will be appointed for the present at least. Mr. Edwards stated that the depositors will not lose over 20 per cent at the most, and that all will probably be paid in full evenually. Schroeder left a six months' note upon himself for $30,000 at the bank, dated January 31st, to President Leinau's order.


Article from Richmond Dispatch, January 30, 1887

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A Bank Closes Its Doors. [By telegraph to the Dispatch.) JERSEY CITY, January 29.-The Germania Savings Bank, 140 Newark aveC. nue, closed its doors this morning. M. E. Screeder, its secretary and treasurer, is missing, and, it is believed, has gone to Canada. There is a deficit of $30,000 in the cash account. Application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. The vice-president, Louis A. Lienan, says that the securities are intact, and that the deficit will not exceed the figures named.


Article from Wheeling Register, January 31, 1887

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OFF FOR CANADA. Another "General Favorite" Treasurer Skips Out With the Funds. JERSEY CITY, N.J., January 29.-The Germania Saving: Bank, No. 140 Newark avenue, closed its doors this morning. C. M. E. Schroeder, Secretary and Treasurer, IS missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. Vice President Louis A. Lienau says that the securities are intact, and that the deficit will not exceed the figures named. The news of the wreck of the Germania Bank spread rapidly, and the street was thronged with anxious depositors. Upon the door was the following notice : "This bank is closed pending an application to the Chancellor for instructions," and signed "Lonis A. Lienau, Second Vice President. A servant said Schroeder had left his house after a brief interview with his wife, Thursday night. The trustees met last night and found the books all written up and found the securities intact, but there was not a cent of the cash balance of $30,000. The trustees claim that the asssets are sufficient to pay all the claims-25 per cent now and the remainder after a delay of 30 days to enable the bank to dispose of the real estate held by it. The bank's books are locked up and it is impossible to obtain detals. Schroeder fled after seeing that he could not conceal his crime. He is a well known German and a general favorite. He has a wife and two children. Heis known to have lost money in speculation.


Article from Morris Tribune, February 2, 1887

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JERSEY CITY, Jan. 31.-The Germania Savings bank, 140 Newark avenue, closed its doors Saturday morning. C. M. E. Schroeder, secretary and treasurer, is missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 187), and did an extensive savings and general banking business.


Article from The Londonderry Sifter, February 3, 1887

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NEWS NOTES. DOMESTIC. The Governor of Ohio has appointel exPresident R. B. Hayes to be trustee of the Ohio State University for the term of seven years, beginning May 14, and the ppointment was confirmed by the Senate. About 200 cases of giant powder exploded while in transit in a magazine car over the Missouri Pacific road a half-mile west of Fort Scott, Kan. Fifteen of the 23 freight cars were completely demolished, and the magazine car was blown to atoms. The engine was badly broken up. A spec'al from Spokine Falls, Wash., says: Terrible suffering exists on the Colville reservation, 80 miles north, smallpox having broken out in the tribe with great fatality. Deep snow has prevented hunting, and government supplies have been inadequate. Hugh Sutherland, president of the Hudson Bay road, !unning from Winnipeg, Man., to Hudson's Bay, announces that the company will spend $4,000,000 the coming year in construction. Ex-Treasurer Hollingsworth of Knox county, Ind., who decamped last May with $80,000 of the public funds, recently created a sensation by walking into the court room at Vincennes, and giving himself up to Judge Mallott. The 'longshoremen's strike in New York and vicinity continues; the estimated nums ber of workmen now out reaches 50,000. Only a few European and coastwisesteamers are able to leave their docks. The jury in the case of Beiral, who was in dicted in New York for attempting to murder Surveyor Beattie last November, have rendered a verdict of guilty. C. J. Winship, constable and collector of the town of Weston, Vt.. has defaulted in the sum of $600, which his bond men must pay. Five of the men engaged in the recent robbery of the railroad train at Gordon, Tex., have been arrested. and the prospect is that the other three will be captured. The great railway suit of Sarah A. Angle against the Chicago, Portage & Superior Railway company at Madison, Wis., for violation of contract has been concluded. The jury rendered a verdict for the plain:iff of $351,965.50. Reports from the west show that heavy snowstorms prevailed in western Dako a and eastern Montana. Trains on the Northern' Pacific railroad and other roads are badly delayed. Black diphtheria is raging near Madison, Wis. The schools at Wanuakee have been closed and the town quarantined. The Little Rock, Mississi: pi River & Texas railroad has been sold under the foreclosure of mortgage, Jay Gould being the purchaser. The price paid was $1,800,000. The road runs from Little Rock to Arkansas City, a distance of 112 miles, connecting w th the iron Mountain road at Little Rock, Ark. Gould was the only bidder. Americans in the vicinity of Lewis' Cove, in Perry, Me., are indignar t at the fact that there are several fishermen from St. Andrew's in the cove, as when the fish seek the other shore the war vessels of the Dominion se ZB any American vessel tound inside the limit. A recent fire at Vanceboro, Me., destroyed the fin large steam mill used by the Vanceboro Wooden Ware Company in the manu facture of kiln dried hardwood lumber. Loss about $40,000; part!y insured. About 100 men are thrown out of employment. Diphtheria prevails to such an extent in Shelter Island, L. I., that the public schools have been closed to prevent its spread. The disease S said to have been brought from Boston. The treasurer of the Germania bank at Jersey C ty has robbed that institution of $30,000, and left for parts unknown. The depositors will be pai 1 in full. The largest and fastest passenger engine ever built was recently run out of the Rhode Island locomo ive works at Providence. During the week ending Jan. 28, 1887, 1278 gallons of soup were distribute and 6102 meals provided by the city of Boston. The reports of corresponding week of this year, show the number of gallons to be 1012, and


Article from The Austin Weekly Statesman, February 3, 1887

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BANK FAILURE. Another Good Man Gone Wrong and Off With $30,000. JERSEY CITY, January 29 -The Germania Savings bank, 140 Newark avenue, closed its doors this morning. C. M. Schroeder, secretary and treasurer, is missing and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. Application will be made for a receiver. Vice-president Louis A. Lienan says that securities are intact. News of the wreck of the Germania bank spread rapidly, aud the street was thronged with anxious depositors. Upon the door was the following notice: "This bank is closed pending application to the chancellor for instructions," and signed "Louis A. Lineau, second vice-president." The trustees met last night, and found the books all written up and securities intact, but there was not a cent of cash. The balance of the $300,000, the trustees claim, that assets are sufficient to pay all claims, 75 per cent. now and the remainder after a sufficient time to enable the bank to dispose of the real estate held by it. The bank's books are locked up, and it is impossible to obtain details. Schroeder fled after seeing he could not conceal his crime. He is a well known German and general favorite. He has a wife and two children, and is known to have lost money in speculation The police have learned that Treasurer Schroeder was at home at 7 o'clock this morning, his house is being searched. Four trustees of the bank were on hie bonds for $50,000. State Senator W. K. Edwards, counsel for the bank, received instructions from Chancellor Rungan this morning. The trustees are ordered to settle the bank's affairs by disposing of all its available se. curities. No receiver will be appointed for the present at least. Edwards stated the depositors would not lose over 20 per cent. at the most, and that all will probably be paid in full evenentually. Schroeder left a six month note upon himself for $30,000, dated January 31, to President Lineau's order.


Article from The Diamond Drill, February 5, 1887

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THE NEWS CONDENSED. THE EAST. A NEW YORK dispatch says "the two razors which Edward Unger, the sausage peddler, used in carving his partner, August Boltz, or Bohle, after he had killed him in his sleep, in order that the body might be packed in the trunk that turned up in Baltimore, were brought to police headquarters and put away with the rest of the overwhelming evidence against the murderer. Unger sat sullenly in his cell, refusing to speak when spoken to. He is very closely watched to prevent his cheating the bangman. Sullivan, the pugilist, visited Dr. Sayre's office, at New York, when the surgeon made the discovery that Sullivan's broken arm had been set with the palm downward, instead of upward. While the champion was conversing with his friends, Dr. Sayre, with a sudden wrench, broke the knitting bones asunder, and with a sharp cry of pain Sullivan fell upon a lounge unconscious. When he recovered, the arm was re-set in n proper manner. and the Doctor thinks it will be all right in a few weeks. MASTER WORKMAN JAMES E. QUINN of District Assembly No. 49, Knights of Labor, and other leading members of the Knights have been arrested in New York on a civil suit for $10,000 damages, brought by President McCready of the Old Dominion Line. The company charges conspiracy and injury to their business by the action of these men in ordering the strike. C. M. G. Schroeder, Treasurer of the Germania Savings Bank of Jersey City, has gone to Canada. The bank has suspended, and hundreds of its poor depositors are impoverished. EDWARD UNGER, of New York, has confessed the murder of August Bohle, whose mutilated body he shipped to Baltimore in a trunk Near Stockdale, Pennsylvania, a young wife killed her brutal husband. who had threatened her life. She was immediately placed on trial for murder, without counsel or witnesses, and when the Judge directed the jury to acquit her the court room resounded with cheers.