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$306,000 FRAUD LAID TO BANKERS Two Officers of Mutual Trust Co., of Orange, N. J., Accused. Warrants charging conspiracy to defraud the Mutual Trust Company, of Orange, N. J., out of $306,000, were issued yesterday in Newark for the arrest of Edwin H. Hatch and Thomas S. Byrne, respectively vice-president and secretary-treasurer of the company, which on Monday was ordered closed by the State Bank Commissioner, George M. La Monte. Mr. Hatch, who has been treasurer of the N. W. Halsey Company, of 49 Wall Street, for a number of years, is at his home, in Maplewood, convalescing from an operation for appendicitis, and cannot be brought to the courthouse for arraignment for at least ten days. A county detective has been w detailed to keep him under surveillance. Counsel for Byrne, as soon as he heard of the issuance of the warrants, telephoned Acting Prosecutor Wilbur S. Mott that he would surrender his client at once. This was done, and Byrne was under his counsel, M. Through released $25,000 bail. Edward Colis, Hatch issued a statement yesterday afternoon, in which he said it was at his solicitation that Byrne certified to checks in excess of his deposits, and that he wished to relieve him of responsibility. $34,000 Deposit Swelled. The over-certification of deposits, which brought the trust company into trouble, occurred on May 18 last, it is alleged. The day previous Hatch deposited $34,000 to his account. The over-certificates to his credit numbered seven, it is said, of which six were for $50,000 each and one for $40,000. making $306,000 over the amount he had The checks were hypotheNew York and it on cated deposit. in other of places, over-ceris alleged, and no record tification was entered in the bankbooks. In a brief confession to the prosecutor Byrne said that Hatch came to him and urged him to make the over-certifications. Hatch told him, he says, had been carrying negotiable of former Senator that he had to time Byrne to as that paper For jr., so a he long long refused James make Smith, do good. he said, conhe had been told by sented Hatch wished, after but finally that 80 doing he would save the bank. "Mr. Hatch told me how he saved the bank in the panic of 1907," Byrne said, "and how he saved it again in November, 1915, when Senator Smith failed. He said that if I would sign the certificate, which would only be for a short time, or until he could get out or two large was that it be as and that it well, for of tied one his up in, interests, would but would deals be the not the that bank's only sav- he this understood that cent from Mr. nor clearly ing ceive "In of one making the bank. confession Hatch, I did I not want did re- it he offer me any money or anything else. I made out the certificate because I did not want to see the bank close, not only for my own sake, but also because I did not want to see the depositors lose their money. I had
