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CRIMINAL NOW IN JAIL. Old Institution Forced to Close Its Doors_ Run on Other Banks - Checks and Stubs Fail to Agree-Wealthy Relatives May Make Good The Deficiency. Ocean Grove and called at the bank New ork, July 14.-George M. Valenand wanted to know where her hustine, cashier of the Middlesex County band was. This was the first intimaBank of Perth Amboy, N. J., which tion she had that he was not on duty, was closed this morning, surrendered and showed the officials that Valentine was not at the seashore, as at first aphimself late today and is now in jail on peared. account of a shortage in the bank's On Monday the Park National Bank funds, which has been estimated as of New York charged the Middlesex high as $16,000. bank with checks, said to amount to over $4000, which are said to have been The affair caused consternation drawn on it against the account of the among the business men of the conserMiddlesex by Valentine. vative old town of Perth Amboy, where A detailed investigation of matters by President Watson and Robert N. the Middlesex County Bank was conValentine, the father of the cashier, sidered as strong as the hills. When it showed that the cashier's plan of operwas learned that the Middlesex County ation was extremely simple. It was discovered that the cashier's checks Bank had failed to open for business, and the stubs did not correspond, that crowds surrounded the Perth Amboy the checks called for more money than savings institution. The officers of the the stub recorded, and that, while takMiddlesex County Bank and the officers ing the stub as the basis of accounting, the bank's finances would figure out of the Perth Amboy Savings Instituall right, the checks would show that tion are identical, the business of both the bank had been drawing heavily on banks having been transacted over the its New York correspondent, the Park same counters. Hence to those not faNational. miliar with banking details the susThe cashier, in fact, carried the acpension at the offices of the one bank counts on the stubs and from them to seemed to presage the downfall of the the books correctly, but when the reother institution. turns from the cashier's checks he It became necessary to call upon the pocketed the difference between the police to maintain order. U. B. Watstub and the check. Four or five months son, the president of both banks, stated of this method of financiering depleted that the funds of the Perth Amboy the bank's reserve monies and brought Savings Institution, were not touched, it to the verge of ruin. Then the cashthat the $300,000 deposited to the acier evidently secured a portion of the count of the savings institution was ready cash on hand and left Perth Amabsolutely safe, and that no matter boy. how badly the Middlesex County Bank Thursday night the determination to had been attacked the savings bank clòse the bank was reached, and Mr. would be able to meet all demands Watson notified Chief of Police Burke made upon it by depositors. These and asked him to locate the missing words of assurance had the effect of cashier. Valentine, who had been in checking the run on the bank during New York city, returned to Perth Amthe afternoon, though all day long boy from Woodbridge, accompanied by crowds in the vicinity of the bank his counsel, Edward Savage of Rahwatched proceedings with the greatest way. He declined to go into details interest. about the shortage of the bank, except The notice posted on the door of the to say that he was very sorry that he Middlesex County Bank this morning had got his friends into trouble, and was as folows: 'Bank closed. In the that he felt very bad about his wife hands of banking department." and children. Monday last, Cashier George M. ValPresident Watson is of the opinion entine evidently concluded that he that the cashier's defalcation will could no longer conceal the shortage amount to at least $125,000. Where the at the Middlesex County bank. Monmoney went to is not known, as the day morning he telephoned President cashier is said to have been moderate Watson that he was detained, but he in his tastes and habits of life. He was explained that he would return at something of a dog fancier and some of noon. The bank had then opened for his prize animals have taken prebusiness and Mr. Watson, who was miums at exhibitions in New York taking the absent cashier's place, discity. but even in this particular his excovered that there should have been penditures are not believed to have some $7900 in bills on hand to combeen extravagant. mence operations that morning. He The Middlesex county bank was could not find this money in the vault. operated under a state charter, and had This was the money carried over from been in operation many years. It had Saturday to commence with on Monday its inception as a savings institution, morning. but the demand for a bank of sufficient Mr. Watson had been searching for scope to take accounts caused the savit when Valentine called up. He asked ings bank people to organize the state Valentine where this money was and band. Except in name and in the acwas told it had been placed in *the counts the two institutions were the cashier's drawer. Mr. Watson resame. marked that that was no place for it, Robert N. Valentine, the cashier's but rang off on the telephone and went father, has long been connected with to get it. A duplicate key to the drawer both the state and the savings bank. indicated was obtained and the drawer He is a member of the firm of N. G. opened, but no money could be found. Valentine & Co., of Woodbridge, fireRobert N. Vaneltine, the cashier's faclay brick dealers. The cashier was for ther. was summoned, and he aided it years a clerk in the Park National hte search for the missing money. It Bank of New York. In 1893 "he was could not be found, and finally the mide cashier of the Middlesex County work of checking was begun. Then it Bank. His band was fixed for $50,000. became evident that during the last His relatives are wealthy, and it is few months the accounts of the bank said they will endeavor to make good had been juggled. The other trustees the shortage. Mrs. Valentine and her children, who were summoned, and the banking department was notified to send an exhad been spending the summer at Ocean Grove, have returned to the aminer. Deputy Commissioner of home of her husband's father at WoodBanking Johnson appeared in esponse. bridge. Mrs. Valentine is said to be completely prostrated because of the On Wednesday Mrs. Valentine, the event. wife of the cashier, returned from