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BANK IS WRECKED BY $290,000 THEFT Dayton Official's Embezzlement Ruins Institution-Depositors May Be Paid. By the Associated Press. DAYTON, Ohio, August 17.-After a lengthy meeting last night, which ended after midnight, the directors of the American National Bank and Trust Company announced this morning that they believed a solution of the financial difficulties of the bank, caused by the alleged defalcations of Fred W. Hecht. second vice president and cashier. was near at hand. The directors will meet again today to pass on a proposal made by a Dayton bank to take over the business of the institution. J. Edward Sauer, president of the American National Bank, said he believed a means would be found to pay all depositors in full. It was learned that the bank never would open its doors for business again. If all other plans fail a receiver likely will be named. Hecht was unable to give $50,000 bond. after being bound over to the grand jury by United States Commissioner Carl Lenz yesterday, and was returned to the county jail. It is believed. however, his father, the Rev. M. C. Hecht, and friends will come to the aid of the former bank official today and that he will be released pending his hearing in Cincinnati. Hecht's case will be taken before the federal grand jury at Cincinnati, which meets in November. Hecht claims his defalcations were to pay blackmailers who threatened exposure of former business transactions. Hecht has not revealed the nature of the transactions which he feared were to be exposed. although, he says, they were outside of bank affairs. His known shortage stands at $290.000. all in the form of forged notes. Late Thursday it was suspected that other securities had been tampered with. and that the total defalcation may run as high as $325,000. Funds of depositors are believed to be safe, although it may be some time before they are paid in full. The federal authorties hold a signed confession by Hecht, acknowleding forgery. Hecht's salary was $3,000 a year. One of Hecht's forgeries for a note of $1,000 is said to bear the name of his aged father. Rev. M. C. Hecht.
