The herald and news. (Newberry S.C.) 1903-1937, October 21, 1910, Page SIX, Image 6
MORE TESTIMONY
IN CARLISLE CASE
CASHIER HUNTER PRINCIPAL
WITNESS.
Government Closed Case on Tues
day.-The Defense Offers No
Testimony.
Greenville Ne's, Oct. IS.
Beginning the second week yester
day in the trial of Milton A. Carlisle,
charged with the misapplication of
the funds of the Newberry National
bank, of which he was formerly presi
dent, the government will close its
case this morning, with the remain
ing of the cross-examination of Mr.
Sherrill Smith, banking accountant in
the government service. The special
term of the district court called to
try this case. was begun last Monday,
and it is thought that it will be com
pleted within the next day or two.
The principal witnesses at yester
day's session were Mr. Joseph H.
Hunter, cashier of the Newberry Na
tional bank during the years indicat
ed in the indictment, 1907 and 1908,
and Mr. Smith, who made an investi
gation into the affairs of the bank
during Augusta of last year, just prior
to the drawing up of the indictment,
which was rendered a true bill by
the grand jury at the regular session
of the district court in this city last
October. Nothing particulairly new
developed yesterday in the testimony,
though many details of the affairs of
both the bank and of Mr. Carlisle
which were not brought out last week
were revealed, and a large portion
of the ground covered during the tak
ing of the testimony on the days pre
ceding, was gone over again with
these witnesses.
Judge Brawley called the court to
order about ten o'clock yesterday
morning. and District Attorney Er
nest F. Cochrane, called back to the
stand one or two of the witnesses
who had testified during the week
preceding. to clear up one or two
matters which had been gone over
then, and to bring out a few addition
al details of the transactions.
Mr. B. C. Matthews, present presi
dent of the bank, was first called to
the stand. It will be remembered
that among the counts in the indict
ment, are several to the effect that
Mr. Carlisle certified checks when the
drawees had not the amount on de
posit at the time. It was 'brought out
last week that Mr. Carlisle had cer
tified a check for Mr. J. A. Black
welder, :he transaction being fully
explained at that time. Mr. Black
welder drew a check in favor of the
Standard Oil comj.any for $558. He
did not have the funds on deposit at
that time in the Newberry National
bank, but asked Mr. Carlisle to cer
tify same, showing him that he had
$1,500 available at Winston-Salem, N.
C., with authority to draw upon it.
UTpon the assurance that the draft
would be deposited at once, and that
the funds would be in the bank by
time the check returned for collection,
Mr. Carlisle, it appears from the tes
timony, certified the check'. It appear
ed from an examination of the books,
that the check had been entered for
payment, on the 16th of June, 1908,
and that the draft had been entered
for collection on the 17th, the pro
ceeds returning on the 19th. Dis
count slips were brought into evi
dence, however, which showed that
the draft had been entered on the
same day that the check had been
paid. Mr. Matthws identified the dis
count slips, and testified that the draft
ha~c probably not bcen brought in IP:
til after the books had been closed,j
leing entered as of the following day,
according to the customs of the bank.
The defense endeavored to bring out
that when the check was cashed, the
funds were in the bank to meet it.
This matter was brought up later in
the day more fully, during the cross
examination of Mr. Hunter.
Mr. Robert Norris, a witness of the
past week, a director in the bank,
was also returned to the stand, for a
few minutes, to clear up some de
tails in regard to the action of the
discount committee, appointed to ap-'
prove loans, etc.
The principal witness of the morn
ing session was Mr. Joseph H. Huu
ter. Mr. Hunter was cashier of the
bank for two years, resigning this
position in January, 1909. He was
also a director, and by virtue of this
office, always appointed as chairman
of the finance committee, which had
in charge the supervision of loans,
etc.
Mr. Hunter was given a number of
checks, drawn by Mr. Carlisle, both
in his individual name, and as pres
ident and treasurer of the Cold Point
Granite company, the indictment al
leging that he overdrew both these
accounts, with the knowledge that
neither he nor the quarry company
so drawn. Many of these checks
were marked "0. K. M. A. C. Pt."
signifying that they had passed
through the hands of Mr. Carlisle be
fore having the funds paid out upon
them. Some of them, however, were
not so marked, and Mr. Hunter tes:i
fled that these had been paid upon the
assurance of Mr. Carlisle, before the
checks had come in, that the checks
would be in, and that he would pro
vide for their payment. Mr. Cochrane,
however, explained that these checks
not so marked, were not among the
counts in the indictment. The checks
marked 0. K. had been presented to
Mr. Carlisle before they were paid
When asked why he permitted Mr.
Carlisle to overdraw his account in
this manner, in the face of the reso
lution which had been passed by the
directors to prevent these overdrafts
without the approval of the finance
committee, Mr. Hunter answered that
Mr. Carlisle was president of the
bank, and it was brought out that he
looked upon him as his superior of
ficer. Mr. Hunter stated that he did
not approve the overdrafts, and had
told Mr. Carlisle he ought not to do it.
In regard to the notes made by Mr.
Carlisle to cover his overdrafts, Mr.
Hunter stated that he allowed these
to get the account into a better shape
Checks on the plantation account of
Mr. Carlisle were also presented,
identified, and gone over in like man
ner.
Under the cross-examination by
Mr. Dominick, for the defense, Mr.
Hunter was asked concerning the
condition of Mr. Carlisle's account at
the beginning of his term as cashier,
in 1907. In January of that year, it
was brought out, Mr. Carlisle was in
debted to the bank by about $12,000
In notes, and about a thousand in
overdrafts, making a total indebted
ness of about thirteen thousand dol
lars. During the latter part of No
vember, 1908, this indebtedness had
reached a total of slightly exceeding
eighteen thousand dollars.
Indebtedness of Other Directors.
One rather interesting statement
made by Mr. Hunter, in answer to a
question by Mr. Dominick, was that
the total indebtedness of the directors
of the bank, to the bank, was in
March, 1906, about $73,000, of which
Mr. Carlisle's was only about $14,000.
In 1907, the total indebtedness of the
directors was about $67,000, Mr. Car
lisle's being about $13,000 of this
amount.
Mr. Cochrane objected to this testi
mony, and some -argument took
place, during the course of which
some remarks were made which
would lead one to believe that there
may be other prosecutions similar to
that of Mr. Carlisle. Judge Brawley
ruled that further testimony along
this line was irrelevant.
The note for $250, relative to the
plantt ton account of Mr. Carlisle
was brought up aglain during the
cross-examination. This was a de
mand note, which it is alleged was
never paid. It was brought out in
the examination by Mr. Dominicle,
however, that on several occasions
following the making of this note,
there were sufficient funds on hand
in this account to pay the note, and
that Mr. Hunter could have paid it
out of these, the banking laws allow
ing this. This, however, Mr. Hunter
stated that he never tried to do.
It was also brought out as last week
that Mr. Carlisle's salary had been
applied to his indebtedness each
month, and that the board of direc
trs knew of these overdrafts, etc.,
at their meeting of January, 1908,
when Mr. Carlisle was reelected presi
dent. Mr. Hunter also acknowledged
that the relations between himself
and Mr. Carlisle had been somewhat
strained at times. A good many of
the members of the board of direc
tors knew of the overdrafts, but Mr.
Eunter did not recall any special ac
tion in regard to it, though many of
the directors had asked Mr. Carlisle
to get his account in shape. Mr. Hun
er stated also that he had received
no instructions from the board in re
ard to the overdrafts, except a gen
eral resolution adopted, which left the
maatter in the hands of the finance
ommittee, of which he was chairman.
his, however, contained no mention
f the Cold Point or individual ac
ounts of Mr. Carlisle. When asked:
f the entire front part of the bank
ad not been in charge of the cash
er, Mr. Hunter replied no, and later
stated that the president always made
the loans. When asked if he could not
have refused to cash these checks,
Mr. Hunter replied that he could have
hardly refused checks signed by the
president. Mr. Hunteti also stated
that he had not made any report to
the board in regard to these matters.
The Blackwelder draft, and the cer
tified check, was taken up by the
prosecution and defense attorneys,
during the cross-examination of Mr.
Hunter. After the situation had been
gone over, and the discount slips,
showing the entry of the draft on the
16th of June, 1908, the examination
of the books. which showed the cash
ing of the Standard Oil company
check on the 16th, and the entry of
the draft for ccolection on the 17th.
Mr. Hunter was asked if he would
have paid the check even though c;r
tified, if there had been no runds in
Leather only
.e shoe dealers will tell
ey can't give you a good,
e shoe for $2.00 or $2.50.
are right, they can't.
2.00 shoe they sell is made
a demand at this price
)t to wear. It is made of
conds-from sole to heel.
The
Southern Girl
$2.00 Shoe $2.50
oman who tries it for the
he equal of shoes that cost
:es the foot feel perfectly at
3 any shoe you ever bought
live leather-a quality sole,
gs. How can we afford it?
i your town; he knows-he will
11 on the Box.
-TERRY CO.,
urg, Va.
mie WO nen
ra I__
N _
"Yes, I'l be ready when you t
rms and in rural districts
I enjoy social pleasures.
-the work is too urgent.
and listless when robbed
Telephone
es women to talk with neigh-.
Live to the news of the day.
you can have a telephone in
70men living in the country
tartment
[ELEPHONE f
C OM PANY -
tlanta, Ga.
Dr. J. W. Pearson
Pyhsician and Surgeon
Over Eastman Drng Store.
Hot Springs a- Arkansas
BEEPER LANDS TO BE SOLD.
It is probable that the lands of the
late William D. Reeder and Mrs. E.
Jane Reeder, near Jalapa, will be sold
the first Monday in December. I will
be glad for persons who contemplate
buying these lands, or a part of same,
to call to see me.
Eugene S. Blease,
Attorney for J. C. Reeder, Executor.
10-14-2t.
The Call of the Blood
for purification, finds voice in pimples,
boils, sallow complexion, a jaundiced
look, moth pal:ches and blotches on
the skin-all signs of liver trouble.
But Dr. King's New Life Pills make
rich red blood; give clear skin, rosy
cheeks, fine complexion, health. Try
them 25c. at W. E. Pelham's.
COLLECTION OF TOWN TAXES.
Notice is hereby given that ~the tax
books for the Town of Newberry, S.
C., will be opened from the 15th day
of October to the 30th day of Novem
ber, 1910, both inclusive. A penalty
of 10 per cent. will be added af'er No
vember 30.
J. R. Scurry,
10-14-tf. C. T. C.
Round Trip Excursion Rates to the
State Fair, Columbia, S. C.
The Southern railway announces
very low rates to Columbia, S. c., ac
count of the State fair. Tickets on
sale October 29 to November 4, in
cusive, with final limit returning No
vember 6, 1910. Individual round
trip rates, including one admission to
the fair grounds from Newberry, will
be $2.05. Extra coaches will be pro
videdon all trains during fair week.
We use Live
Sor
you th
durabl
They
The$
to fill
n<
se
This same shoe in
our "Autograph"
brand, $2.50 and $3.00,
is Goodyear welt sewed;
10 Our College Woman's Walk
lg Shoe, $3.00, $3.50, $4.00,
it equals the best custom make.
is a revelation to every vw
first time. In style it is t
double the money. It mal
home. It wears better thai
for$2.00-because weuse
insole, counter, heel, linin
Go to the Craddock dealer i:
tell you. Look for the Red Be
CRADDOCK
Lynchb
"Are you gohag to the meeing ?"
Women living on i
haven't time to seek an
Distances are too great
c
Women grow lonesome
of these pleasures.
solves the problem. It enabi
bors and friends and keep a
Our free booklet tells how
your home at small cost. V
should write for it. Address
Farmers Line Dej
SOUTHERN BELL 5
& TELEGRAPH
163 South Pryor St., 2
pli1d th~at ha did not rement>m~ when
this particular check came iii, b t1
after some hesitation, stated t.t,at he
would not have cashed it had there
been no funds on hand to meet it. Ini
rply to a que 1.n from Mr Coch
r?ue as to whether a certifiel check
V. ere not a liabilty of the ban'r Mr.
iPrinick asked Mr. Hunter if he had
not refused to cash a certified chedl
by Mr. Blackwelder, on the second of
January, 1909, knowing there ware no
funds on hand, to which he replied in
the affirmative. It appears from the
testimony that the draft intended to
cover this note, had been entered for
collection at the bank on the same day
that the check had been presented for
collection, but for some reason never
satisfactorily explained, the draft had
not been entered on the bank books
until the day following the 17th.
Mr. Sherrill Smith, bank account
ant in the department of justice of the
government, was the only other wit
ness examined yesterday, and with
the completion of his testimony this
morning, the government will have
closed its case against Mr. Carlisle.
Smith stated that he had been in the
banking business since 1899, and had
been offered this government posi-.
tion during May, 1909. He had been
to Newberry during August, 1909,
staying there some two or three
weeks, making an investigation into
the affairs of the bank, particularly
in regard to the account of Mr. Car
lisle. Following his investigation,
the indictment ha.d been prepared,
which had been redered a true bill
by t*he grand jury at the following
term of the district court in the Oc
tober following.
The personal account of Mr. Car
lisle was overdrawn at the first of
October, 1906, to the extent of $244.24.
Deposits were made up to the early
rart of 1908. amounting to over $18,
(Cnaned on Page seven..
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ton Oil Co. I
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This is Confidential of Course.
W.O. WILSON.
'Phone 202.,
Money to Loan at 51o
To thle Rich or Poor..
From one hundred to thousands,
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Jackson Loan and Trust Co.
OIE 0. & J. T. SMITH, Local Ageats.
Offie at 932 Main St., Newberry, S. C.'i
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