1908-03-17-New York Times-Arrest Dresser for Misappropriation
New York Times
17 March 1908, page 8
ARREST DRESSER FOR MISAPPROPRIATION
Ex-President of Trust Co. of the Republic Charged with Illegally Retaining $4,000.
SHIPBUILDING TRUST ECHO
Bonds of Defunct Corporation Involved in the Transaction -- He Denies the Charge and Says It's Persecution.
Daniel Leroy Dresser, ex-President of the Trust Company of the Republic, and chief promoter of the Shipbuilding Trust, was arrested yesterday by Lieutenant Detective Woodbridge and arraigned before Magistrate Barlow in the Toombs Court on a charge of misappropriating the sum of $4,000 given him by William S. Andrews, Commissioner of Records, in January, 1903, to take up a draft discounted in Paris by John W. Young, a son of Brigham Young of Salt Lake, Utah, who was Mr. Andrew's client.
The affidavits, made by Mr. Andrews and produced in court by Abraham Levy, his attorney, allege that on Dec. 12 the complainant gave Dresser 316 bonds of the United States Shipbuilding Company of $1,000 value each, which belonged to his client, Mr. Young, for him to negotiate a loan on them and hold the bonds in trust until Aug. 1, 1903.
Mr. Dresser failed to negotiate the loan, and in January, 1903he offered to return fifty bonds if Mr. Andrews would give him $10,000 to take up three drafts drawn by Mr. Dresser in favor of Mr. Young--two for $3,000 each and one for $4,000.
The two drafts for $3,000 each were taken up by Mr. Dresser with the money sent to him by Mr. Andrews, but the third draft for $4,000 was held in Paris in consequence of a suit against Mr. Young, and it is alleged that Mr. Dresser appropriated the money for that draft to his own uses.
An affidavid made by John W. Young, corroborating theone made by Mr. Andrews, stated that he had presented the draft for $4,000 for collection and that Mr. Dresser refused to pay it, although Mr. Andrews had informed Mr. Young that the money had been sent to Mr. Dresser.
In his defense Mr. Dresser said, through his counsel, Frank Sullivan Smith, that the charges were preposterous and moreover they were outlawed by the Statute of Limitations.
After hearing the evidence Magistrate Barlow adjourned the case until next Monday at 2 o'clock, and paroled Mr. Dresser on his own recognizance, with the consent of Mr. Levy, to appear in court on that date.
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