Mr. Steger paused for breath and inquiry, and then, having satisfied himself that his point had been sufficiently made, he continued: “Of course the answer is that he knew he was going to fail.
Well, Mr. Cowperwood’s reply is that he didn’t know anything of the sort. He has personally testified here that it was only at the last moment before it actually happened that he either thought or knew of such an occurrence. Why, then, this alleged refusal to let him have the check to which he was legally entitled?
I think I know. I think I can give a reason if you will hear me out.”
Steger shifted his position and came at the jury from another intellectual angle:
“It was simply because Mr. George W. Stener at that time, owing to a recent notable fire and a panic, imagined for some reason—
perhaps because Mr. Cowperwood cautioned him not to become frightened over local developments generally—that Mr. Cowperwood was going to close his doors; and having considerable money on deposit with him at a low rate of interest, Mr. Stener decided that Mr. Cowperwood must not have any more money—not even the money that was actually due him for services rendered, and that had nothing whatsoever to do with the money loaned him by Mr.
Stener at two and one-half per cent. Now isn’t that a ridiculous situation? But it was because Mr. George W. Stener was filled with his own fears, based on a fire and a panic which had absolutely nothing to do with Mr. Cowperwood’s solvency in the beginning that he decided not to let Frank A. Cowperwood have the money that was actually due him, because he, Stener, was criminally using the city’s money to further his own private interests (through Mr. Cowperwood as a broker), and in danger of being exposed and possibly punished. Now where, I ask you, does the good sense of that decision come in? Is it apparent to you, gentlemen? Was Mr. Cowperwood still an agent for the city at the time he bought the loan certificates as here testified?
He certainly was. If so, was he entitled to that money? Who is going to stand up here and deny it? Where is the question then, as to his right or his honesty in this matter? How does it come in here at all? I can tell you. It sprang solely from one source and from nowhere else, and that is the desire of the politicians of this city to find a scapegoat for the Republican party.
“Now you may think I am going rather far afield for an explanation of this very peculiar decision to prosecute Mr. Cowperwood, an agent of the city, for demanding and receiving what actually belonged to him. But I’m not. Consider the position of the Republican party at that time. Consider the fact that an exposure of the truth in regard to the details of a large defalcation in the city treasury would have a very unsatisfactory effect on the election about to be held. The Republican party had a new city treasurer to elect, a new district attorney. It had been in the habit of allowing its city treasurers the privilege of investing the funds in their possession at a low rate of interest for the benefit of themselves and their friends. Their salaries were small. They had to have some way of eking out a reasonable existence. Was Mr. George Stener responsible for this custom of loaning out the city money? Not at all. Was Mr. Cowperwood? Not at all. The custom had been in vogue long before either Mr.
Cowperwood or Mr. Stener came on the scene. Why, then, this great hue and cry about it now? The entire uproar sprang solely from the fear of Mr. Stener at this juncture, the fear of the politicians at this juncture, of public exposure. No city treasurer had ever been exposed before. It was a new thing to face exposure, to face the risk of having the public’s attention called to a rather nefarious practice of which Mr. Stener was taking advantage, that was all. A great fire and a panic were endangering the security and well-being of many a financial organization in the city—Mr. Cowperwood’s among others. It meant many possible failures, and many possible failures meant one possible failure. If Frank A. Cowperwood failed, he would fail owing the city of Philadelphia five hundred thousand dollars, borrowed from the city treasurer at the very low rate of interest of two and one-half per cent. Anything very detrimental to Mr.
Cowperwood in that? Had he gone to the city treasurer and asked to be loaned money at two and one-half per cent.? If he had, was there anything criminal in it from a business point of view?
Isn’t a man entitled to borrow money from any source he can at the lowest possible rate of interest? Did Mr. Stener have to loan it to Mr. Cowperwood if he did not want to? As a matter of fact didn’t he testify here to-day that he personally had sent for Mr. Cowperwood in the first place? Why, then, in Heaven’s name, this excited charge of larceny, larceny as bailee, embezzlement, embezzlement on a check, etc., etc.?
“Once more, gentlemen, listen. I’ll tell you why. The men who stood behind Stener, and whose bidding he was doing, wanted to make a political scapegoat of some one—of Frank Algernon Cowperwood, if they couldn’t get any one else. That’s why.
No other reason under God’s blue sky, not one. Why, if Mr.
Cowperwood needed more money just at that time to tide him over, it would have been good policy for them to have given it to him and hushed this matter up. It would have been illegal—
though not any more illegal than anything else that has ever been done in this connection—but it would have been safer.
Fear, gentlemen, fear, lack of courage, inability to meet a great crisis when a great crisis appears, was all that really prevented them from doing this. They were afraid to place confidence in a man who had never heretofore betrayed their trust and from whose loyalty and great financial ability they and the city had been reaping large profits. The reigning city treasurer of the time didn’t have the courage to go on in the face of fire and panic and the rumors of possible failure, and stick by his illegal guns; and so he decided to draw in his horns as testified here to-day—to ask Mr. Cowperwood to return all or at least a big part of the five hundred thousand dollars he had loaned him, and which Cowperwood had been actually using for his, Stener’s benefit, and to refuse him in addition the money that was actually due him for an authorized purchase of city loan. Was Cowperwood guilty as an agent in any of these transactions? Not in the least. Was there any suit pending to make him return the five hundred thousand dollars of city money involved in his present failure? Not at all. It was simply a case of wild, silly panic on the part of George W. Stener, and a strong desire on the part of the Republican party leaders, once they discovered what the situation was, to find some one outside of Stener, the party treasurer, upon whom they could blame the shortage in the treasury. You heard what Mr.
Cowperwood testified to here in this case to-day—that he went to Mr. Stener to forfend against any possible action of this kind in the first place. And it was because of this very warning that Mr. Stener became wildly excited, lost his head, and wanted Mr. Cowperwood to return him all his money, all the five hundred thousand dollars he had loaned him at two and one-half per cent. Isn’t that silly financial business at the best? Wasn’t that a fine time to try to call a perfectly legal loan?
“But now to return to this particular check of sixty thousand dollars. When Mr. Cowperwood called that last afternoon before he failed, Mr. Stener testified that he told him that he couldn’t have any more money, that it was impossible, and that then Mr.
Cowperwood went out into his general office and without his knowledge or consent persuaded his chief clerk and secretary, Mr. Albert Stires, to give him a check for sixty thousand dollars, to which he was not entitled and on which he, Stener, would have stopped payment if he had known.
“What nonsense! Why didn’t he know? The books were there, open to him. Mr. Stires told him the first thing the next morning.
Mr. Cowperwood thought nothing of it, for he was entitled to it, and could collect it in any court of law having jurisdiction in such cases, failure or no failure. It is silly for Mr. Stener to say he would have stopped payment. Such a claim was probably an afterthought of the next morning after he had talked with his friends, the politicians, and was all a part, a trick, a trap, to provide the Republican party with a scapegoat at this time.