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Another Banker Held in Embezzlement

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Another Banker Held in Embezzlement County Flag Salute Stand SEE STORY BELOW Showers Likely Cloudy and warm with show- THEDAILY FINAL ers likely today and tonight. Fair, warm tomorrow. " Red Bank, Freehold 1 long Branch f (See Details, Page 2) EDITION Monmouth County's Home Newspaper for 92 Years VOL. 93, NO. 39 RED BANK, N. J., THURSDAY, AUGUST 20, 1970 32 PAGES TEN CENTS Another Banker Held in Embezzlement MATAWAN — A 40-year-old Colts Neck man self in his fashionable home in the Clover Hill When the suspect was arraigned in Asbury was being held for psychiatric examination today section of Colts Neck for a number of hours. Park, before U. S. Magistrate David Goldstein, after a dramatic arrest at his home yesterday on Friends and officers outside had failed to per- he waived his right to be represented by counsel charges of allegedly embezzling $125,000 from the suade him to come out. and his right to have a preliminary hearing. Farmers and Merchants National Bank. He was apprehended aty2 p.m. yesterday. ) The magistrate advised Mr. Stenger that he Joseph P. Stenger, assistant cashier of the The Stengers are the parents of four children thought he was making a mistake to refuse Matawan bank, was held in lieu of $100,000 bail in under 11 years of age. counsel. Mr. Stenger replied, "Thank you, your the custody of the U. S. Attorney and was await- honor, but I'll go it alone." ing examination for mental competency. •*••*****••*•**•••*•*•*•***••***•**** Mr. Stenger later appeared before U. S. News of the alleged embezzlement followed District Judge Reynier J. Wortendyke of Newark' just 11 days after the Eatontown National Bank in a specially scheduled competency hearing. He failed because of an alleged $5-million embezzle- was remanded to the custody of the U. S. At- ment. Story Unfolds torney to undergo psychiaUuc observation, said NO CONNECTION an FBI spokesman. By JANE FODERARO U. S. Attorney Frederick B. Lacey said yester- COLTS NECK — The man who was "devot- • Mr. Lacey said that, if the suspect is con- | day's action had no. connection with the current victed, he could face a maximum of five years r ed to the bank" barricaded himself in the bed- investigation of the Eatontown bank. room of his large home for 20 hours, resisting in jail and a $5,000 fine on each count. The number A Farmers and Merchants spokesman said the inevitable — his arrest for an alleged $125,- of counts he might be charge* with was not de- last night that funds missing from his bank are 000 bank embezzement. termined since a grand jury had not handed up. covered by insurance "ten times over." Joseph Paul Stenger, 40-year-old assistant an indictment. Mr. Lacey revealed that when agents of the cashier of Farmers and Merchants Bank, held The FBI yesterday reported the alleged em- Federal Bureau of Investigation and state police off FBI agents and state police with a .45 cali- bezzlement involved $15,000 in cashier's checks. sought to take Mr. Stenger into custody, the sus- ber pistol and threatened suicide . while his But the U. S. Attorney later had upped the figure pect threatened officers with a .45 caliber pistol. mother,' his sister, a Catholic priest and the pres- to $125,000. He also told them he would take his life rather ident of his bank tried to help him. A Farmers and Merchants officer, J. Donald RECOUNTS DETAILS Miller, first vice president, said lalst night that BANK EMPLOYEE COVERS UP—Joseph Paul Stenger, assistant cashier of the than submit to arrest. Hds wife, Ethel, who had been called from a Charles O. Schock today gently recounted preliminary investigation by bank officials this Farmers and Merchants National Bank of Matawan, covers face while being led vacation in Booth Bay Harbor, Me., reportedly those harrowing hours and how the distraught week. revealed that $15,000 was involved. But, to car by federal authorities' in- Newark.. He was arrested on embezzlement Mr. Stenger let him in the bedroom to reveal the by yesterday, it appeared to 'be "considerably snatched the pistol away from him. " : charges. Mr. Stenger reportedly had barricaded him- (See Bank President, Pg 3) more." • ; . • : • ' By WILLIAM J. ZAORSKI Pillsbury acknowledged that going against court decisions While there Is no case law and HALLIE SCHRAEGER there is "no law at all" to which are as much a part of directly on point, Mr. Nagler FREEHOLD — An Ameri- back up Mr. Irwin's position ' the law as legislation Is. said that in his opinion Hold- can Civil liberties Union but added he felt the freehol- "The problem today is that en v. the Elizabeth Board of spokesman yesterday called der director was right. many public officials from the Education which was decided unconstitutional a precedent . T h e. A ,C,L U , however, attorney general of the United by the N. J. Supreme Court in 1 setting policy of the Mon- doesn't agree. '•' States on down to the lowly 1966 applies. mouth County Board of Free- Said Stephen M. Nagler, Monmouth County Board of In that case, some Black holders that those refiiisihg to state ACLU executive direc- Freeholders are too quick to Muslim children, were ex- salute the American flag have tor: violate the law where people's cluded from public school be- no right to speak at its meet- "This is unconscionable. If • rights are concerned. cause they refused to pledge an individual wishes to chal- "They engage in a form of allegiance to the flag,' main- Freeholder Director Joseph lenge it, I'm sure our M6H-" "civile disobedlenceT which js taining they had conscientious C. Irwin,. who Tuesday pre- mouth County Chapter would inos*. virulent because it is scruples against saluting a vented a Freehold resident . be willing to assist him. cloaked with an aitf a of ,goy-,, (i flag and pledging allegiance uring the Dub- ''It's clearly uncon- ernmental authority jind;A(16£* iKJrpiM M He freeholders! stitutional. Case after .case ates the rights of citeSeris:r': "" '•" Respect Need Ruled Meeting because the man.re- states that flag salutes may "Most frequently such act- The state's highest court fused to salute' the American not be made mandatory or a i o n s, are a, direct con- held it would be contrary to flag during the pledge of'idle*' pre-requisite to free speech. t r a v e n t i o n" of the con- their teachings to do so and gia^, yesterday teafftrmed stitutional laws of the United that it would be proper for "A serious law and order : his action. ..',,'.' . problem is the common viola- States as announced by our them to stand at attention v . County Coufosel John MV tion of law by public officials courts." (See Flag, Pg. 2) . ,. By The ASSOCIATED PRESS Israeli officials said the lem was "merely antagoniz- all aimed at trying to evade the zone vest of the Suez Can- The U.S. response to Is- U.t>. government showed a ing the U.S. government with- the U.N. Security Council res- al .'around the time the cease- rael's charges of Egyptian "serious attitude" in. relaying out Washington, being im- olution of 1967 and all inter- fire went into effect" at mid- cease-fire violations brought to Cairo and ' Moscow the pressed by Israel's concern." national efforts must be di- . night Aug. 7. faint praise from Israel today charge that. Egypt, violated Cite Weakness rected toward supporting Am- , '"There is some evidence and a rebuke from Egypt. the terms of the.9,0-day cease- .Egypt's official Middle East bassador Gunnar Jarring's . that this was continued. be- There was speculation that fire by setting,up. antiaircraft News Agency said the Ameri- mission of implementing that yojid the cease-fire deadline," Israel now would be willing to missiles within 30 mUeS of.the can stand "exposed the weak- resolution," the agency said. he. added,- "although our, evi- go ahead with the indirect canal, after the standstill ness of the U.S. government There was no new comment dence of' this is not con- peace talks which it has been hour. ' ' , toward Zionist pressures." It from the Soviet Union, which clusive." ' .• quoted a "responsible delaying. But meanwhile the One,official said Washing- provided Egypt with SAM an- Shortly after McCoskey'B source" as saying Egypt will Israelis made public aerial ton's action amounted to tiaircraft missiles and crews • statement, the Israeli mili- continue to ignore Israel's al- photographs they claimed American acknowledgment of to man them. But earlier yes- tary command in, Tel Aviv legations about Egyptian mis- proved their government's the "sincerity of Israel's con- terday Pravda said the Is- displayed pictures it called sile movements. charges of new Egyptian mis- cern" about the missiles and raeli charges were false and "conclusive proof" that the sile deployment close to the contradicted assumptions in •It is clear that the Israeli were an attempt to prevent a missile deployment extended Suez Canal. the Israeli press that Jerusa- propaganda campaigns are Middle East political settle- past the cease-fire deadline. ment. A senior officer showed State Department Press Of- newsmen aerial photographs ficer Robert J. McCloskey he- said were of four SAM2 READY FOR DUMPING OF EXPLOSIVES — Navyman views Ship which will carry outlined the U.S. response to batteries between the Qreat 5,000 tons of explosives for dumping in the Atlantic Ocean. The U. S. Navy said Cambodian Positions the Israeli charges in a state- Bitter Lake and the area just that because of "public concern" it has switched the dumping site from 150 miles ment Wednesday.
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