The Columbia Democrat. [volume] (Bloomsburg, Pa.) 1837-1850, 1839-03-30
CASE Of THoM1s ". DYoTT:


may be accounted for by the MANY interest
ed, the curiosity Of the town in regard TO
the anomalous institution Of which the Pc
t,ioner was the parent, and the peculiarly
of the disclosures revealed by its prominent
officer. We have beeh guarded; and now
are cautious, not to permit our columns TO
bass public opinion;or preengage the judge
ment Of those who, in certain contingen-
cy, will become the tribunal to decide it,Bu.
we will not withhold brief SYLLABUS of
the cause; as 1t will crafty, and perhaps
tectify public sentiment.
II appears that in February, 1886, DR..
Dyott commenced saving fund, and pro-
cured the services Of Stephen Simpson, as
cashier, Peter Y. Calder, as teller In May;
1886, the depos IS having amounted to
$4,000, and the Legislature having refused
him banking charter, he began the busi-
hes Of banker, receiving savings and cur
rent deposits, and Using his own bills as
circulating medium. His deposits and is:
sues increased rapidly. In 1886, he re-
ceived in saving deposits $50, 900, and i'll
1887, 100000; and his issues Of small bills
up to November, 1887, were about $685.
600; of which however, $45,000 laid dor;
msnt in the hands Of, Messrs, Ridgway and
Mani: In April and May, 1887, the gen.
eral run for specie affected his institution,
and, may have destroyed it, but the suspen-
sion of May, 1887, gave him relief, and as
his credit became more firm, his issues in
creased from June to October, 1887, from
eighty to two hundred and thirty thousand
dollars: In May 1887, his credit was as
sisted by the consent of Jacob Ridgway,
Esq. to take the position of Trustee, and
the extensive publication of that fact. The
means Of the bank up to November, 1887,
were Employed In diScounting Bills, on
which he usually received small Premium,
say or one per cent off the face of the
notes; in addition to legal interest. In some
cases; however, the premium was larger
In NovembSr; 1887, a run upon the bank
notes took place, which no doubt was the
mere caprice of panic Of the Note holders,
and no provision against such an exikency
having been made, day or two put an end
10 his redemptions. At this time, and al
no time, were there any available funds ir
the vault. The petitioner always took the
good money deposited as soon as received
and he supplied the occasional demands fol
it, as it was needed. The suspension o
November, 1887, was therefore the nccessa
ry consequence Of this want Of foreslgh
and prudence:
| in July, 1897, finding his bank increas,
in business. and pfoft, he sold out his dru,
st5re to J. B. & G. w. Dyott, for $50 900
and took 1000 dollars rent for the pfc
! misesI and good will Of the establishment
and leased his glass works 10 M. b. Dyoti
at $4,000 dollars yeat; in order to permi
him to give his undivided attention 10 III
Bank.
The suspension Of November, l s37, wa
: followed by arrangements to redeem hi
notes they wete taken for goods at tn
drug and glass stores; TO the amount of on
J bundled thousand dollars and redeeme
al the stores in Second above and belo,
Race street, and at the glass works; fc
+ which purpose wete opened there groeery
4 dry good and variety, bakery and butcl
Y ering establishments. He also obtaine
: traders to take them for goods, who mad
: special deposites of them, and aftetwafi
obtained their pay, amounting to ten thot
j sand dollars.
e In February, 1898, DR.. Dyoit began
3 issue post notes at one year, and emitted I
E the atriount of one hundred and fifteen thot
sand dollars OF which, foIty-ssven thot
: sand dollars were used to purchase good
: and sixty-eight thousand given to W. {
: Edwards, TO borrow money on their hv
: pothecatlon' The goods were transfetft
!, to his sons and nephews, as soon as bough
s and some ofthem retailed 10 redeem h
E biHs; and of the post notes given 10 E,
n wards, they were sold or pledged at variot
rates, for rs to so per cent, cash; but II
: petitioner denied that he had received moi
d than seventeen thousand dollars of their
: walls in cash.
s In the years 1887 and l63s, he borrow,
= OF Mr.: Rldgway one hundred thousand dc
= lars in cash, Of which amount thirty tho
b sand dollars was for bills or other seouri.i,
S or repaidi leaving a balance Of sixty-s
thousand now due. Mr.. Ridgway's iir
: security was the pledge Of an invoice
: glassWste, valued at ninety-th1ee thousan
h insured from fire, but this pledge was so
9 by DR.. Dyotl, to the young Dyous; al
their bonds afterwards given as eollstesal
Q The debt