Vermont phÅ“nix. [volume] (Brattleboro, Vt.) 1834-1955, 1844-07-19
ESSEX COUNTY BANK AT GuILDHALI.


The New York Express, in one fits money art-
cles, has the following:
ave believe II is now seven wears since the assets Of
the Guildhall Bank VT passed into the hands of Re-
cevers and from that day this not dollar not even
statement of what they have collected, or what they
have DONE has been furnished to the creditors"
There are very good reasons why the Receiver
has never furnished dollar TO the creditors of the
Bank There no dollars to furnish The as
sets of the Bank at the time of its failure were
nearly worthless, and there has not been enough
realized from them TO pay the expenses of eSamina-
ton and settlement. The whole amount collected
by the Receiver from the assets, is $64O2 of which
$5639 was collected in the bills of the Bank leav-
ing only $763 in the hands OF the Receiver towards
paying expenses.
There had been deposited with the Receiver BY
claimants, during the time limited by the Chancel-
Tor for the presentation Of claims, bills TO the
amount of 1874 ,426, to meet which he has not sin.
gle dollar in his hands.
This sum of 1874 ,426 must be paid by the Safety
Fund, unless there exists some sufficient objection
TO the validity of the claims, or portion of
them. The Banks interested in the Safety Fund
believe that such objection does exist towards a
large portion of this sum. They believe that about
$4,000 of these bills have been actually redeemed
by the Agents of the Bank and were in the hands
of such Agents redeemed bills at the t;aie OF the
future Of the Bank. The Safety Fund was eshb.
lished 10 the creditors of the Bank, conse-
quenty if these bills have been redeemed they are
no longer debts against the Bank, and cannot be
presented as valid claims against the Safety Fund
for the Bank has already by its agents done what
the Safety Fund was established 10 dot has re-
deemed the bills.
The facts briefly stated are these AT the time
of the failure Of the Bank, and for year before il
belonged TO Mack d. Townshend, of Western New
York, and they undoubtedly intended to give the
Bank a false credit for the purpose of defraudins
the people, and they employed some well known
brokers in New York to redeem the bills at one pei
cent. discount at their Offices, and for this purpose
placed considerable sums Of money in their hands
These brokers redeemed bills to the amount
placed in their hands, and upon the credit of Mach
d Townshend, continued to redeem beyond tina
amount. They did not buy the bills trus,ingto the
credit of the Bank, for the purpose of selling
again, but as Agents for Mack & Townshend the
owners Of the Bank, they redeemed the bills. The
bills then had done their Office work-they hac
been circulated and redeemed and as hills were no
claims against the Bank until re-issued. If hacl
& Townsend have any claims against the Bank 70
redeeming these bills, the Bank will meet then
when presented, with Mack a. Townsend's paper
of which, unfortunately, it has a large supply.
Some $2S, 900 of the $34 ,426 of bills presented
are claimed by brokers who received them in In,
way stated. The sound banks believe them to b,
redeemed bills, and consequently not chargable upor
the Safety Fund, and the matter is pending il
Chancery. When adjudicated, the Safety FunC
will promptly meet all the liabilities that devolvt
upon it.
We have thought best to say thus much in ex
PLANTATION of the delay in closing the affairs of thu
Essex County Bank. We are sorry that the New
Workers should have tried their hand at banking il
Vermont, and thus in any way have injured tn
fair fame of our State and its institutions.