The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1844-02-10
100000

So00,o0O
From the foregoing statement II will be that
this Company commenced its business with capital Of
$20OO 0O0 which was afterwards increased to 300
that this capital was principally secured by bonds of
individuals which bonds were secured by mortgages
The Company commenced in July, 1889, and was en-
Joined by the Chancellor In August l84l Three years
embraced the entire period Of its existenceand yet
the expiration Of this short term OF years. upon entering
upon the discharge OF my duties Receiver found that
not only had the immense capital of this institution
amounting to nearly three and half millions of dollars
been assigned or parted WITH but that the whole assets
which came INTO my hands, consisting Of office furniture
70 were Of very nconsderabe value as must be evident
to any one who will examine the character of the pro-
pery and securities first herein before set forth
How in what could such results be produced
In 40 short period Of time
think the books and papers in my possession, well
as the sworn official returns made by the Company the
comptroller clearly show that this Of its sars was
sed by the General Banking Law by the business
banking as ordinarily or usually conducted.
There were five semi annual sworn returns made to
the Comptroller by this instuton-on the first Mon.
days of January and July lsssand the first Mondays
ofJanuary and July, lSi0-and the first Monday of
January 1874. The first four returns were made under
the oath Of Walter Mead, the Cashier the last return
was made under tho oath of Thomas G. Talmage, the
President This last official statement made after five
ofthe Aforesaid Trusts had been created three of which
Trusts John L. Graham the the Company and
one Of its directors Of the trustees and in
which James D. Murray, also director il one of the
trustees; and In another of which, Thomas g. Talmage
the president and Henry Yates one Of the directors
Nv THE last cssnisl statsnlant, IL sppsars--
That the circulating aa notes" OF the company
?. The amount due to Depositors" on the day,
was SI22, 235 10.
der the date Of July d. lsO it is safe infer that the
amount Of cash deposits did not increase after jan
lsa On the contrary SO far have been able to
tain the condition OF the Company from its books there is
not now due owing to depositop sum exceeding
$4,000 ind the whole amount Of claims and demands
salaries of officers and clerks stationary. ard all
incidental ire
scented 10 me Receiver, does not exceed $1,000 and
the Company is not indebted onee dollar for circulating
notes. obtained from issued by the Comptroller.
have realized in cash funds from the securities pledged
with the Comptroller, equal to the whole amount Of
circulating notes issued the Company and registered
with the Comptroller
thus appears that this Company not indebted for sny
circulating notes" issued under the Especial provisions Of
the act to authorize the business Of banking that
not exceeding $4,000 to its cash depostors-and not
ceedng $1,000 to its officers and clerks and for other ord
tits also certain that not of the Eight Trusts crea.
ted by the officers of this Company designed or in
tended for the benefit of the holders of Circulating
notes" issued by registered with the Comptroller
These holders were already protected by the SECURITIES
pledged with the Comptroller for the redemption of the
that purpose Nor these Trusts made to secure
cash depostors the amount due them respecveynor
secure the oil salaries OF officers clerks, &C.,
ren OF Banking House, any other incidental expenses
The losses incurred by the Company in the ordinary
business al Banking very nconsiderabe in amount
when compared with the losses consequent upon or con-
neced with the dealings and specustions Of the Company
in State stocks.
But considerable as were tho losses and expenses of
this Company yet should he stated that by the sworn
official statement made to the Comptroller January 4h
s4 nine months prior to the granting Of said nunc
on the losses the Company ESQ far then ascertain
ed and inclusive OF all expenses SCI and charged on can
ital amounted only to S52274 6Onot equal one sixth
part OF the capital stock stated in the off,
cal Return.
The banking transactions of the Company after January
9TH ls4l must have been very nconsiderabe may he
inferred from the fact that the last discount by the bank
as appears by the Discount DO X, was made in July
1870.
BY inspection of the books minutes &C. in my posses
sion isevden that with the exception OF few months
THIS Company was borrower of money during nearly the
whole period Of its exstence and 1t obtained s loans
rates Of interest fhe expenses attending the esctng
the loans included a part Of the interest which
would require but short time eHecually to use up the
cash means OF any Banking Institution whatever.
To illustrate the mode in which this Company raised or
borrowed money, the following examples will sufce:
40 Bond. million Trust) at case stg.
each, ETA $50 sfg. at par equal to-. s554,tia ~
y Id at a discount Of 10 ret ccnti.e
ER,t73, at par equal to- $35,alt 10
Charges, ommi' sions uron sale. as by
account OF Pamsrs. Nj oKlop Deaf
Co. IS 5ei l8s ~ at par equal to... 1890 IL
James D. MuIny's commission for
making sale OF same, u Of p r cent
FEES paid BY the Compaoy to Gr,h,m ''A
Wood Powers, or heir prof ssionsl
services in the m liter ef the creation
Of be original aud eancc'le and what
is ALLEGED TO be The sutstitutej Nil.
lion Tfu I. to secure the 400 ,nd,.
Salaries IT Trsees in the Mioi
Tnis' rer agreement, and SECURED BY
collateral st'cts'''' $500 $1,000 90 s3,9s3 81
siso,scs
The Company paid TO Mr.. james b. Murray Zone of its
Directory for his services and special