Marshall County Republican. (Plymouth, Ind.) 1856-1878, 1857-09-03


% p Dbl BY the quantity, for s. F.
Failure Of the Ohio Life Insurance and
Tfust Company. M
The New York papers comment of the
failure of the above institution variously,
but all agree that it's suspension is owing
70 the inja,licious aivarc male to Rail-
roads.
The Hsrrid says. 1.-THE announcement
prolucel quite panic, and many of the
most sanguine spectators and tinanciers
began to think that there was, after all,
something more below the surface than they
dreamed Of"
The President, Mr. Cas-. Srersoy. re-
siding in Cincinnati. was telegraphcd for 4
few DAYS since and arrived in New York
on Monday, and after consultation with
the New York Cashier and Trustees was
forced to issue the following announce
men,:
Orr.cr or the Ono LIFE ISs. AND Tsusr Coz
New YoRK, Aug "a, 1875
The unpleasant duty has devolved upon
me to state that this Company had suspend
Ell payment. This event has mainly been
brought about in consequence OF making
loans here to parties who are not able to
respond at this time. would add that the
capital of the Company. two millions, is
sound and reliable. exclusive of such loss
as may arise from insufficiency of securi-
ties pledged for loans above referred to.
G. SrETsoS, President.
The Times thinks that the failure will,
no doubt, carry disaster the principal
Bank in Cincinnati. where large line Of
business-probably the largest in that city
lis carried on in the way of loans and de-
posts.
The Times gives brief history of the
Bank saying:
The concern has no circulating notes, and
did no life insurance business of late years.
The nature Of the business in New York,
where the principal Cashier of the Compa-
ny has been located since the year 1910,
was the charge Of the Eastern accounts OF
the Cincinnati Office; and of its numerous
banks and banking correspondents in the
State Of Ohio-to receive, and, when need
full, negotiate their remittances AMI collec-
tons, and to pay thsir clerks. The State
Agency of Ohio for the registration. trans
fer and interest payments of the Public
Debt. was also kept in the office, though
under the care of a separate State oficc.r--
The transactions have for fifteen years
past been extensive, and, to Western in
terests. of an important character. The
deposit balances in New York offices. dis
counted upon to partial extent. in the
West. and the remainder loanel ont here
by the Cashier, under advice of a Sub
Board of Eastern Trustees. The Capital
of the Company is $4,000. 900, chartered
by the State of Ohio in 1888, restricted for
the greater pant to employment on bond
and mortgage in Ohio. The Banking De-
partment has at no time employed actively
even moiety of the Capital, though hav-
| ing the whole as tine basis of security for
its depositors and other dealers. The
| bonds and mortgages are uDdeTStoou 10 u
OF the best character, being on real estate,
at its value before the introduction OF rail
way improvements in Ohio, which have
qusdrupled its tax list. Some of the loans
of the company have proved unfortunate
They have not only tied up the means de
posted here, but embarrassed the credit o
the concern to an extent which. in the alb
soncc of prompt relief from collections OF
curtailment at home. rendered the suspen-
sion to-day necessity.
The Tribune says that the magnitude
ofthe operations Of this institution through
out the west renders its suspension one Of
the most important financial events since
I the Schuyler frsud, and fears are expressed
that it may produce further commercia
disasters. The home Office is by far The
most important banking Institution in Gin
c.nnati. and the locking mp. even temporal
rily. Of its largs deposits. must prove yer,
/ embarrassing to its dealers in that city,
The amount Of its liabilities is not stated
hut they are estimated at from five to sever