The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1858-02-03

brsed Tor the Use snc peneht OF the bank but how
where has not yet been made apparent 70 this Board
The best investigation which the Board have und err the
pressure Of other duties and in the very short time le
them for that purpose been enable N make has satisfied
them TIA, Of the declared dividends were NOT earned
although from the in which the books Of the hanx
were kept and results exhibited the BOARD there
in every instance apparent surplus which would
have justified their being declared very large propor-
ton Of the deficiency can, In Their opinion be accounted
for paid for usury by the late presi
dent who cold large amounts Of the best bills recev able
Of the bank whenever its exigences seemed u him
interest fer deposits without consultation with report
the board to either The proceeds OF two such sales to
sn sCon, n 1ccsmSsr ,sss
and March, 1854 and do not appear to hhve beeo &C
counted for Other credits in that account are for sums
Of money which obviously belonged to the bank That
account which amounted to more than eight millions Of
dollars during the period for which he held the Once q
president embraces very large transactions with brokers,
but for whom does not appear.
The large sum which they believed TO be justly duo
the bank from the late president demanded at their hands
the most prompt ind energetic action The circumstances
under which be left the country, without any explanation
10 the condition Of the bank; the alarming absence a
the key of which into the possession of the board
after bis DEPARTURE the suits brought against him for large
amounts and the knowledge that he was heavy indebted
personal friends for advances Of money and paper.
left them alternative consistent with the obligations u
duty to their constituents but 70 take the mot DECIDED
and his other CREDITORS so that no preference should be
acquired by The members Of the board did not
hesitate therefore, TO proceed against his property an a.
tachmen issued, and the court has appointed rus
tees, Int motion now pending 70 dissolve IT, which u
as yet undecided.
has been ascertaned that the key the presi
dents safe delivered by him to the acting president
on .ne evening before his departure AM we are now in
formed by Mr. Abone that given by him TO another
director Of the bank at different times during the pre-
cedipg week. while he was confined by sickness to his
chamber.
The board lest time taking the most vigorous mea-
ues for the liquidation of the Indebtedness to the bank
Debtors were urged to avail themselves Of the opportunity
to make payments the obligations Of the bank It's
securities were applied TO the payment of It's debts when
ever it could be done with adv antage
The accounts Of the bank stood on the Both ult -
Assets S3o5, l7s o4
Liabilities. 1,79oO'4 81
Showing nominal surplus of 49,. s5ss 1903 p
No accounts having heen settled with the city banks,
the whole amount OF their ORIGINAL advances is included,
but the Of three hundred and twenty thousand
two hundred and ninety two dollars and eighty four cents
1881 22 SAY has been collected from the securities held
by the three that date leaving the
ness of this bark at 81 46S 7sl 49, exclusive of
counts ana disputed ners II viii De seen that the la
Their partial induced them 10 hope that they
might have something from the wreck for the stockhod
Quent on the insolvency of institution lorg and
honofaby identified with the past history of both They
ever NO Millions to which more than one hundred and
fifty thousand dollars (s150CO0) al ed by the profit
on the sale OF the old banking house and lot could have
been thus dspated Encouraged by the return OF the
late President 10 this country to hope that portion, at
least of the property of the bank might, through his
agency and informatioD be recovered OF its loss az
counted for the board inme diatey invited him TO meet
them Tor the purpose of explanation.
Prior to the receipt OF their resolution, and the day
after bis arrival in this city he had addressed them
note expressing his desire TO do and frankly coumun
cate all the inf Drmaton he possessed.
He has for the past week been in almost daily commu.
ncaton with the beard, or committee OF lis members,
and gwen them much Information as to the manner in
which the affairs of the bank were conducted under bis ad
mnstraoD but as yet none which can be made available
IN any effort 10 improve their present condition. At the
outset, while discainnR all knowledge or belief that he
be was indebted ohe bank single dollar. he voluntarily
thered 80 convey all bis property, subject to such pre-
existing liens he might he unable TO to trus
tee who should be acceptable TO the board 10 be held
until his debt any, could be adjusted and then distr
buted among Is crediDTs.
Mr. Abone estimates the estate he proposes TO transfer
as giving the bank margin OF $780, 900 and above
all eneumbrapees; which amount upon inquiry, we think
may, in time. be realized under proper mAnagement
We are correctly informed to the amount OF the prior
liens.
He claims credits. however, to a large amount. for
other items of which for any bssnce which may
be found due upon an agreement in writing, given By
him to thomas Robins, Esq, to indemnify the Phiade(
pha and other banks to the OF 5000 900, against
spy loss by reason Of their advances to the Bank OF Penn
syvania
The counsel o the bank and Mr.. Abone are now CO.
gagged in preparing the necessary papers.
Suit has been commenced against the bank a bill q
exchange (Which has since been by the
eeptofs al accommodation bill, y drawn by director
on Manchester firm for 100000 sterling, in September
last and purchased and paid for by thu late President
without the assent knowledge OF any other director
This BILL RENTED To Messrs Peabody Co for the credit
az the bank Ia claimed b. be the property OF Mesrs
John fskersgil Son, OF London the agents OF the
ceptors.
This demand it In nten str snuonsy 20 resist il
not believed TO be ust claim upon the bank. Other suits
10 which no proper defence be taken have been
mcDced and judgments 10 very large amount will pro-
badly be obtained against the bank the third Saturday
OF the present month Under these circumstances and
with little hope OF being able to realize enough from W.
assets to pay the undspued debts OF the bank and with
view 20 proven, any preference advantage it's
CREDITORS the board u opinion that equal justice TO Al
requires anassgnmeni 10 be made for the distribution Of
the property among the creditors according 10 law The
laws of the state cohe the board with full power
holders should deterne this grave question for them
selves
As scaut measure or relief the board prepared
the bill which the stockholders invited
weeks since to examine, and which Is before
committee of the Senate, authorizing sals
of the charter 10 such OF the present stock
holders rs may he willing n pay In new capsl, and
reorganze the institution bank Of discount and de-
post The attention Of the stockholders is agaa invited
to ~ provisions, and copy Ia herewith submitted.
The Board has thus To discharge their pain
fu duty 10 the stockholders by exhibiting 10 them tho
condition Of their property when IL dst under thor
charge and their present position. They have carefully
abstsned from expressing any opinion 70 the
that have led 10 these results OF these each stockhodee
Will form his judgment The facts Il is believed,
bsye been accurately presented 70 their consideration
W. c. Patterson, 1hos. Craven,
Vim. Ceisse, Ab'm Iaker,
Vim. Iyttleton Savage, VIM & Naux,
Lawrence Lewis, Jr. r. 2. Hutchinsn.
Jrs - rayl0,
The report was accepted and adopted.