The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1858-07-26
Ths " ~ Basks are Ssaxtea In rsmsyivsnls--
How the Pebble are RlsscsA


How the Pebble FlsscsA
We publish In to day HERALD, the report, en-
ore, or fbe Legislative Committee of the Penn
sy'ssnIa Legislature, appointed to examine into
the ansiTs OF certain banking institutions in
ths' State It's banking laws do not require the
deposit OF stock or mortgage to secure the re-
demption of the circulation, az ours do and
OF course there is every opportunity for frnud:
aud the cases alluded to will he found smo.~
the NEST sadsc'ous swiIdles of the day. Tho
subscriptions 10 the Tioga County Bank, the pio-
Deer rogue, clearing the way for the Others.
we're psi0 in coin and bank notes of specie DAY.
ing institutions to the amount of $27, $40; ard
so far the Law was complied with, a. least for Q
few days They were made, however, by q fras-
du'ent power OF attorney, held by one Wells D.
walbridge, among whose principals were seven
females, whose residences and condition ia life
haze not yet been discoveries. A large amount
of the stock ~ss taken by this Mr. Walbtidze, =
resident of Buffalo, and Mr. Brawley, of Mead
Vile
% the very day the bank became legal iIsti-
tuition, but before its officers were appointed,
ditcOupts we're made to tho extent of $50 LIS
to parties In Buffalo, and other places unkuowa.
whose responsibility on subsequent iuquir, IVES
found to be wOrse than equivocal. Sixteen per
cons residing in that city were accommodate
to the extent of $S9, O66 80, of which about
$54, 900 remains unpaid, and the ledger balance
shows only the sum of $3,556 in cash, to meet
liabilities amounting to $l28 $40 Is. The bills
discounted are not supposed to be worth ten
cents on the dollar. This is as neat piece Of
dnsnciering as one might hear of in Wall street;
and DO doubt it has enabled soue swindler or
other to keep bis carriage and face the world.
Such things ere not so rare as might be sus.
posed. There are bankers so called, who owe
more than BALI million, who have repudistsd
their obligations and have set up their
equipaees without the least twinge of co..
science or fear of the Law.
The Tioga County Bank being set aAoat the
same parties undertook the management Of the
Crawford County Bank. Buffalo, represented
in the august person of Mr.. Wells D. walbridxe,
made up the deficiency ia the subscriptions
which bad hung fire for several months,
and took 1,01O shares by power of attorney,
as illegal as the other, and 200 for himself It
was an easy matter to pay up the drst install
m, nts.
New bills of the Tioga County Bank
were paid in to the extent of $4,000 or
$4,000. being nearly the amount of the dis
count at the former institution up to that date.
In June of the present year, 1t appears, by the
cashiers report, that its circulation was $34 O55;
it's whole liabilities were $S7 9S9 81, and its as
sets in cash items probably overdrawn checks)
were S2,047 60, and in gold and silver $279s
81. 1t also owes its depositors about 81, 600,
end some banks which took its bills (probably
the Tioga County was one of them) about
$4,000. The Shamokin Bank was another of
these Pennsylvania traps. A Mr.. Tbayer Was
the master spirit on this occasion, having six
other Thayers to aid him in his operations, and
ten ladies "to fortune and TO fame unknown
II we msy trust the official report, to assist
him in taking shares in the Shamokiu A Buff
falo operator, Of the name of Mech, who had q
hand in the other hank operations, also lent his
aid. or the $500 required by law to be
paid in at the time of subscription, $4,000
were in Tioga and Crawford bank notes;
and the moment the institution was organized
Sal ,015 so we're discounted in three sums-viz.
sl,ol5 so on the note of Underwood Il Lock-
wood, and $4,000 on two notes of J. Jackson. of
THE city. It's affairs stand thus: whole circuls-
ton, 26,46O; depositors, s796; and other items
Of debt amounting TO s66,543. It's cash on
hand was s2372 05, and its furniture worth
81 1000. Its bills receivable are about $57 900;
huf hosn IL nj hi
very different things
There was quite an episode in the history Of
this concern. A Quaker by the name Of Under
bill drew out the principal funds Of the bank Al
soon a. paid In and handed them over TO Mr..
}. Robinson; aud another Quaker Of the name
OF Zadoc Street, got possession OF $50, 900 ofthe
notes for circulation aud exchange, under pre-
tence that be would help along by paying
in himself $4,000 (half in gold) within ten
days This Mr.. Street, however, made a bee
line for Philadelphia, paid his debts along the
way with the Shamokin notes, operated with
brokers on his own account and bought grain
to manufacture into nour-thus bringing gri,t
to his own mill. For the honor Of Pennsylvania
be was nabbed brouph,-not TO punishment-but
TO compromise, and made to disgorge. II ap-
pears that on this occasion, however. the pro.
verb was confu'sd that there Is "bonor among
thieves" In the settlement be made With the d.
rectors, who pursued him, with astonishmeat in
their 'aces, by the fastest locomotives on the
rails, he actually passed of on them, as pack
ages Of morey containing $4,000, u parcel
Of worthless papers tied up and sealed in
bank fashion. Wall street could not beat
this. Il may put forth fraudulent certiG.
Gates Of stock; but these are not distinguish.
able on the face of them from the genuine;
but Zadoc actually did his friends out OF
ten thousand with worthless papers picked
up in bis fight, and q penny's worth of wax
on the outside Mr.. Underhil's honesty was mot