Litchfield enquirer., 1859-06-09


 of the Bank Commissioners was presented to the | Legislature on Monday. The printed volume makes ! 220 pages. We condense the main facts presented, as follows
 There are now in the State B banks of discount, 35 savings banks and 30 savings bank and building associations. I
 In 1887 the circulation of the banks amounted to $4 GOO, ,000-from that time to 1852, period of 15 yea,s it gradually increased to fraction S7 GOO O09 when in 1853 it suddenly increased to $11, PIT 630 and the banks maintained it for two years but suddenly in 1855 it fell to the sum of S6833,- 3S8 ard the following year it again increased to S9, 900, GOO, which increase sustained for twoy years, when with the panic of 1857 it declined to about S4 ,000. 900, which point it stood at the last annual report. The circulation now amounts to S7 ,b55, ,369.
 The commissioners have felt it their duty to nsti tute legal proceedings against several banks, the first of which was the Woodbury Bank of Woodbury Upon careful investigation the assets which repre- sened the original capital were found to be nearly worthless and the bank insolvent to the extent of about s15,000, if all their circulation was pro- vided for. An injunction was procured and recelv- CTS appointed. The time for the presentation of claims limited to January 1st, 1859, but as all the outstanding bills were not handed to thereceiv- CTS there is a reasonable prospect of payment in full to such as were presented in time. | The Litchfeld Bank of Litchfeld is noticed at length-substantially the same facts being present. ed were brought out at the legal investigation in this city, and which we published at the time. The total claims again st the bank presented to the receivees is S43 3000-of which Sl7 800 is in their bills. No adequate provision for this indebtedness | can yet be made by the receivers. The robbery of the Hatters' Bank, Bethel and the subsequent action of the commissioners is next mo- ticed. The bank placed in the hands of receiv- ers and at the winding up of their account, 1t was found that the losses of the bank would reduce the l value of the stock to $60,O00, to which sum the | capital stock was then reduced, and the bank IS | again transactng business
 Of the banks enjoined last year, the commission CTS report the Bank of Hartford County as doing we'll but not yet in condition to justify dividend The Bank of North America remains in the hands of the courts and having paid off most of its ellc- lation and provided for the remainder, is now sub ect to the further orders "f the court unless the legislature thal repeal its charter. The Exchange Bank, Hartford is doing well and the commissioners see no reason to doubt its ability to resume the payment of dividends within req sonable time
 The Charter Oak Bank of Hartford, has also great y improved, and it's managers claim that its losses will be light In this, and the omission to pass a dividend, the commissioners do not agree with them They regret, also to add, that the bank still tinues to pay interest portion of its deposits, and deal in protected circulation-al of which is in | violation of law. The Mercantile Bank of Hartford, is managed well and legally. No dividends will be declared until its losses fully ascertaned and provided for
 
 where it stood last year. The claims due the bank from s. F. Jones. Jr., and Simeon Leland & Co.,. of | New York have been compromised for $2S, 900 when $54 000 was honestly due the bank. The Granite Bank of Voluntown has been closed up by the receiver, all the outstanding circulation having been returned to him. The several persons indicted for participating in this fraud have escaped punishment, but how such result was brought about while the facts of the clear and within proof the commissioners not informed. | m mt n w part of several banks, follows: The Bank of Commerce, New London, in not re- quiring their cashier 10 give bonds within thirty days after his appointment
 dends with large amount of paper under protest, l $60 GOO resting the Brooklyn property, and ! claim upon the Chicago, Alton and St. Louis rail | road
 The Clinton Bank is advised to pass at least one dividend, and thus place the legality of future div | dends beyond a doubt.
 | The Farmers Bank of Bridgeport, by former mis- | management has impaired it's capital to the extent of $50 900. Among the assets is note of P. T. Barnum for S23 GOO for which the bank has se- cu:ity, NTf B.. financial agent lone of the direct ors offers 75 cents the dollar fol it, which leads | the commissioners to believe that this, as well as | other transactions connected with this and other banks by the party is worthy of their future investigation.
 | The Ocean Bank Stonington. continues to furnish an agent out of the State with circulation to pur- 1 chase paper at illegal rates.
 The Quinnebaug and Shetucket Banks of Nor wch, have not yet been able to call in their loans out of the State and they therefore still exceed the | legal limits. They also charge illegal interest on portion of such loans, and declare dividends, when. | in the opinion of the commissioners, their capital | is impaired.
 | The Saybrook Bank has made losses to impair its capital. rendering their last dividend illegal. | The Stafford Bank evades the law relating to r terest by charging large rates of exchange. They have also protected circulation.
 l The dividend of the uncas Bank, Norwich, in Oc- tobrr last illegal in consequence of large losses Dividends will now be suspended until their con- l tingcnt losses are secured.
 | The Windham Bank has secured about $35. 900 of the $s5 900 in the hands of the Ohio Life and Trust Co. at the time of its failure and has attachments | and suits outstanding for the balance. Dividends have been suspended. It is not apprehended that its capital will be seriously impaired. The commissioners of the opinion that the | time has arrived or is near at hand when the New Haven County the City and the Merchants Bank | of New Haven, and the Phoenix Bank of Hartford should elect either to sell out their joint interest in the Brooklyn property, or assume and pay the mort gges of $40 GOO thereon and divide it. that each | can control and own it's own share. They recon mend the Phoenix Bank to pass at least one divi- dend in order to reduce the amount represented by that property on their books and render the legai- 1 ty of future dividends unquestioned. .f 1 The commissioners represent the passage of a law limiting the time for the presentation of claims to | the receivers of enjoined banks.
 The commissioners say that for want of time they have not been able to prepare the of the vio
 ations of the banking laws of the State which they have detected in their examinations. and present the same to the states attornes, have they son to believe that such cases would have received attention had it been in their power to prepare the since 50 far as be ascertained the officials refer red to have disregarded the resolution passed last year instructing them to examine into the cases of l such banks as were then reported. rbo banking CaDltal State in the opinion ot the commissioners is ample for all purposes of legitimate banking, and is than is now required. Whenever the time shall ar rive when more capital is needed they suggest that would be well to consider the proprety of ncreas- ;a tte canital stocks of such banks as are known iIiS eiio Sil To