, 1860-10-06
rl111rF or 4IF lRruaAY pasK.
4 f1haptnr I'm xhS History Of OenseHAt-
In Nol1tf411A&s

FAILURE or M lRfnlAT BaAK.
L Chapter In tbs Htesery Of DeHseznt-
10 Folisleaaas.
rr,cr ths Hev York Tlnss, a1
That not verT large nor very indusaaA claus
Of citixens Who hayo priva,s depoa!ta u thu Ar
tissus' Bank. we're dissgreeably confirmed, yss"
terdav mornin9. in their suspicious Of ths N.
sounduees Of that Institution by ths polits ous
frm refusll Of tho Paying Telssr 70 sab ny
unon It m to o'clock 1sst Monday afternoon;
bit, on opening the doors yesterday morning,
thn ominous Words " Bank ciossd were 10 be
rid on the slides IN front Of ea-h Tellers desk.
This failure ID Qua OF no couat1on moment, Tor
out OF It must inevitably fro Mdisclosufee-Pfo.
yided the neesirer appointed DO u ane eao
member: at Eesst, Of cur City Government, In
chsrqe which no Statute Of Liml:st1ons caa %
but IN plea to bsr. Nr. Nathan G. platt, Pftti:
dsnt Of tbs bankrupt institution, IL City Cham
berlsin: and vhi.B he hst managed, by 1eKo-
tiatouy to be detailed hereafter, 70 hsfe az tne
ctr funds apparently transferred to bsEk
xtil1 sound-the rsrk Bsnk-~e haVe no aaas~
funds beioneioc to widows aud orpt ans, exceed
inv 81. .Ooo. .oo0, VT ich haze been placed In tho
Cbamhe1lain'5 handr, - official tfustees under
o!dera Of the Supreme Court
The Art.saa's Banf, now thts IL trus nlstofJ
couaes TO be written, o:s never sac fhsIltu-
tion-ncvtr hcd il is the elements Of CONNER
cial integrity or tuc.ess. 0rgs1lzed for the
most psrt by mea Of zeckletsly speculative ten
deucixs, most OF them notorious money borrow.
era, il as.med ia those Who had m inside view Of
i,s onera.iops. to be little better shAn machine
for collecting 1.oneJ from depoattors for the
benefit of Directory and Board Of hanaGe~
ment in need cf continual pirate losna. ne
=. 80 n n n n n q
The lae i}r. Hsrvey Burdeil and HI. J. 4. Gil
more to justify these rer ark&.
Il il ~. lang siace Mt. Benjamin Wood,
brother Of the Mayor, became an extensive
purchaser OF stock in this Bank, said stock then
ranking abous 81 or IS on every hundred dol'
lars worth Of scrip. By him it wSs that the
scheme tcr transferring the City funds from the
Shoe ard Leather Bahk to the ArtilAns vas
organized; snd be had his reward for this, Ia
eoEiancsion with Mr- F. b. Camp, newly ap.
pointed Director, bY an apparent Eise IN SUCH
stocks to par. We learn, moreover. that Mr.
Camp tas lately purchased nesrly 40. ooo
worth Of Arti*ans' stock 1t par, OF td>resbouts,
immediate lcaas to the extent Of his purchases
-shus shoai.g tho whole thing 10 bo mere
trick to run vi, the price Of this f. ncy stock to
4 fictitious rhlue, for the benefit Of those wish
ing to sell cut at profit before the grand crash
came.
hEtpllR tue l0ktEE6&4 VI mr. DtpjAutA " btA
in view, aud with Jet further light, which Will
be thrown on this whole snbjsct when any hon.
eat Receiver asks about the disposal Of large
sum of money, which disappeared from the
Artissns' *ate two OF thres days before tho
removal Of Mr.. 4. Y. Stout from the Office Of
City ChamberlAin,-it ceaaes to be puzzle
why Fernando Wood. in biz capacity - Mayor,
institution Thoroughly safe and above suspi-
ciou, such as the Saoa and Leather Bank, in
favor of hn institution alwaJs regarded ~ tho
weakest end least reputable ia our Cly. It
was to enhance the interest Of hia brothers
stock. in which rumor Says be really Eolds =
halt interest; and also to obtain same other
considerations, which may possibly be dlsctos-
ed whenever tha affars of tbs Art1sanH' are
correctly wound up. "Tho Ma7oFaiity is in-
deed great estats," says 1As Jlu'sa.l of Fl:
nance an Rdnk K<port<r, "and Mayor Wood
seeu:s to uEderatand the value Of its rt~ards =;
therefore let no man impsach his disnterested.
nessr"
1t will be remembered that not many weeks
ago the Clearinghouse became cissaii1 lied with
the Artisans Banks mode Of doing business.
1t suspected the hnsncial soundness Of tho in.
etitution, aud appointed A committee Of its own
body to investigate and repert upon lta adalra.
This Comm1ltee found trouble Of deep and 80.
rious natu1e-the capital Of the concern beiag
oue.third lost or impaired, and the books show
ing loans OF forty and hfsy thousand dol}ars to
borrowers pbose names the Bank refused to
disclose. These loans the Committee believed
to have been made for elect'oneerin8 md COZ.
rupt purposes, knd no answer could be c1torted
| in refasi5n to The men who hAo obtained or the
motives fer giving such enormous accommoda'
| lions.
Rather than undergo = second and more
| sans' Bank pretended to Withdraw Of lts OWE
accord firm, the Clearing g-house, offariug there
! after to make its exchanges at the counter o.
! the American Exchaage Bank.
IA second examination, such as the Clear
| inE-house Committeeproposed," says The Jour
| nai of F;aGzcs and B1Hk Reporter, "woufc
| have shown tina. the funds Of this tnst!tutior
(the Artisans') had been used to pureaxss p1sct
md power for Mayor Wood, who repaid tht
| kiuduess by making it the depository Of tsa
City'e funds Let Us have the secret History Q
the whols affair."" There ia Soma truth in this
but not by any meaas the whole Truth. Let tt,
officers Of the Bank te examined under catt
touching one OF those missing Sims Of gu, ,t0
| or $50, 900. which were "lent without security,
Just previous to Mr. Pla:t's appointment Ther'
arc statutes on cur law books which xssnne !,
have control orer such cases, and to prescrio
the penalties
Not many days did the American Exchang,
| Bank remain IN the position Of Het.unrte to til
bank cut Oft tran, Grating house nu.ratioa, ba
themselres that tina Arttsaus' BsEk, their pro
tage. mas rotten 1t The cnre, and that COR
nectlon with it aid not be carried forward ol
safe or satisfactory basis. The AMef,csa Ex
change, therefore, Gu. off 1hs arrangement be
fore stated AS having been made wlta the al
t,saus' ;.and all this TINE, it is to be rcmsmbr1
ed, thntast named iut:iution was eupposed Il
have in it's vaults &, 800, COO ef the Cty'sfund.
| not to tptak Of the additional million in h
hands Of the City Chamberlain, ~ tfuate
for the Supreme Court. 1t Is rot jet know
where or how this lastmentioned sum il de
posted.
About four or lve days ago, City ChambtrIai
Piatt, finding tl2t tue Art:sana' Bank had nc
enough money in its Golfers to pay ths City de
posts, nor any thing like enough, hecam
alarmed lest be should be held iadividuaily II
sponsibte for the deficiency. He called upon
prominent Ci:y oliclAi (not the Mayor, it mus
be needl+as ta remaEk) for advice and a:d. tn
could only suggest that some steps ahou!d b
iuBtantly taken to aecuro tbs City's inlereatl
his Rdrice pointing TO an immediate transfer {
whas rem aiatd Of the public money to som
other Bank, and q transfer Of all the securies i
the Artisans Bank to make good whatever d.
iciebcs there might b.
Acting on this ady:co, Mr. Platt, II Chamber
lain, opened negotiations With The Bank Of Con
mercs, offering to remove tho City's funda t
It's vaults, provided tho Commerce dlrectol
"weu'd loan half million to the Artis2u
Bsnk to eaa6ts it to naak tho frda.ftr." Th
suspicion which is suggested BY this condltio
va need not do more than hint at. The Ban
Of Commerce replied that it would accept 1h
terms, provided the Africans B snk could fu1
nith any slins like decent security for the hs
million which Mr. Plat, IN his private capacit
AZ stockhn1der anxious to protect himself, VI
using his Official power - City Chamberlain
an effort to obtain. On this the Artlssus' Ban
sent up By Mr: Platt $3.50. 900 worth Of its vel
best assss IS security for loan Of 5000
but after due examination BY the Directors
the Bank Of Commerce, thi. prot1ered securlt
was pronounced "utterly inadequate" !" aod VI
rejected.
Upon this the saue offer wss renewed to It
Park Bant, and with better success, that inst
tuition Regarding the sendered assets Of the A
tisaus'. together with the future advantage
| the City funds, N worth h1lf million, and Il
thereupon made. The Park Bank is genera
regarded as round institution, but whether
will continue any longer than did the Anerics
Exchange Bank in connection With the Gil
Chamberlain, it would be hazardous To forete
As tn the million Of trust.funds IN the hands
Mr. Plat, under orders OF the supreme Cout
| We have no account whatever. Mr. Piatt. pc
soDally, has aluays borne high aud stead
reputation, but We confess that IN view Of .
| | much of this Artissns' Bank history us is no
unfolded before us, it would greatly tend 10 ;
}leve tic puhlie mind if the seeu1isy Of the S.
preme Court trust. funds, chiefly the property
} widows aad orphans, could be established.
The picture presented in this simple recit
Of hard pecunilry f4cts, may rot str'ke AZ
large portion Of the ta< paying public a. ertd1
able to his Honor. The Aayor:. All tie t>c
| point agai.st him az havlug reckiessfF ga1noi'
, with the public money tor the beneht Of b
brother, aad there are suspicious which b
character does rot combat Of some Jet more 9
trsctive and personal motive Ws commend Il
whole subject to the attention Of the Grand Ju'
, now in session, with : suggestion tsss th'
: should iaetruct tho District Attorney to EEL
for persons sud papers,"
) The Shoe and Leather Bank, from which Il
City deposits were removed By the action