The sun. [volume] (New York [N.Y.]) 1833-1916, 1870-01-12
MISMANAGING THE BANKS.
A STORMY MEETING OF THE INDIG-
MANI STOCKHOLDERS

Disclosures at the Election OF the Ninth Nn-
tiensI Bank NEUTRALITY-SUSPICIOUS. Charges
Against the old Directors-Cross Misap-
preparations OF Funds-Hew tho Marble
Palaces are krected.
The election Of officers for the Ninth National
Bank yesterday afternoon resulted In the victory OF
the incumbents after severe contest 1t Is a well.
known fact that this Institution has for some time
past been building . marble edifce between Lis.
penard and Walker streets The cost Of this stately
structure ss3o000 for the lot and $4,000 for the
palace aud It's furniture. This investment Of the
surplus funds has bcen the ostensible ground OF
battle, though mary shareholders and depositors
have for some time been desirous Of change In the
administration. II Is claimed BY some that q drec-
tor In the present Board holds only 1900 stock. and
has been permitted TO discount bills as high m
tso,ooO. II 10 also claimed that the deposits have
declined from ts,seo,p0s, which was the amount
held Jan Z, 1887, to little more than ts7OooOo on
the 1ith December, 1859. II Is also claimed that the
capital stock is asly lent to the present Board OF
Directors, who, with few exceptions, are large bor-
rowers.
Under there circumstances Of diminished capital
and unremuneratiye loans, the purchase OF q lot on
Broadway and the erection Of q marble fronted
place OF business seem to many Of the shareholders
III advised proceedings. The lot cost t230,000,
and our reporter was informed that 1t had pre-
viousiy been sold TO Mr.. King for ti0s,ooo,
whence II found lite way Into the hands Of Nj:
enrsged In tie contest for the Directorsblp The
valuation q real estate agent perfectly unpreju-
II is claimed BY The opposition that the location
feet below the level Of the basement; and that, in
vaults. 1t IS also asserted that the building Is N
cannot be advantayeously rented, the business OF
the Institution will have 70 be conducted at greatly
capital in real estate This is in violation Of the
National Currency act, which does not permit any
ss. when o
occupation, or for lapsed mortgaged.
The stock Of the institution is one million dollars.
invested IN Government bonds aud lodged In WASH
ington This protects circulation OF tetO0oo cur
rency bank notes. In the printed transactions OF
OF Of 10 G per cent, va. siSc6o Tie iss soss si cost
fsp.O6o, and the building much more. The
%Sa funcs S"tS Sare ,ses. isses,mspt. @ been made
The snswer seems inevitable, say his followers ana
s' si.s sss ss 81 ns Sses nssi Of s
the secret Of that decline In the deposits
from eight millions 70 three.
4 The polling was done In . large room over the
bank. the scene being one Of animation and excite
ment. Mr.. orvis was accompanied by two OF his
views. He has the reputation OF being one of tho
eoundest hnancers IN the country and bis services
~ ee ss csss. "es
paid high tribute To his fathfulness and integrity
| as banker, and II Is admitted that his action,
whether justified not, has not been Influenced by
| pecuniary views.
Mr. Thomas A. vyse, Jr., the present President
| though not well known to the pubic nnan
cier. had bis devoted adherents who rallied around
him wurmly previous TO the deposition OF the ballots
ncrce discussion arose as TO certain proxies from
| people who could not attend.
Tbsse had been lodged with Mr., orvis, when h,
| his resignation IN 1867. He elsimed that those
| prSJies should not BE- used In the present contest
| and presented an injunction from Judge Barbour
| OF the Superior Court, 70 that effect. But
| bad Informed the Nyro party weeks ago Of the in
| junction, which would have thrown out half til,
| stock, amounting TO 1000 In all
| These shares had been Immediately purchased at
apremium OF hye per cent. above the average marke
price that the present Directors held the rcsu, Ia
| their hands before a single vote was cast The re
| There was also vote in favor Of increasing thI
| capital stock by half million a million, ma!
&c, IN adv isable This also was carried
Amer the announcement Of the result oysters wcr'
put upon the table, OF which the Victorious party
ate heartily. The discomntcd gentlemen withdrew
rejecting genial invitation to wait, and declaring
In tones of anguish that the Bank wouli suffer tor
, rbly.
Tie case Of the Park Bank was cited whereby /
appeared that they pad a million and a quarter 10
thrlr palace, and received for rent Of offices $500
| yer annum.
some OF the friends of Mr.. OrNls and promoter. o
the Reform ticket met last night IN the Astor House
! They determined 20 make the present Hoard q
Directors show why they bad eApep ted the fun Is q
the Tank in erecting new building, when the on
| they in Is good enough.