The New York herald., 1872-11-29
A BANK SMASH,

Suspension of the Waikiki National
Bank Of Middlet0wn-Disapp arance
OF the Cashier-yVhat the NOrthw western
Gale in Wall street Did-The Affairs
OF the Institution Being Investtga ted
by the State Superinte endent-Distress
OF the TOO-COnfiding Farmers.
MIDDLETowN, N. Y, Nov. %, 1872.
For some time past much distrust has been felt
among business men in the Waikiki National Bank,
an institution in this place, which was organized
some years ago, and started under most favorable
circumstances. That the funds OF the concern
were being used by certain Of its officers In sundry
specuations has been common rumor; but 1t
was not until the latter part Of last week chat gen.
cral alarm was manifested as to the affairs Of the
bank.
on Saturday last the cashier OF the bank,
Charles H. Horton, disappeared, and 1t became
known that draft on the bank for a compare
lively small sum had been protested by the Park
Bank, in New York, agents OF the Waikiki Bank.
On Monday run commenced, continuing until
Tuesday'noon, when the bank was forced TO close
its DOORS The board of directors met yesterday to
look into the affairs OF the concern, when
THE MOST ALARMING DEVELOPMENTS
were made. 1t was found that Mr.. William M.
Graham, who was formerly State Senator from
this county, President OF the bank and Mr.. Charles
II. Horton, the cashier, were defaulters in an
longing to deposltOrs and In several thousands Of
dollars worth Of bonds, left In the bank tor sale
Upon this becoming known the greatest excite.
ment prevailed. Graham. the President stoutly
denied any knowledge OF the Irregularities In the
bank and, 1t Is said, declares that Horton must be
responsible for the whole difficulty. This is not
generally believed. The greatest sympathy pre-
walls for Horton, who has always been, most
step by step into the whirlpool OF Wall street.
where he has been finally swallowed up.
THE STATE SUPERINTENDENT
OF Banks has been notified OF the complicated state
OF the books OF the Waikiki Bank, and an examiner
TO clear up the uncertainty that surrounds them Is
pNnprtnl
Horton, the cashier, who has absconded, is the
sonn-law of Mr.. Elisha p. Wheeler, or this place,
one or the most prominent politicians In the State,
the entire community. He Is the supervisor OF
this town, and was the candidate of the democrats
and liberals OF the Twelfth district for Congress
during the late canvass, being defeated by Hon.
Charles st. John. Mr.. Horton used large sums OF
money in the canvass, and this probably fastened
the crisis in his affairs. There appears to be no
doubt In the minds OF men who know here that lie
has been induced TO use
THE FUNDS or TIE BANK
in conjunction with Graham, who Is an old nnan-
greatest confidence. Horton Is now In New York,
but his exact whereabouts are not known.
much financial depression hereabout, and II no
other failures follow 1t will be surprising.
AS is always to be expected In such cases, the
farmers living in the Immediate vicinity have al.
ways made this bank the depository OF their saw
ings. and no idea can be formed OF the bitterness
they feel towards the Institution.
THE STOCKHOLDERS
OF course viii be compelled to make good all losses
to depOstors, but the delay that will be necessary
in rettinp at settlements will cause much embar-
rassmenti in all branches OF business. work will
probably be suspended In the state Homeopathic
Insane Sp II ands as
hundreds OF men win De thrown out OF employ for
some time.
bank; certainly not under the old name and man
aGement.