New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-11-04
WASHINGTON.
SINGULAR TREASURY MANAGEMENT.

SINGULAR TREASURY MANAGEMENT.
UNSECURED GOVERNMENT LOANS TO TIKI FIRST
NATIONAL BANK-SECURIrEs sNCE MYsTERI-
oUs1Y oBrAISED-JAY COOKE co.'s CREDITORS
PULLED AND DISSATISFIED.
fBY TELEGRAPH TO TRrBUNEl
WASHINGTON, Nov. Soon after tho First
National Bank OF this city suspended 1t stated in
THK TRIBUNE that fractional to the amount of
NClOOO In the denomination OF fifty cents, had been
transferred that bank by Secretary Richardson with
out security collateral THIS denied by
ug organ OF the Administration under OF an in
tervicw with Treasurer Spinner ana THE TRIBUNE
made the charge sail the transfer protested
yainy against by Mr.. Spinner. Secretary Richardson
denied the facts and they abund0ntly sus-
oeptblc Of proof Not long after the charge was first
made receiver for tho bank having in the mean time
oeen appointed by the Government an examination OF
the assets aud liabilities OF the bank was lnade' ana tno
receiver officially proclaimed the result From MS hg-
shown that Government money 10 the amount
OF SGS 7ss was placed among the liabilities To secure
this SUN there were deposit in the Treasury United
bonds amounting to 100000 1t thus appears that
the Treasury Department had deposited with the First
National Bank SS77S2, without dollar of security 1t
now seems that Treasurer Spinner six days before the
fsure made draft the bank for about $4,000 This
draft was not paid and only two days before the
failure he made another draft for the amount, aud
this shared the fate Of its predecessor, which much
incensed Gen. Spinner The Bpening Star the paper
that denounced the FIRST statement OF THE TRIBUNE,
tonight prints the following in its news columns
IL mas boen asserted that the house OF jay Cooke
CO.. which borrowed from the First National Bank OF
city nearly SOOOO0 has since ats failure Withdrawn
ssOOO1o Central Pacific Iroad bonds and deposited
Them with the Secretary OF the Treasury security for
Lhe 500 advanced b. the Secretary few days before
theT fIinro The creditors OF both tho First National
and jay Cooke & Co.'s Bank complaining OF tins,
saving they would like TO know why the Government
should preferred creditor. They n the Cookies
Save f200O0 it belongs to their, that the Govern
has right TO deprive them OF their pro rata dYl
dend. - '--
Treasurer Spinner to-day said that Secretary Richard
son bad Informed HIM that securities had been deposited
70 protect Government OF the story to
be true on application TO Mr. Stanton receiver Of the
bank that gentleman said he understood that te Treas
ury had been furnished with security sufficient to pro
Ieot 1t against loss, but he said he did not know
where the security from. In answer to the
question to whether It from the
of the bank He said unequivocaly that he did
not that he would treat the Government the
other creditors Of the bank. The security could
certainly have been taken from the Of the
firm of Jay Cooke Co. to paw the debt Of another inst
with which the depositors Of the firm had nothing
DO and 1t is therefore subject OF general conjecture
here tonight who furnished the 100000 the
Government Mr. Richardson has claimed that the
preferred creditor but the Solicitor Of
che Treasury aud the Attorney have decided
otherwise.