New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-07-21

and CHntOn-sts.-the same winch WAS lOiHl'l'y
occupied by the United States Cours-and valued
at $4,000, had BEEN since the death OF MI MlIls'
transferred to Cullen This Mr.. Cullen on the sama
day transferred 70 Mrs. McCuc. The consideration
in the case was alleged TO bo the value Of some
property in Fulton-st., adjoining the Hasey build
ing which was said to have been in Mrs. McCut5
name and to have been recently sold. What other
transfers were made in the same way the reporters
informants were unable to say. They had heard,
however, that the transfers had Some connection
with the recent developments in regard 20 tha
Brooklyn Trust Company; but what connection
they could not say.
MISMANAGEMENT OF THE DIRECTORS
A HALE MILLION OF CITY FUNDS LOST IN TIA
wRECK-,IR MILLs'5 ESTATE INADEQUATE TO
PAY his LossEs-Ius REAL ESTATE MoRTGAGEn
WITHIN FORTY PER CENT OF IFS YALUE-IHh
SUICIDE THEORY EXPLODED.
The announcement, printed exclusively in
THE TRIBUNE of Saturday OF the embarrassed condition
Of the Brooklyn Trust Company, owing 10 tie dtflc-
ton and mismanagement Of L. 2. Mis- the late Presi'
dent was confirmed by a notice placed tie Paying
Teers window 20 the effect that the Company had sus-
pended business. In short time after the hour for
opening business the following Official statement Wa
received:
IL Tie PuJRc The undersigned directors OF tho Brook.
Ign Trust Company regret 10 announce te td,r.n,lo'
I
dent MI Mills, induced thorough investigation OF tho
accounts OF the bank, which has resulted, THUS 'ai ia
late President. notwithstanding this the uuicrs gncd.
up to the close OF business hours on YESTERDAY believed
IL entirely possible FOR the Company 90 Commune
! It's business. Tie unexpected action OF the baLk,
however, yesterday afternoon throigl whcu the CON
pany made It's exchanges, declining any longer 10 cletr
XIV cause run to be made upon US which we cannot
meet, has induced rs TO determine upon general
SUSPENSION OF business matter OF justice not ONLY -
the depostors Of the Company, BUG as9 TO tIe stock
holders. From the examination thus FAR made We be-
eye there Will ho no considerable loss u any At an 10
the depOstors 10 mas been impossuIs ioi US 10 procure,
full attendance OF quorum on The board, az many or
tie directors are II town. The examinauon will bp
continued a fun statement the alla'rs OF ths
Company given to tue public al the earliest possible mo-
menG The public may rest assured mat DO eiioft VIZ
be wanting on part to bring about prompt ana s
isfactOry settlement.
This was signed by Daniel Chauncey, Alexander Ne.
Cue, william :. Tsdale, j. s. Rockwell, :. L. Hustled,
James D. f sh John Hasey and Henry Sanger, the only
who IN town. The bank referred TO Is tia
Nassau National Of Brooklyn, Which acted the clear
ing bank for the Trust Company, aud which on Friday
refused clear for the latter. This action OF the Com
pany was soon so generally known that there was 30
rush Of deposltors the bank, though several in
in the Of the forenoon to learn the truth Of the
ports they had heard and some went throuei
the form of making out checks and pre-
sentng them for payment IN order 10 REQ
what explanation the officers would give. few vera
evidently ignorant Of the state Of affairs, aud cana
expecting receive their money These were greatly
surprised and disappointed one who had deposited
$4,000 await the completion OF zeal estate transdc-
tou entered with the friend from whom be was to mako
the purchase, and his couutenance fell as he was told
that his check could neither be cashed nor certified
Most OF tho depositors who called were gooduaured
under their disappointment, and received the mo.s
positive assurances from the officers and directors that
the suspension only temporary, and that al habii'
ties OF the Company would be paid In full.
Judge Alexander McCue OF the directors OF AMI
counsel the Trust Company told TRIBUNE reporter
that an examination Of tie accounts OF the Company
had shown that Mr.. Mills overdrew about SAC GO; uus
that this would have produced no embarrassment tho
danger Of panic had been created by the Nassau
Bank refusing tocear for the Trust Company. There
were about 100000 Of deposits Of which $4,000 be-
onged to the city. About $4,000 OF this was out on
loans which could be called in at once. ard $4,000 VS.
on hand in cash. - He thought thar even If
there had been run the concern, is
could have been safely met, but IL Judged
best In the interest Of both deposors and stockholders.
to suspend business until thorough examination could
be made Of the affairs Of the Company He
that depositors would not suffer- the stockholders
were men OF large property and personally labc.
He said that Mr.. stman OF tho firm OF Barney Butler
& Parsons OF New-York City, had $4,000 on deposit
with Them and that be had called at the bank Friday
evening inquire about the rumors OF trouble he had
heard. Having been fully satisfied Of the healthy
dton OF the Company, he had declined to remove any
part Of his deposit
Pratt Of the Supreme Court, by Judge Alex McCue,
through his counsel, Edmund Baney, for the appoint
ment OF receiver Of the Trust Company. Tho plaintiff
sets forth he is the OF OF the capt
tai stock Of the Trust Company that unable 70 pay
its debts, aud asked for injunction forbdding
the Company from tranSactng business. The injunc-
ton was granted, and Daniel Chauncey, the acting
President appointed receiver. bond OF sO)OoO was
given by Mr.. Chauncey, ana Messrs. j. 3. Rockwell,
Alex McCue, and s. L. Hustled. all trustees the Con-
pany became his sureties Considerable surprise was
manifested by those conyersaut with the condition of
the Company this action OF the trustees and especially
that Judge McCue should have been concerned In IT,
The charter OF the Trust Company originally Oh
tanned by number Of gentlemen chiefly concerned In
the Home Life Insurance Company. They failed 70
IT, and IN time passed into the hands OF Judge McCue
who, in connection with Mr. Minis and others organized
the Company. II is deemed strange that Judge McCuo
should have been tho throw into bankruptcy tho
he did much to organ ice Secretary odmau
wasa warm personal frend~ot Judge MeCue and Ia I'M
derstood TO owe his appointment Secretary 10 tho
latter
MR.. MILLSs EXTENSIVE REAL ESTATE OPERATIONS
f. H. smith, clerk in Mr. Mlls's Office for 20 years ana
Mr.. Moody of the hrm Of Moody & Hackley, the real
estate agents of the deceased were seen by TRIBUNE
reporter. and made the following joint statement:
Mr. Mills began his real ventures In IsSS by tho
purchase OF number OF lots AtlaDte-ave and the
building OF houses the same From 1853 10 1870 ha
continued 10 do large business In buying lots aud se
Ing them TO builders loans The property was for the
most part situated in South Brooklyn though he was
also the possessor, a various times Of property In
other portions OF the city In Fatbush AT one tmo
no had 20 houses In Of construction. lie would