New national era. [volume] (Washington, D.C.) 1870-1874, 1874-10-08
FreedInen's Bank.
Depository Meeting.


Depository Meeting
An adjourned meeting Of the depositors oc
/ the Freedmen's Savings aud Trust Conran,
which recently suspended operations v,,
held last night at Union Bethel Hall On "
/ between Sixteenth and Seventeenth straa,'
northwest, Professor J. l.. Sampson in tho
chair, and DR.. ). II. Watts, secretary.
The chairman again BRIEFLY stated In. d.
! iect Of the meeting, after which Mr. RoLoS,
| Purvis, one OF the commissioners appointo5
to wind up the affairs of the bank w,a H.
vted to make a statement. He stated Tho.
he was present III obedience to the deu,ari
OF a number Of depo,itOrs, who had sent 49,
invitation to the commissioners of the h,nG
to be in attendance. The institution had
grown out of necessity to that class of No.
| sons known as the wards Of the countr, -
| a great moral educator to infu7c into penrT,
SO long oppressed principles Of economy and
! industry.
/ THERE WERE SEVENTY THOUSAND Ifrq,sr
TORS
/ IN the bank, and at one time thr d.f,..,
| aggregated the sum of $4,000. 900. TINS ,ro.
| too much for the greedy eye of iuancinry
who soon formed ring of which Uuntin,'
don, Cooke, and others were prominc,',
members. He was present without consnI.
tation with his fellow commissioners. Mcssrs
Leopold and CressweIl, and conseoucn,Ir
represented no one but himself. but they
were all anxious to settle up the affair, Gr
the bank as soon as possible, consistent witt,
! a proper regard to duty.
THEY HAD PAID OFF ALI. TIE I<n,p,.
EDNESS
| of the bank, such as pledges, securities. A.,
| The amount OF the liabilities was :! M
1913. -; assets, g, $50, 1j3. - If the cnn,mi,
sioners could have realized ali that il IRE
! scented upon the face Of these a~stc. they
could divide 80 per cent, but they cannot
| realize 90 per cent, because of the expense in
keeping up the different branches, which wa.
! necessary 10 obtain possession OF the book.
&c. This expense aggregates about ; 100 unn
and after the 3lat tins month will be d,cgu
| tlnued.
THE INVESTMENTS.
The money was invested ia tru>t d,r,s
securities, notes guaranteed BY collateral, IA
the shape OF mortgages, or a sort Of confessed
Judgment The provisions of the banI, III.
sisted that upon all loans of this kind the Sc
curtics should be double the amount loaned
which had not as a rule been followed VERY
by those who loaned the money at rate, too
high. The amount thus secured amounted
To 1901 ,92s.3S, nearly - per cent. of the
| amount of money deposited III the bank All
OF this ought to be secured, aud lis these
! loans were made chiefly by the actuary. ne.
had asked that official what would be tn.
! amount Of loss by lendin. too much MONEY
on these securities, and he had replied aDou,
$50, 900. He (the speaker thought it wouI.,
amount to $4,000, or, pcrhsps, more The.
next were classed us available loans ON Ter
sonal securities, and amounted to S3I7 .lGY.
This had been based upon colIaterals, many
OF them
NOT WORTH THE PAPER on wiIICm THEY
WERE WRITTEN.
Among the latter may be cla>sed the iuan
OF So 500 to the Seneca stone Company
whose securities were virtually woltilcs~.
| The loss by these securities would probably
amount to $50 900.
The next was the real estate in the District
OF Columbia and elsewhere, which amounted
to - ,63j, from which source, however.
there would be no loss
The furniture OF the bank ut il, different
branches, such safes, desks, &C, was at
present estimated a. worth s4O2S1. au
amount which would be realized by a forced
sale.
| III District of Columbia securities the bank
had invested So ..9S, trem which there would
be no loss. In Northern Pacific railroad
bonds it had :3ij.l3, which would prove a
total loss. They were the bonds of iay
/ Cooke II Co., -at 'i.ere Ms reason for con
g:sta...,,on th-t rho SUM was so small.
1T UNITED srATEs rEAsvnv no>,.a.
there was on.y ;. 100 ieit. II The deposits had
al. been invested i'll these securities they
| al no in .I,I,
, no trouble.
! There was claim OF ; ,3j4 - against th;.
!irm OF Jay Cooke Il Co.. from which t small
per ccntum would doubtless be received when
that bank declared dividend
me sum 81 So 900 was loaned on the
mortgage bonds OF the MARYLAND Free-stonr
Company. The loans of the several branches
! amounted tn the enormous sum of S2lnfIl
-, one-hait ri which will be lost.
THE GREAT BULK OF THE MONEY WAS
TIED Up.
ihe class Of persons who came 10 the bank
the most anxious were those who have bor
fo"ed small sums Of money upon their IRON
erty, worth five or six times the aniounr
loaned: their notes were due aud they could
not pay the principal, and they did not desire
|" lorectose and sell the property, for not
only the reason that properly was low but
rover, who promptly pad the interest and
ma, lIsd promised very soon to pay the PRINCIPAL
Inc longer the matter was DELAYED the more
money The depos!tors would get. After the
close OF the present month they would moi
nave single cashier or anv OF this horde Of
dependents TO pay, whose expenses required
Tue SUN OF 10000 per month.
In conclusion lie urged those present 10
bear with the commissioners.
WHO WERE EVER WArCHFUL
OF the interest of the depositors. and not to
allow their Tears to so influence them as to
cause them to sell their bank books at a dis
count.
There were many persons who were wilt
my To buy up these books for the purpose OF
making money, and he feared some depos-
tors would be compelled to make 4 sacrifice
on account Of their necessities.
WINTER Is APPROACHING.
and appeals were continually coming in of
fearful nature from poor Woodworking people
OF the south, who had their hard earnings
Tor many years locked up in the bank.
y number OF questions were prOpOundei,
and answered by the commissioners, after
which addresses were delivered By Dr. C. Il.
iurvls, one Of the vice presidents Of the
bank, and others.
RESOLUTIONS.
The following resolutions were adapted,
alter which the meeting adjourned:
hesotred, That we have every confidence in