The sun. [volume] (New York [N.Y.]) 1833-1916, 1875-12-26

Bank with 800 surplus and $4,000
Debt-Deceiving the DepOsitors.

About seventy depositors Of the Central
Pork Savings Bank met In Brevoort Hall yeeter-
day. John Burlington, who presided. said they
met to unite In resisting what seemed bare
faced robbery. II Is diiicult, he said, TO get any
Trustworthy information concerning the assets
OF the bank, or what had become Of the depos
itors' money, because the trustees aud the re-
cciver appointed by the State Superintendent OF
Banks are exceedingly noncommunIcative on
the subject. SO far az he had learned, however,
the depositors had nothing to look to but t4OU
cash In the bank when 1t closed, and the
building at Fcrty-eirhth street and Third ave
nue., which the bank officers occupied but dav
or two. This building was erected upon lot
purchased 10y Thomas Gearty, President ~ the
bank. about four years ago. Mr. Geartv was
building contractor aud real estate spccu-
on his lot rented il for n lager beer saloon and
other uses for three years. Meanwhile the
shrinkage Of real estate values In that part Of
tho city was enormous. and Mr.. Geartv quietly
shifted his burden from his own shoulders to
those Of the depOstors, by selling the property
to the bank for nominal consideration Of
about $4,000. and taking therefor all tho money
and other assets, aud mortgage Of thirty or
thirty Ave thousand dollars for unpaid purchase
money. To-day the property can hardly be sold
for enough over the amount Of this mortgage To-
ueIray the necessary excuses OF winning up tne
concern. He could not help denouncing THIS
transaction az ewind.e. lie wac advised that
II fraud could be proved, the President and
trustees OF the Institution could be beld to an
individual liability to the depositors and II was
high time that tho latter should take some ac-
tion in the premises.
Mr.. Georee J. Wood moved the appointment
OF committee VI five to ascertain In any feast
BILE way the exact status Of the institution, and
to recommend such measures for the prOtec-
ton OF the interests OF the depositors as they
can devise, TO report at future meeting.
Before putting the motion the chairman called
for an expression OF views depOsitOr said he
had seen MIR. Thomas Gearty, the contractor
president and had been unable TO obtain any
satisfactory Information. The speaker was In
favor OF employing lawyer to overhaul the do
ings Of the trustees ana the receiver, and with
raise a committee. Another depositor spoke
with warmth about the Influences to induce
poor people to deposit in the bank The trus-
tees were represented TO he exceptionally
honest men, Where were they nowi
why did not some one Of them attend this meet
ing and give the depOsitOrs the poor satisfaction
OF knowing what has become OF the money in
trusted to theml lie remembered when the
priest In charge OF the large parish which fur
nished the greater number Of the dcpositors had
| Ia hts church urged the members OF his flock
who could keep bank books TO post In this
bank. and TO draw out their funds from other
banks for this purpose The Chairman said he
knew this statemen to be true. but II should be
added In behalf Of the reverend father that he
| had long since rotracted his advice and recon-
mcnded his pafisnoner3 to draw out their
money.
The motion was carried unanimously, and the
| Chairman appointed hessr-. George j. Wood
| DonOvan and John II. Brown AS the committee.
| The Chairman wa, ADDED to the committee, and
n collection was raised To defray preliminary
expenses.
From one OF the com mitteemen the reporter
| learned that there were In all about 6SJ depos-
! itOrs, mostly poor people. and that the bank
owes them about $500. The bank could not
have realized over $500 per annum from rents,
not use for It's own business. Ii mad not, In
Tact, received dollar from this source.