The sun. [volume] (New York [N.Y.]) 1833-1916, 1876-10-04
PRICE TWO CENTS.
TIIESAVINGS BANKS AGAIN.
An OFFICER's THEORY or THE ORR.
GIN or the FURRY.
The Excitement visibiy Abatins-A Wboies
some Lesson for Omccrs who are Ambi-
tious 10 Make n tsood Exhibit Of Dividends.


The Excitement visibiy Abatins-A whoies
some Lesson for Omcers who are Ambi-
tious 20 Make n t,ood Exhibit Of Dividends.
The scenes In and around the east side
savings banks Yesterday indicated more tenn
perite feeling among the depoeitors, and many
who on Monday withdrew their deposits rc-
stored heir money to the vaults OF the banks
At the Citizens Bank, preparation had been
made TO meet an anticipated run. At half pass
not more than dozen persons were outside
the counters, and they seemed uncertain wheth-
or TO draw out pay In, while the ready tellers,
as they handled their plies OF Teenbacks, exc
hibited almost feeling Of dissatisfaction thas
they had not had the opportunity TO show the
ability Of the bank to meet ,ts obligations TO de-
positors. I'VE have no fears whatsoever" one
OF the ofhcers said. The bank Is solvent and
able to meet any requirements Of It's patrons.
The trouble Is that some Of the savings banks
more recently established have been endesvor-
ing to declare six per cent. dividends, when they
were not realizing more than four nve per cent.
interest on their investments. Under the new
banking law, the trustees are required to record
their individual votes upon any dividend de-
clared. This being done, each trustee will bs
held individually responsible for any deficit.
For Instance, should the earnings Of the bank
be declared TO be 100000, and an examination
snow only tiO,DUV, tue Ddnh SuptFlnlonutut
could close the doors aud force the trustees to
pay the $4,000 deficit. Tbis," he continued, lis
tue ray.. :sv,;S.. :: ..a;s,.s..... Tie c,a .=:ss
have always allowed themselves a margin Of in
terest over dividends; hence they have always
been able TO meet any demands made by depos-
itors. The new banks, in their ea9erness to
make a good showing, declgre dividends that
ways Justify. Now that Mr. Ellis insists uoon .
Rigid enforcement OF the law, holding the trus-
tees responsible, to save themselves they close
their doors and ask for the appointment OF a re-
AT tn. Saving. institution in Bleecksr stree.
cent. dividend, and when our surplus Justi1ea
We declare sn additional dividend. which Will
per cent. The money Is always In hand, how
ever, before we do this"
nvaI Of NJ. W. 5. Pslns, the receiver.
Az me prg Docs bank as soon as ,hsnns ,he aoo.s
depositors rushed In and formed 10 douole row
around the desks. As each depositor received
his money from tho teller tho excitement visibly
positors were In the bank. I'VE are able to pay
"rbe feverisn feeling Is reoidiy subsidins.
| There are at least oDe-third less Withdrawing
we sh all settle down to our ordinary business"
THE fact that this bank has erected new
building, ftom which little OF no Income Is de-
rived, has had much to do with the run upon
It," said an onlcer Of another bank. But" he
| auueO, an INSTITUTION IKE tue IbfN DOCK B1nhs
which can raise seven mil ions of dollars wi hin
| an hour, certainly can have nothing to fear"
| In all the multitude that stood In and around
| this bank. not loud word was uttered. Every
person seemed bent upon transacting business
| as rapidly as possible, cnsTy even OF expressing
| views to most intimate friends. The telers did
| their duty with smiling countenances, and the
| depOzitors received their money with a sulien
determination that bespoke alike their fears
| and their needs
| Investigation shows that In NAV at .
man who gave his name Henry s. Dick
| son. who WIS a real estate agent dong business
| at 81 Eighth avenue. made Q sh deposit in
| the Abingdon Square Savings Bank, and then
| deposited a check, which the bank took IN vio-
| lation Of the rule Of savings Institutions. Soon
checks began TO pour In upon the bank from Mr..
| Dickson. VINO said that he received them from
| men with whom he transacted real estdte bu III
| ness. Hls account with the bank became what
| Is termed an active one. He depos tied checks
| and drew money daily. AT length some OF tho
| checks turned out to I've been raised from the
| original figures, and he banks officers learned
| that Mr.. Dickson had drawn much larger sum
| than belonged to him. Then the officers of the
| bank went to see Mr.. Dickson, but he was not
| To be found. The depositors are raising fund
| To employ an expert to examine the bank .
| books, and learn to what extent they have boon
| Hef fr dad