The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1876-03-15
rSpecial telegram to the Dispatch.]


New YORK, March 14.-The Post of this
evening has the following concerning the
suspension of the Bank of the State OF New
York:
Although the failure OF the Bank Of the
State of New York vas received with gen.
eral surprise, it is said by vel informed per-
sops this afternoon that no cause for aStonish-
ment exists if the stfairs of the institution
were conducted as now reported. 1t is said
that the vice. president of the bank,
Mr.. PATRICK, OWES IT
the sum Of $3.50 900 secured by real estate
which is alleged to be worth only half that
amount. It is also said that check of Mr..
Patrick for $50, 900 has been counted among
The banks cash.
Overdrafts to the amount of $3.50, 900 have
been permitted, which are secured only by
the patents of the United States Attrition
Company and the New York City Mills At
triton Company. 1tese patents are for a
new process of manufacturing flour, the
money-value of which has not been estab-
lished. In addition to this it is alleged that
FIVE LOANS HAVE BEEN MADE
to the amount OF, s425, 900, secured by Smith
e. Grraudy, which are said to be of but half
the value.
It is further reported on excellent author
ity that overdraifs to the extent of about
$3.50 600 were made on the bank by south
western produce commission house whose
5usiu,s s, is largely in Kentucky, and that
these were secured only by an assignment
of book accounts.
A prominent member of the Stock Elk.
change said this afternoon that the failure
would probably cause affairs in Wall street
to be
UNSETTLED FOR A FEW DAYS,
but that any excitement cccasioned by it
would soon die away. He could not see any
reason why it should cause any other fail
urcs.
Mr. John Thompson, vice president OF u e
First National Bank, said to a reporter OF
the Evening Post day, g. can only lock
upop it as q failure that will not strike DIS
astrously any persons except brokers who
kept theif accounts there and got theiF
checks certified there" In point OF realty,
CTAL IMPORTANCE.
Its entire effect will not be one fourth as
great Of that of the failure OF Duncan, Sher-
man & Co.
The president of one OF the principal
banks on Wall Street said "This Is rather
unexpected by yerybody. However, | do
not think that it has any ramifcatien that
need give any apprehension at all. There is
no panic, aud no other bank will be unta-
vorably affected"
ANOTHER D.>K OFFICER
in Wall street explained that 10 this case, as
In all similar ones, the chief em barrassmeut
is to depositors,' who are forced 10 make
new loans and open new bank accounts in
order to meet their liabilities. He did not
consider that the final consequences of the
failure would be at all serious.
Mr.. E. Wilson, cashier OF the American
Exchange National Bank, expresses the
opinion that the failure would not have any
appreciable effect upon business, because it
is generally believed that the bank will pay
its depositors. Nobody, he said, has any
doubt about that.
[By Associated PressJ
New YoRK, March '14-The Blnk OF the
State of New York has suspended pay
ment.
The following particulars are given: On
Saturday last the bsnk examiner reported to
a member of the Clearing House Committee
that the affairs OF the bank were In such
condition as to require the attention OF the
Clearing House. The Clearinghouse Com
mittee we're called together late on Saturday,
and after discussion il was decided 10 ell
in the Conference Committee.
A meeting of the joint committees vas
held this morning, and they called before
them Mr.. Duer, the president, aud MIR.
Patrick, the viee-president OF the bank. Not
receiving from them a satisfactory exp!ana.
lion. they unanimously decided to suspend
the bank from the privileges Of the Clearing:
House until q full meeting Of that body couic
be obtained.