The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1876-03-15

the Comptroller Of Currency, John D.
Knox, for the appointment Of a receiver.
The result Of the investigation Of the
banks accounts tends to show that its fail
ure will not affect any other banks, and it
is thought that the failure will not be fol-
lowed by any other financial disaster.
Mr.. Patrick, Vice President. underwent
long examination before the Clearing
House Commission this morning.
1t is stated that the bank OF the State
Of New York permitted one concern to
overdraw S447, 600 and accepted as secu.
ity for over draft patent about which
little is known, and further lent the same
concern $426, 500 on time secured by malt
to the value Of about half the loan.
Another concern connected with the
southwest trade overdrew S250,0OO and
the bank accepted as security for the
overdratt an assignment OF book ac-
count. The Vice President owes the
bank about $2S00OO secured by real
estate; the party not to transfer an indi-
yidual check for $4,000 drawn by the
Vice President was counted as cash. 1t
is understood that the bank has protested
paper TO the amount OF $4,000. The
depositors Of the bank will lose nothing.
The whole loss is estimated at about one
half the capital, which will fall on the
stockholders. .--
Il is said that the Vice President OF the
bank, Mr.. Patrick, owes 10 it the sum OF
$3.50, 900, secured by real estate which is
alleged to be worth only half that amount.
It has also been said that n check OF Mr..
Patrick's for $4,000 has been counted
among the banks cash. Over drafts to
The amount OF S450,0O0 have been per-
mitted which are only secured by the
patents OF the United States Attrition
Company and the New York City mills.
These patents are for the new process Of
manufacturing flour, the money value OF
which has. not been established. The
company first named has the patent right
for sale, while the New York City
Mills Company was formed for the pur-
pose OF manufacturing by this method.
The firm Of Smith & Giryon, hop and
mault merchants, No. 76 Broad street, are
largely interested in the matter. Mr..
Smith being the President Of one COM
pany, and Mr.. Girvon, Of the other. In
addition to this it is said time loans have
been made TO the amount OF S425, 900,
secured by Smith & Girvon, by malt and
hops, which are said to be Of but half
the value. It is further reported on
excellent authority that overdrafts 10 the
extent Of about $25O,000 were made on
the bank by southwestern produce and
commission house, whose business is
largely in Kentucky, and that these were
secured only by an assignment OF book
accounts. A prominent member Of the
Stock Exchange said this afternoon that
the failure would probably cause affairs
in Wall street to be unsettled for few
days, but that any excitement occasioned |
by it would soon die away. He ecould not
see any reason why it should cause any
other failures. John Thompson, Vice
President of the First National Bank,
said: "I look upon il rs failure that
will not strike disastrously any persons
except the brokers who kept their nc.
counts there and got their checks cert.
fed there. In reality the failure is OF no
commercial or financial Importance. The
entire effect will not be one-fourth as
great as that Of Duncan, Sherman 4 Co.
1t was found that advances to a consider
able amount had been made on grain in
transit, some Of the bills OF lading for
which arc still.remaining in the bank un-
der dates two years old. 1t is said that
the Vice President had been specnlating
with parties on the Produce Exchange.
The course OF the Clearing House Com
mittee in regard TO the Bank Of the Stale
OF New York was unanimously approved
at meeting Of the Clearing House to-
day |