New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1877-04-24

sham sale OF real estate to one Muvaney and by NC
ttious the hooks made an appearance OF sp
yency thai IL the duty Of Mr. Ellis 10 nave nad INC
bank discontinue business and recommend the Attorney
General to place the institution III the hands oi ro
IL is claimed that the Superintendent should at once
have the Bank Of Lansingburgh on receipt OF
the report stating that the bank was investing III ooa
and railroad stocks which was done y the amount no, o
1900 shares costing S3S4000 but DR. Ellis allowed te
bank To cOnnne business until II failed, III consequence
Of such Investments. -,
The Abingdon Square Savings Bank was examined NOV
4, 1875 by George W. Reid whose report shows that
had exchanged real estate In Brooklyn for purchase
money mortgages which transaction the examiner sau
mi-msnagement of the bank for time previous
Ia tho above examination often Drought 70 the noee
taken proceedings protect depost0rs and creditors
This he did but left the bank in the hands OF sec
ators real estate who threw their losses on the BANK
causing its subsequent disastrous failure which would
have avoided IL the superintendent had done bis
duty. ~
Lastly Mr.. Mack charges that or about March %,
1879, George W. Reid and William I. Aldrich, exam,
ners informed Superintendent Ellis that tue trustees OF
the Bond Street Savings Bank had made large invest
ments not authorized by law, and that there was de.
thereupon became the supcrintendeut's duty
the bank discontinue business, but that no action was
receiver subsequently, in 1876 and depositors have sur
errd loss Of S6OO.OOO. large part OF when woud
have been saved il the superintendent had perlorhed
his duty In 1875.
In the matter Of general neglect and inefcleney is
charged that Dc Witt C. Ellis as superintendent OF the
Banking Department., has so willfuily nesiecieu MS
duties TO have permitted or more savings banks ID
New York City to become insoven without In any man
ner interfering to restrain their continuance IN business
except in one case that OF the Mechancs and Iadrs
Savings Bank that their capital and deposits amounted
10 Sl 100000 about one-haf OF which mas Deeh lost
THAT be has permitted other irreguartles 10
savings banSs which Will appear Oh examination OF MS
reports 10 the Legislature and comparing them Win Tue
records OF his office for fuller explanation
The Governor adds in cOnclusion As the Senate Is
already engaged in investigating charges similar to
these heretofore presented have not deemed it neces
sary to submit those made to Mr.. Ellis for any pre-
limnary explanation his part. The allegations
complained Of in these charges that Mr. Ellis was OH
caly notified by hs own examinations OF the dangerous
and in fact nsOivent condition OF the institutions
named, In several Instances amply sustained Dy the
documentary evIence cited Whether he was guilty
IN any these Instances OF cupabc negligence or OF de-
laying proper action after he mad been 80 n0tned Is
matter Of very ready proof, or dispro0f, before
yO that there be technical Objection TO the III
ycstgatiOn and action upon these charges. again
recommend the removal OF Dewitt c. Ellis from the
Office OF superintendent OF the Banking Department, as
well upon the charges transmit CT herewith as upon
those heretofore presented and under consideration
in the Senate.