The sun. [volume] (New York [N.Y.]) 1833-1916, 1877-09-24
banking Boufic.

One fine day little S100,O savings bank
is found insOlvcnt-vcry mSch so I'm fact.
The state Examiner, as IL his duty. shuts Il
up. with enc exception, all those connected
with the bank are greatly astonished
The President, for his part, supposed that
the bank was all right, though he has really
known very little about it for a year or so
back He has considered himself as a sort
Of iigurchead and, besides, he has had u
good deal Of other business to look after.
But whenever he has visited the bank, the
people there have told him it was all right,
and he has taken their word for it. II was
only a little onc-horsc bank. anyhow. and he
doesn't see any sense In making such II fuss
over IL.
The trustees, worthy men. are equally
surprised. At least one Of them Is aston
shcd to learn that hc is trustcc-not hav-
ing been previously aware Of the fact. An
other, it Is now asccrtaincd, Withdrew from
the direction some months ago although it
was not thought necessary 10 notify the de-
postors who had been induced to trust their
earnings in the banks keeping by their
confidence in his integrity, Of the cir
cumstancc. But the remaining truss
t"cs, those who have been aware that
they were trustees and have be-
haNcd as such, are quite bowildcrcd
at the banks collapse They cannot under
stand it. they can hardly hclicvcit. They,
too, supposed things were all right. To hc
sure, the majority do not seem to have
known much about what was going on in
side the bank. or To have taken much pains
to know. But there were stated cxamina-
tions and reports. and the Secretary assured
them that all was as il should be. and they
hadn't a suspicion OF the real state Of things.
Mr.. HOYr is especially amazed and shocked.
Secretary SWANS betrayal of his trust fairly
shakes Mr.. HoYTs confidence In human ma
ture.
SWAN, for his part. IS not so much sur
prised. He has seen the crash coming. and
has passed many unhappy hours in consc-
qucnce lie knew it WAS all wrong
clandestinc diversion Of depositors money
to the private business Of individuals; the
utilization II receiptcd gas bills and the like
memorabilia a. assets" the Turing Of truss
tees out to lunch in order that the cash
which they had just counted might hc used
To- release secretly hypothecated securities.
the absence Of which from their place would
let the eat out Of the bag the drawing upon
friendly bank on the chance that
enough money might come in during the
dnv tn ret them out Of the scrape.
| Mr.. Nicc-Prc~idont and Secretary SWAN
| knew II was all wrong even while he was
telling the uninitiatcd trustees that it was
all right. But what could hc do, He did
what HoYr told him 20 do. he says. He
didn't do what HoYT told him not TO do.
| When he demonstrated. IIoYr wrote him let
tcr--hc has published samples of them,
| and very queer reading they nrc demon
-trating that failure to comply with the
writer's instructions would bee sheer ruin for
all concerned. SWAN. according to his own
account. read, trembled, perhaps shed few
tears in private but ended by oheying. He
was clay and Hoyr was his potter. II is
needless 90 say that HoyT's version Of the
matter is essentially different. Possibly the
receiver and the committee of trustees
between them, may In time be able to get at
the truth.
At any rate we wish there was oven as
good chance of the dcpositors getting at
their money There are some nine hundred
or thousand Of them. W" believe. The ma
jority are very poor petty stall-kccpcrs,
hotel servants, mechanics, sailors, and the
like. Perhaps we should apologize for men,
tiVnng such vulgar, illitcrate creatures in
the same breath with their hctters. But,
after all, their savings. pitifuly small a.
| these were, may have been n much to them
if we may compare little things with great
as President BEoADwELL's Investments
are To him.