The sun. [volume] (New York [N.Y.]) 1833-1916, 1877-04-24
TRYING A HIGH OFFICIAL.
BANK St'PERTNTENDENTE Ellis fCCUsED
CULPdBLE NEGLIGENCE
Letting nm Insoiven, Savings Bank 20 on DO
Ing Business for More than ~ Year How
A..cts were EstImnted-"s = to q" AenIn.

The Senate Banking Committee, Mcssrs.
Coleman. st. john and Wellman. met at tho
st. Nicholas Hotel yesterday. to investigate tho
charges made by William j. Best receiver OF
tho Mechanics and Traders Savings Bank.
against Dewitt c. Ellis. the Superintendent Of
tho Banking Department. Mr.. John McKcon
appeared as counsel Tor Mr. Best. and Mr.. o.
W. Chapman. cx cx-Supcrintend. mt of Insurance,
for Mr.. Ellis.
The charges are that the Mechanics and
Traders Bank was lnsolyent in July. 1874. the
deficiency then being about 5000 .0OO that this
condition Of the bank was exposed to Mr. Ellis
in September. 1874. by two of its trustees that
Mr. Ellis then personally investigated the affairs
Of the bank that he then said that the bank
was insolyent; that. although frequently re-
1uestcd 10y and on behalf Of the two trustees.
William Floyd and Ira W. Gregory. to take i'm
mediate steps to protect the creditors. he neg
lcctcd to do 50 until January. 1876
In support OF the charges ia submitted n
balance sheet made out and verified under oath
ly George y. Pratt. then general hookkcepcr Of
the bank. showing IA deficiency in July 1854 Of
t2ll.Ol7.j2 The annual report of the Bank>Sg
Department dated March 5. 1878. exhibits thus
bank ns possessing surplus of $G7.2iu In
tlat u 1876 the surplus r reported rs 81 $50 ID.
pointed receiver in July. 1876. the deficiency
hnt r"hrnei nearly s3JuirN.
Gov. Robinson. in sending the charges and
nildayits 70 tn" Senate. oppressed the opinion
that Mr.. Ellis had l"cn culpahly negligent. Tut
had not been guilty Of any intentional wrong
doing. This opinion WIS based upon eN plunn-
tigns made to him hy Mr.. Ellis.
:. Mr. Gregory testified yesterday that he and
MIR FLOYD reported the bank hopelcssly in
solvent on Aug. TO- 1874. As the board would
take no action. they brought the matter to the
utirnilO on Of tho Superintendent. Aftor the cX-
animation Mr.. Eliis told them the deficiency
was only about $4,000 The bank had 900
In North Carolina bonds. Mr.. Ellis estimated
these az 80. whereas they were really 10, t. 20.
Othrr securities were treated In tn. same way.
\ piece Of real estate in Brooklyn was estimated
hy Mr. Ells.ni $4,000 when IN TACT it cost the
Mr William Floyd corrohcrated Mr. Gregory.
and gave an account ut his attempts 70 oust tho
Tho wlin"-- added that b." had hecn a candiiat"
AGAINST tNukln. and believed hr was elected .
ogl n"i 'lns ini.e kng seyCcgogni.d HIM ,r ,Snt
itanoih.r AFFAIR."
"A KAuun. board in other words. said
y. that VIZ it ." replied Mr. Floyd
III rhlt 81 Mr. f,I.-' me i"li"",ns loit'r was
iu-t eft.r hn Ial nud. hi. "fi.iai evamin,tion
AT the request o. Messrs. GrcSoD AMI Floyd:
Aln,sr oct H. i-,4.
-. thc -,oent .e,ii examination nsic hy NJ R.i Of
ir lHmc- AMI Traders s''in.- h'uk ~ Hrirar- that
t.oi BANK consist i.r,,, af s.nt.rn .i,ck. whi'h
un.irhic nni fuctuauus ihatr MATER of opinion
unff.', ir fhc lnisncrtof some cVoccd ~, srionn
l"H. ani 800 nNlns u, 'naail'n of ,n!, o. ,ie se,nr
N. market 1t would le-ar, te ns tar nni 'qniiahe 60
sn,"t mi, "a q t'e .aH reported 70 me
~ eerimn, d,.rlo or TIE bans o. ud ii'"lf M
te u.umai, interest of acio.tors and Substitute for
rcsri 70 ind ilck IT harmony among ilc Boar, of
Tra,ss which tends to s1pps The success OF tne ham
Wr Hfowth ani pfnslrflN w ih. institution