New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1877-03-02
ANOTHER BANK SUSPENSION.
PREPARATIONS FOR THE CLOSING OF TIE "Eh""''
SAVINGS BANK OF MoRRIsANIA.

SAVINGS BANK OF MoRIiIsANh
The German Savings Bank OF MOrrisaliia' III
misunderstanding ighthst ana Ihlrda'c' h"s "
come involved and steps have been taken to"aru INC
appo,ntment of receiver. The bank was ncorpor"'"
nv the Legislature in 1868, and for five years gre"
steadily in prosperity. Since 1874, however " MAS
beep gradually losing that year of tho directors
stated the President Gustav Pfefer, exchanged bonus
held by the bank NewJersey Midland bonds 10 tho
amount of 100000. II was known 10 the directors 'h
an exchange Of bonds was to be made; mueeu ]" ""'
been surgesed by the superintendent Of Banks nut 10
one supposed that the Midland bonds would for an III
slant be preferred to those already held This step was "
once lodged TO mistake, and the pubic COLI
fdencc which was impaired at once by the trhnsaco"'
has since steadily declined though the directors "e'
not held blameworthy. At this time the DahK occ"p
mart of a small building on the upper corner OF One
hundred ighthst., for which rental vi
5000 year paid for the first three years ana ABOUT
800 wear for the last years. II was Thought adj
yisae by majority OF the directors to put mp the pres
ent banking building for it was then supposed that 'o
conrts afterward established IN Fordham would SIT there
and IL was believed that the transaction would result
very prohtby to the bank. The building cost ABOUT
$4,000 but the Police Court was established IN foru-
ham and the enterprise proved disastrous one Inc
hank incurred still another misfortune through the
Wonens Benevolent Association, which had about Soo
on dcposit there This society, splitting into two fac
ons the one sued out injunction 10 prevent tue DaK
paying this money 10 tne Quiet ihtIc"l'"h INC
other lion sued the amount aud the counsei ior
the defense negectng attend judgment was rendered
by default for the plaintiffs This rise to the ruor
which rapidy spread. that the bank unable to meet
it liabilities and is said that at this time the lack OF
confidence was developed which has chiefly caused the
present embarrassment
short time ago superintendent Ellis recommended
that the institution closed stating that he REGARDED
this course for the interest OF the dcpostOrs Ac
corljngy the Attorney General obtained on Feb 20 an
Injunction from Judge Yates OF Schenectady restraining
the officers bank from the exercise of corporate
rclts and franchises, and notice served upon them
ON March il Will be moved before Judge Landon, at
Schenectady that the injunction De made perpetual and
receiver Amounted. A director stated yesterday that
since deposits had been Withdrawn 10 an amount
cyrccdiur $4,000; he thought they would aggregate
one time great but aferward. rs IL siOsded some
Srhot the hnnb was able 10 continue PAYMENTS longer
49,, hoeu the directors,
well known and respected IN the community ana IL was
stated Yesterday that their honesty had not been rom
the first suspected Indeed they contributed more IMAM
$4,000 from their own pockets about year ago 10
relieve the bank from lis embarrasSnents One or
two of Inc dcpOsitOrs stated that there was no
hard feeling against the directors ana it was possible
tht ia drpOsItOrs would consent To let the
mstt on continue business me directors ana Officers
The bank assert confidence III Their ahy 10 pay me
liabilities full il thy are not Obliged 10 fOrrc0-e Inc
January rcprrt shows an excess OF assets over 39es
amounting 10 Tl2O9l II; hIi ihr nahhlE plIuns j.
valued iGI3J II. which is believed 10 he
cons dcably larger sIm thnn il could now he sod Tor
The institution holds sd, % IN town bonds 81 when
nearly 100000 bonds Of the town OF s0uhhcd, l.. l.,
have been under litigation, but the cashier yesterday re
,Xrd letter stating that the had been decided in
naa has amount nS To F31O,329; the number
nf omen accnfns Jan l. 1877. was 2,337 the number
opclIcd durin2 so. 23l number closed during lSl6
,t riiyn ~ o{g G,I 20 'Tne largest amount
Sl917 81: the average amount OF cach account
SIS OF The n e OF interest pad deposoTs duilhS
- VA q mere