The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1877-05-19

alike mitce on tho ,art OF tho senate which was
Mcssrs Woodin, Carpenter aud Gerard.
The Repeating &C, relative 10 parade ground IN New
YORK city was passed to-day.
THE ELLIS INVESTIGATION.
EXAMINATION OF THE CHARGES RELATIVE TO
THE THIRD AVENUE SAVINGS BANK.
ALBANY, y. ~, May Is. 1877.
The Senate Banking Committee held meeting at
Congress Hall this morning and continued tho invcsti-
cation OF charges against superintendent Ellis relative
10 the Third Avenue Savings Bank. Mr. Olnslcad up
pcarcd as counsel tor Mr. Mallon, who makes the
charges
Henry l.. Lamb. Deputy superintendent, was sworn
and produced Rcd's report OF the examination OF
Maroa ~, 1875 ,he letter OF Ellis the Att orney Gen
era on September 20 recommending the closing OF The
bank and The regular reports Of tho bank Tor January
and July previous. Witness had thought 1t best
close the institution after the report In March, but
Mr.. Ellis thought II best await legislation then pond.
Ing, under which no thought u might rccuperatc.
HAN Kingsley, deputy cIcrk Of Albany county,
produced tho pagers lilo in his office relative the
proceedings Tor closing The bank
ATTORNEY okNgRAL rArhcimLp SWORN
Attorney General Fairchild testified that he was
Deputy Attorney General under Judge Pratt, aud had
taken charge OF the proceedings at tho time Carnan
was appointed receiver OF the bank he was agreed
never commences proceedings TO close up n bank
except upon the recommendation OF the Bank Supern-
tendont; he had closed up several banks, und ALL with
one exception, upon ao recommendation OF tue super
nendcnt !. that exception was where bank had vo-
uh'arsy hovcu pr ccoW9r; ,noIe Was no opposition
To the closing up Of the Third Avenue Bank. on the
part oil the trustees, lar Ms he knew, except that
thcro was contest as 10 tho amount oil BOMBS which
MI. GLls' TESTIMONY. .stE 8HH
Mr. Ellis testified that 40 bank had been placed in
the hands OF receiver since lad been supcrntcnd-
.
German savings Bank, and mat Was prtialiy due to
lus acilon, Mr. Rod, the examiner. was muk,ng nm
OF that Dauk whep tho President suddenly
decided to close up anu applied Al occ Tor receiver
the dlosu2 ny WAS paft .Se 10 Inc aet % the exs-
Ination; lie considered Rod very TAFT HUI examiner
had heard hints OF incompctency his part unui
tncso Investigations camo up
letter Of INSTRUCTIONS lsom Eiis to Reid at the be-
ginning oil his ,crm Was rsud declaring The object OF
all Investigations 10 DO TO reach the true condition OF
tho banks without partiaiiiy or bias.
Wtucss rcsaming, saul Had always accepted
Red's reports as truthful and correct II was rraci-
csly impossible 10 mako an examnatio on OF all tho
banks III the time required By the Law vi 1871 he had
commissioned Reid, vrooman and Aidricn in.Aprii.
1873. 10 examine ihs Tatsd Avenue Savings Bank the
records then showed that there had been great
the bank, but Howell, the preceding Supcrintend-
cnt, hau required certain bonds oil tnc trus.ccs, and
the supreme Court had refused TO appoint a rcccyer
upon tue same assets whch tho examination made by
Rcid and the other Two examiners ~ April showed
DC st,i on hand these assets yubstant,ally
the same down 70 1876 does not think that inc value
OF tho bank building had been Increased 100000 IN
the report during bis time. 44Wa @AN
The reports were here referred 10 and they showed
that the nsures oil the oi tho bank house
were returned irom 1873 up To January 1870, when IT
raised hon $4,000 to Sl75,OD0. THIS might
have been due 20 Improvements; tho examiucr re-
turned IN the succeeding Marcn at s1sDn00; there
were ABOUT two hundred reports coming Ia az ouce;
the reports also showed TINT no increase had been
made IN tho rarrytown property or IN tho balance Of
the real estate during Tie term o. years, except
that mortgage had been reduced BY some 81 00J the
interest OF the bank Ia II being corrcspond-
iney Increased; he had declined 10 close 40
ln Marth 1fen
the present General Ssvasgs Bank law then
pending IN the Legislature, and nc believed under IL
by provision Tor tho merging OF weak banks with
stronger once he could save number OF weaker ones;
he coniiicnt that The closing up OF the THIRD
Avenue Savings BANK would preclpnatc the closing Of
a number OF olhers, aud no horcd, under tue mer.
ing clause, 10 save most OF them; he went 10 New
York to consult with u nunoer OF SAVINGS bank poo
pie upon The subject.
Nh. oIms,cad objected to his saying what other
people told him.
Mr. Coleman ruled that the evidence was nuinis-
sble.
Mr. Ellis, continuing, said that he tried 10 cfcc; a
consolidation OF a number OF tbe smaller banks and
talked with the officers upon that subject; Il proved to
be unsuccessful, however; he would hot have
sen,ed TO merge tho Third Avenue. because he had
made up his mind u would have to 20; the others
might 60 TOO Il they not merged, during tho
sumner there were number Ci iauIcs anon.
Duncan, sherman 4 Co Jailed, among Others;
he consulted with Ncssrs. John j. Cisco,
Morrison, Kcauaday Macy md Stewart. all
prominent bank officers. anu. all Of them said tho
third Avenue Bank ought not 10 be closed up under the
circuns stances and on that advice he delayed closing
up The Dau. anti ak weeks atcrward. he acted then
according 10 hs duty, and he believed now II was 70
tho best interests u tho dcpcsiiors there wore no
relations between HIM aud the officers OF the bank
winch would inducc him to delay he aid not person.
ally know OF them.
Mr.. Uimstcad conducted cross-cxaminniion at
some length but without impunging any oi the testi
mony gwen on tho direct examination.
SIR Ellis SAID That he us,ipy read ovor the bank re-
ports, but he did not abnatc them do tho clerical
work required upon them 10 his Office.
The committee then closed the testimony and nd
journcd