New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1877-05-09

INVESTIGATION or TIE SECOND SERIES or CHARGE
AGAINST SUPER lNTENDENT ELLIS

INVESTIGATION or THE SECOND SERIES or CHARGES
AGAINST SUPER NTENDENT ELLIS.
ALBANY, May S.-The Senate Committee on
Banking met this morning 10 begin an examination into
the series OF charges preferred against supeinend
emf Ellis Mr. Ellis was present with his counsel Sena-
Tor Coleman reai the Governors message and to the
first charge referring the Bond Street Bank, Mr. Ellis
made a formal denial John Mack, who presented the
charges to the Governor called upon TO subsianate
them lie uuproyided with witnesses but obtained
perm Sson to put IN documentary evidence, consisting
of the report OF Bank Examiner George W. Reid, made
on the 18th Of March 1879 Of the Bond Street Savings
Bapk which states chat there a deficiency in tho
income Of the bank that year OF 49, due TO the small
amount Of rent received for its new and old banking
houses and the suspension Of interest ON certain town
hands then In litigation. The charge OF allowing the
l,,i IN roll. Investments not authorized by law
q la4u OF $4,000 Lad been made 20 tue NeW-l OK ana
o.,.cro Midland Railroad on $4,000 OF N-wJerscy
town bonds which 10 is shown 10y the report had been
I'D u az 90 and have since appreciated 10 50 aun 80
the arrangement foi The payment Of interest on them
h-.u.s nearly completed. The same examination also
shows the surplus ia the bank 10 that time I'D nave Dech
Sl8j,73I O5. Counsel Tor Mi BINS admitted that To-
crlvcr was appointed in 1876. ..,,
special charter IN 1850 as the Auantc savings hdnh
Ia, chang. q Us name few years ago Al ~ SEC ultl's
were such were authorized 10y Jaw lac f3"OoV trans
action in Midland RAILROAD STOCK was @ "i 'D' CIV
Investment. The trustees were empowered TO 10 ht
such loan by Their charter. iiG oXimn5Is report or
1873 showed surplu, of over lYuUo-i Tag 70 surplus
for so small bank, aud receiver could
not have bceu appointed Win sucH q sIL"Ius
m was not illegal for the trustees 10 declare
a dividend to dopositors, even though uty
had moi earned {. during tue dividend period ihc hinh
had surplus when application Tor eccIN'f was maze
II being thought cXpcucut 20 close business OWING 70
steady withdrawal Of deposits The receiver hdd tOii
him within "a week thar inc had pud 90 cents on thc
dollar ana would very ke' he ajlt 10 '' D" ilI
receiver has not sold the real estate, or realized upon
4 number OF other assets.
lc charge 10 atye L. the Peoples Bank was taken up
10 The effect that IN Ellis had been inform, u NQNcm
Der 1875 y Examiner Reid, that the People, Ia1k lad
a large deficiency Of assets and $4,000 denctuc! lt
actual income. No receiver was aiiVulucd untu $50
Nr Ellis testified that he had received the report ol me
examiner Ic day after 10 Uadc, aud reported the
matter To the Attorney Genera! viii recommendation
10 close up bank the same day. lIreoIi d'i z
aerNaId the order TO CLOSE u the bank d cn Issued
and l9 DAYS aftciward L. Y. French appointed Re
CeIyer Tie bank has paid SO cents on the dollar since
was closed.
Tao charge relative 90 the Trades savings Bans was
read and tie reports Of the bank for January ls1G anG
NJ thc examiner on Jan 49, 1876, we're admitted evil
dence Henry J. Lamb, Deputy superintendent o. ihc
BANKING Departucut, testified that tLerc was no other
eYamipstinn until Aug. T. MI. Ellis ah,eu. u
August when Mr. Reed forwarded another report a. Oh
which b. adiudscd 10 insot aud three days ter
ward he reported 1t ~ the Attorney General