The sun. [volume] (New York [N.Y.]) 1833-1916, 1877-09-18
EXIT ANOTHER SMALL BANK.
IFS DIRECTORs KNOWINGLY TRANsACT-
ING IN IRREGULAR BUSINESS.
the sur,ri.,na state OF Ami,irs that Bank
Examiner Oryi. Discovered In the Clair
mont savings Bnn,k-Both Sides Heard
Assets, s7y,1p8, Linbiiities, Sf31,xO0.


mont Savings Hnni<-Both sides Heard |
Assets, s73,iy8, Liabiiities, si31,xO0.
The Clairmont Savings Bank at Dcy and
Greenwich streets. was closed 10y order Of Bank
Examiner Charles Eustis OrVs on Saturday
evening. The Carmont Bank occupies rooms
ia the basement OF the North River Bank
building but 1t has nothing more than friendly
relations with the North River Bank. 1t was
organized in 1871, with Mr. sherman Broadwrl
Of South Bergen. ~ j.. formerly President oi
The Iron Bank OF Morristown. as its President
Mr.. Broadwcll has boon sick for some um'. ana
thc suporintcndrnrr Of the banks business
has rcsted on the shoulders of Mr. David J..
Swan. it, Secretary. Although chartered merely
A. a snyiuus bank the Clairmont Bank from its
very b.giunin. certified checks and performed
tn ordinary functions OF u regular bank oi de-
ro-it. This rrcgularity appears to have been
lhe cause OF it, troubles lis business was
never large and its deposits amount TO only
,h,ut 100000. when Mr.. Oryis asrcrtained
whit th" bank was doing he began an cNemina-
ton into it, accounts. While he was in the
bank on saturday II certified check for $4,000
VA. pros entcd through the Bank ofthc Republic.
Nr Swan undertook to pay it by drawing upon
.hc Produce Bank in which his bank usually
hai an account The Produce Bank. through
Nj Conoycr. its Prcsid 'nt, refused the accom-
m1lni n. On tn same day Il check Of the
clnirm ont for 50 500. coming through the North
River Bank. wa- sent back a. not good by Mr..
Connycr. After this Mr.. or,ls ordered the
hunk to stop it. business. llun looking INTO
Il. A.. lnt- he found th.ngs .nroniusion.
Mr. wan told 20 +, plrttr tOr TIE SUN yost'r-
ily that the Clairmont bank nai a.whvs done a
-a,iugs bank. Mr.. Reid. the former Bank
Examiner had sgld HAT such hii-ine- was lr.
re-aiar hut not Illegal. The officers knew that
Did You not consider It unsafe ?" asked the
The trustees favored it, was Mr. Swans re-
ply
How came It that your check was turned
away hy thr Produce Bank 2"
h ha,. The money there 6y tho time the check
~ Nthere. They sometimts allowe us to over
5rew
Nr swan hopoe to ray dopoeitors In full.
Mr. Conoyer of ths Prolirc Bank sail that
been dning a" ktng" Gusin,ss; that is -.nd-
Ing M checks To- Tho proluc, b luk aud them
baforr .Losn II he,.k- had gone through the Clear
ing House. rushing in small deposits to pay
them with. When the two checks mentioned
riuded that TINT sort Of thinE hrd gone far
enough nnl accordingly he refused TO pay
hTyen int 'Ss hs sd " Of a 6nsnss ny tin wH T
arawaI Of depositors weakening It. Its ofi-
pars probahly houed TO have deposits come
In that would hcip them through. and mean
while they kited" Mr. Conoyer spoke OF both
Mr Rrrndweii and Mr. Swan ns honorable and
ratinsfie en,eman' sTu The loss t6romgh The
rlosing of the Clairmont he believes, will be
insignificant.
Mr. Brouiwen although I'll came TO Now York
restar1av int was in The bank only n shorI
{me The "ft,"ers 81 the bank orn Sherman
EroadSell presidSnt; David f. s sTsnb pdber, rits e
cornrl seoonl Vie. President. The trustees
sre h 'h1rt G. CorneIl h. ". RShinson. john b
Eayi"r William ii. Woslom. John i. Briggs
fh,,i', Wii,,,.r G,,rg. NJ. John X
Snir Snnir NV Kpsun Jsmas e PIE William am j
r,, r,rnn ~ u unyi l,I.Drv porson. shermar
BrpadweI. John iatten' c. ID. Disosway. A. L
k,yra '' ~ " - " "