The New York herald., 1878-03-07
IMPAIRED CAPITAL
A Deficiency Discovered in the Brewers
and GrOcerS' Bank.
THE LATE CASHIERS ACCOUNTS
Required Either to Repair or
Reduce It's Capital.


faded to In Yesterdays HERALD, were more generally
canvassed py dow nown bank officials during the day.
The President OF one OF tho most prominent banks
along Broadway said TO the HERALD reporter hat no
had been informed positively from two different and
independent sources the deficit in the cashiers
accounts fully $l5, 600.
Mr.. Charles 4. Orvis, who had made the cxamna-
tou by order OF Super Lamb was not in his
ONCE whom the reporter called. but Mr.. A. B. Kirt-
land State Bank Examiner. founa at the Now
York HOTEL He stated that at tho request OF prom,
ncnt bank officers down town Mr.. Lamb the bank
superintendent at Albany, had commissioned him TO
investigate the AFFAIRS Of the Brewers and Grocers'
Bank, proceeding not usually gone into with state
banks except at the solicitation OF interested parties
Shortly after Mr.. Orvis name added 10 the com.
mission, and conducted the investigation. AS re-
suit OF that examination Superintendent Lamb
has made requistion upon the directors to make
good tho deficiency their capital 10 reduce their
capital i'm mediatey. Following is the Official report
20 the Banking Department.
THE EXAMINERS REroRr
NEW YORK. Feh %, 1873
Hon. HENRY l.. LANE Acting Superintendent Banking
sn-in pursuance With your Instructions to examine
n," sns sSa IN
tho city .. Nsw & as sS ss on
hsresei Is ssa.emsnt liabilities found
. to
e ~ 9a ,s us % Haad In
eiadss an amount Of si4sii which dsesnni
=; % G he 9ics ns on to Ds
month OF Feeruary AZ four months time Tor ae%at
wsS s G"' SS in time thu or arsS s
ordna tho also found among these bills
% ies%sn ssSasis Brother aataflas iro% Aay. 1878
msFS's nay director % Of heb IN
Informed the directors that could not consider this
q; nss"s sx"d @ On s.f1 .s ssy
the % s.s syn os a move ms 70 y s
seven ans Of the capital stock q tie bank
Of Mr. solomon MeirSsck. Of tie who is
also Of the second Avsrns %
appears |" be sasient to secure the bank The
Snns esss e.. s "'a''' ''
following banks had under discount for this bank and
hs.ssm ns.Ss IT.; on% York city 7
Ehsmis. Bank New .w Xok ya,y 81
Bank Of North America Nav York ciy le.465 IL
lsrcsu.ile National Bank Of Hartford New 20 s.o 90
S.d the bank: in ih. city Of New York holding this
ss
s. .sis:;s ny
have s s:sinsssd ios pioOabs loss this paper Of
The Gail loan. to 50 700; and to be
for Of sAs % sd '1ns shs s S
Sy this :1snes % sns If 9 O. TO ks
. sGa Ss g "a is s. s
By s. sS ad he % s.
issss L:
s.sF % "a va: sss : ss
s :ssS sss.. sss Bs'' s sssi
,D. Ays Ssop.y sS1'ssss sssd 'ss and y'T'
msra.ss nna .Sss o. 81 $1,000 held which
session building IS serious ,n.ti.a
sssaor sa n ss aud are making TO get II
properly rented h In ns not Of S the
The amount was carried ale along by memorandums IN the
whcn paid reduce this ticket. aud entries
made to adjust the a accounts, ,9rns,,c, srs,rx
The bushes; has not been a0ns wh that n and
and tor and
20 open % account the bank Il. H"sSa under,
Their dem large; the bank not being able
cashier ndorsca the name BANK o" Their paper and
had 1 Sn. +" m os n. to s'
directors and dealers The result Of this was upon tho
"s an amount si oov outstanding. OF this
ss ~e ss pS@ ~ ya with s 3"
bank For this Mesws samues have given their
whom saw denied ali knowledge transsction and
cashier had
q tho bank the paper.
nEssEs
examination OF the books that Mr.. Hesso,
cashier did to be made such entries
enabled him this matter along without its being
known the directors The manner of conducting th-
buspess OF toe bank and desire OF its cashier and
some directors accommodate large borrowers
has caused good deal OF fnancierug and
borrowing. which. together with the isfactory
way the cashier carried the Samuels matter,
caused in the Board OF
result removal since then Mr. Hesss uate easher)
and his vile have paid ~ 400. she has given her
note charging TO the OF $1,000
60 make good any deficiency which may ultimately
from his the their
opinion r. Hesse 18th tue aid OF his trends
fm the of Samueis' notes. will eventually
the bank from have deemed proper O nut
any vaiue o this claim.
LIABILITIES.
Asseis
Bills discounted-maturing. $117.3l2 ~
Hills Observation-Disclosures S2.lt6 -
Bills discounted, past due. ........... .%S.s>s -
Less TOR estimut loss 4u27 u 1851 %
Total. al............................. $2Oi,J!Y
Tall Y.1DI On