The New York herald., 1878-01-11
THE DUNNING SUSPENSION.

LIABILITIES OVER SEVEN HUNDRED THOUSAND
DOLLARS, AND NO COMPROMISE EFYEcTED-
STATEMENTS OF BANK OFFICIALS.
Little new light thrown on the affairs Of Mr.. f.
J. Dunuing Jr, yesterday. Every effort put
forth by the assignee, Mr.. L. " Bell, to effect set
tiement with tho banks interested, but definite
conclusion was arrived at At noon conference was
begun OF tho banks, and 1t lasted some hours.
When 1t had becn concluded Mr.. Bell said he could
give no definite Information. He mad tried to urge
the representatives of tho banks into settlement
Some Of them willing to comply with
the terms offered, fcw Of tho officers were
also, but tho directors were not, and so tho
matter remains unsettled. IL am hopes" Mr.
Bell continued OF getting tbom all to agree to a set
tement within a day or two, and until then can say
nothing except this that tue ma,tor promptly
adjusted there will be music" Mr.. Boil would not
say who are Mr.. Dunnings principal creditors That
would be a grave injustice 10 them and might result
In disaster to some who arc concerned. He added
that Mr.. Dunning had done business for $50 RESPONSE
BILE firms and that his conduct censura-
BILE. That all he would say Tor tho present.
THE ESTIMATED LIABILITIES.
Tho amount Mr. Dunnings liabilities
timated on tue street At upward 0! S70o,Ooo Tns
principal creditors were said to DO the Bank OF the
State of New York, American Exchange Bank, Bank
OF Commerce, Corn Exchange Bank, Chemical Bank
and tho Market Bank. Various reports Of the causes
OF the suspension IN circulation but could not
be definitely traced, as neither Mr. Dunning nor Mr.
Bell desired into explanations fully believing
whole matter can be quietly adjusted between
the persons concerned without serious loss Among
other things stated on the street was report that
mel chandiso pledged Tor the payment OF
had separated from notc, and each had been
borrowed upon separately by Mr.. Dunning
Mr. Bell, however, makes the general statement
that the books OF the are all right, SO lar AZ
ho has gene In their examination. He attributes Mr.
Dunnng failure solely to the tact that No made loans
merchants paper. time oans and that he gave too
much money Tor the paper He effected loans on Call
and the present difficulty Is the result Credit has
been far impaired by the recent troubles that the
banks have called their loans and refused to make
others II appears Mr. Dunning's Endorsement was
accepted by the banks as q sufficient guarantee
which to issue call loans and Their or Lack OF con
as entirely sufficient is tho cause Of the suspension.
vIKws BANK OFFICIALS.
Mr.. William Hays, president Ol the Bank OF the
State OF New York, said that Mr.. Dunning had sue
cumbed TO the pressure OF great many simultaneous
demands, but that time was gwen to him he would
be able to pay every dollar OF his indebtedness Tho
Bank OF the State OF New York did not hold quite
$175 his notes, reported and IL had collateral
not bring more than ffty cents on tho dollar. Some
Of the notes wero secured by bills OF lading.
Mr.. Nash, the cashier OF the Corn Exchange Bank,
said that bank holds about $4,000 of Mr. Dunning's
notes. which secured by drug paper OF the face
vauo of about $6000O. This paper had been believed
be perfectly good. and he should DO surprised now
IL there much loss upon It. Perhaps there would
not be any.
Mr. George 8. Coe, president Of the American Ex-
change Bank which holds $1l0,O Of Mr.. Dunning's
notes. did 4pi wish to enter into she details OF the
banks trahsactions He SAID he did not regard the
failure as serious misfortune, and thought that MI.
Dunning had mado Q mistake IN making an assgp-
Mr.. Cyrus ". Flod. who is personal friend Of Nj.
Dunning, exerted himself yesterday on his iricno's
behalf "It Will, doubtless, be some time before tho
matter Is cleared up even settlement Is effected,
he said "If the matter Is not promptly settled II 10
business mostly with wholesale drug. chsmlcai,
paint aud oil trades.