The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1878-04-02
THE SIXPENNY.
Interesting Meeting Of the DepOSitOrs'
Joint Committees.
STARTLING REVELATIONS.
Real Estate and Other Operations Con-
demned by Trustee Adams.

pcEBy savings Bank yesterday Al an early nour IN
the morning the walchman and tho Janitor OF the
building took possession Of the Offices and at about
eleven O'Clock Counsellor wakeman, accompanied by
the late President Miles, arrived at the Broadway
entrance and were admitted. Alter remaining until
about noon they retired. Mr.. Wakeman informed
the reporter later that expected tho receiver,
Mr. Russell would be at his post at the bank, but tho
latter gentleman did not put an appearance. Tho
interest centrng around this illtaicd institution
destined 10 cuminate IN another direcuon-viz., at
parlor No. III Astor Housewares revelations OF
dramatic but painful interest took place at later
hour IN the day.
THE DEPosiroRS' COMMITTEES.
little alter three O'Clock the gentlemen composing
the committees OF depositors from Germania AS
semby Rooms, the FIRST District Court meetings, as
well ms the subcommittee tor consultation met in the
Hobbies OF the Aston House and soon aiterward pro.
ceoded to No. Ill, on tho second noor, which had
been engaged tor final consultation with the officials
and counsel OF the bank. The who agreed to
meet the depositors' committees we're James W. Wat
kins stephen Hyatt and William Adams. Tho latter
gentleman, however, was the only OF tho officers
Of the bank who laced depositors. Judge Joachim
sen took the chair aud called the meeting to order
The depositors' committees fully represented,
prominent among the number being c. Stobbins, DR.
Brekos. Morris Dowley Washington Rodman, l.. H.
Rowan, Mr.. Mcnamara and Mrs Elizabeth Maoy, a
lazy member
Judge JoAoHMsES stated that he had conference
with the Attorney General that morning, who had
assured him OF his sympathy aud said that II his
gagements permitted he would visit tho committees
meeting in the afternoon.
A man who avowed himself a poor printer, but a
depostor OF considerable money in the bank, the
first speaker and no moved that the bank trustees be
continued In office and the receiver discharged. This
resolution was laid the table. Al this moment
Mr. Wakeman the counsel Of the bank, arrived and
was soon under fire OF cross examination from mem
bers OF the committee. The questions and
cannot fail to be Of the utmost to the depos
itors IN the slxpenny Savings Bank.
Mr. srEBniSs--In the mattor Of the mortgage on the
SpoGord properly 1t due in 1S7l aud is not yet
collected as am Informed. Is this SO?
Mr. WAKKMAN-Yos, l believe you ara correct.
Four concurrent mortgages of $751; 500 were made. of
which this bank holds | do not know who hold
the rest believe tho security to be good and thnk
the interest has beer promptly paid
Mr.. STEBBiNs-l am informed on reliable authority
that two years ago tho property was offered az
$500, 00o.
Judge JoAcuMssS--What relation has the trustee
Cromwell with TINS loany
Mr. wAKEMAS (cvasivey)--I cannot tell you. can
only say oeieye the security IS good and the bank
PERTINENT QUESTIONS
Judge JoAcHiMsEN-Mr Wax man. do you know of
your own knowledge whether the assets set forth
the schedule OF the bank, IN vaults OF that
institution or notY
Mr. Wakeman could not answer that question. rs
1t had been INTENDED the ex-Presidont and receiver
should 90 over tnem, but this mad yet been donc
Judge JoAcHIasES--how many OF tho mortgage Sc
curities can b. transferred TO otner DanknY
Mr.. WAKEMAS-l cannot say. Banks, as rule, pre-
fer seiect Their own loans.
Mr.. srEamSs-ihe EXAMINERS report says that
$3.50 been loaned properties, the
Of tile OF winch arc not IN the OF the
Mr.. WAKEMAy--i regret 70 say this Is so. Tho lor-
mer counsel OF the bank, Mr.. smith Barker, during
hs lifetime had been IN tho habit OF keeping them in
his oilice.
Mr. srEBBISs--The Bank Examiner says they were
not proven and he could no, reach thcm.
IL bore leaked out through Dir. Waxcman that tho
brother OF l.. ii. Rowan, who has becn so active on
all tho committees was an assistant 10 the law oice
oil the late smith Barker, and Mr.. Rowan sprang 10
his that whenever his brother ned
a title the papers we're del vered to the bank
Judge JoAcuMsEy-A bank loses IFS cnnrter for
three reasons-uop Gsor, insolvency or violation OF
Law. Now, the question - sir Wa1eman, IS TINS bank
solvent?
Mr. WAxsMAx-I think So fake Tor example $40
shares Mercantile trust Company. whicn PCT
down ut eighty ave cents The same examiner GER
titled under oath short time since that TINS same
company mad $4,000 Surplus. his Is one case.
Then tho United states bonds nave appreciated ono
per cent
PROBING THE NATTER
Judge JoAcHiMsES-Has the baak done anything to
forfeit us charter sucn keeping account
Mr. WAKka NJ believe there was loan 10 John j.
Cisco OF douutiu legality.
Judge JoAcnIMsEN--iIvw about n loan to Mr.. Hyatt,
one OF the LlustcesY
Mr. wAKgMAN- understood a oap had been made
to the wIie OF Mr. Hyatt Gu some property that was
Mr. RopMAN--Do you recogni 20 "A concurrent mort
gage II nrst class security tor savings bank 10
Mr. wAKEmAS--Had been tho counsel OF tho bank
l should have put my foot down On II.
HASTE FOR REcRIyERsniP.
Sir. McNAMAKA--Did the officers of The bank send
lawyer 10 Albany 10 get gentleman vi tncir own
nainIng appointed "A receiverr
ihis Drought out rome interesting facts. viz:-that
Mr. samuel Marsh. lawyer OF Park row, was sent TO
Albany By Al les ana CROMWELL The trustees TO sug-
COST the name OF either SIR. LOOMS certain MI
Biydenuurgh 10 the Attorney General, either OF whom
would he proper person Tor tue rcceSerahip 20
they represented. TINS was zone Ia The lace OF tho
lac tBat, since the appointment 81 Mr. Russell ny
Judge weslbrook these very persons and Their
Trends have been most ciilnorous 10 have the ra-
G iver set aside aud themselves retained
| Yes, said Judge JoAcIiM-ES, Attorney General
schoonmaKcr rs my authority that Ia young laxyer
without experience proposed to him bong ac-
cep able 10 the Uank trustees ior receiver.
Mr. wAKEMAS defended Mr.. Aies from the impnta-
bad faith. aud threw the blame unsparingy on
Mr. Marsh. Botb Mr.. WaSeman and hr. Dowloy read
letters from judge Wostprook, ~ winch the situation
setting ASIDE receiver The counsel hnaIiy SAID
he presented the desire Of The trustees TO place
tneir properly IN me depository hhnasi hts duty
was done ne rctlred
Mr. Rowan nov obtained the floor, and declared
that under contingencies, aud before ino de-
posters need submit 20 this receiver, they couiu 20
into mo Bankrupt court ana ioree a compromise
settlement under rs laws
sESsAnox ASp
Mr.. ADAMS, the on,y trustee who present at the
meeting, and who seemed 10 be aperng una,r more pr
lees excitement as ais.g.eabic iacts came oa nero
arose and said
sAr CnARMAS--l, has been proposed here that tho
trustees maze up the deficiency VA the Uahk, ana thnt
thea tho uepos,tors 30 before The Court ailcgo
The sovoncy of the concern, nave The receiver soL
asldc ana appoint trustees oi their own uufnoer 10
administer It's affairs WIND them NJ agree with
ihi. 1 will speak Tor fnysclf ahd viii subscribe
$4,000 Tor tina, purpose aDa thlnk Know three or
four other trustees VINO Will DO tie same. nav"
been Tor twenty-five ycare connected wan the pans
aud have always been ~ minority, ana generally
ngnting the riBg.'N tAppausel
/ rnK LOAN
'ln regard to tho large sum iotncd on the Spohord
property continued SIR. ADAMS ~ VIII say tnAt "
had been consulted the mortgage would never awe
been cousummsicl; Dut spunord mcsmerizcd Miles,
and guess got si5OOVJ out uf him altogether. For
years saw we're going all wrong, Knew We weto
solvent but good many OF our real estate matters
wanted nursing About tbres years since wo re.
orgaL ized appointed hnaheo committee,
i but they turnca out little loose anu thcy
4 were sent adrit | don't believe that our
real estate Under tho hammer to-day would
sell Tor much less than IL has been valued
at, but must II; could come out all ristt