The New York herald., 1878-11-01
FAILURE OF A GERMAN BANKING FIRM.
lBY TELEGRAPH TO THE HERALD


CINCINNATI, Ohio, Oct. 81, 1873
The banging house OF Joseph A Hcmann L Co, for
many years regarded OF the most solid OF our
German banking institutions, closed its doors
this afternoon with the announcement that
II has been compelled to suspend There hos
been slight run on the concern from small depos-
itors Tor day or two past and to-day Il increased
until tho middle Of the afternoon, when tho doors
closed. For many years Hsmann's Bank was
known the depository OF funds accumulate IN toe
hsnds OF Archbishop Purcell, ana II was understood
that bo had additiOn, large sums OF money belonging
to societies and priests Of tho Csth0ic Church.
v no controls his money airalrs in an intsrve~ this
evening said that no withdrew tho deposits somo
months ago. and that many other depostors OF their
Church, acting his ample, had Withdrawn their
money. II Is known, however, that several osncvo-
len. societies mad money deposited In tho bank. Tho
bihtiss, but IL will be rsm S175,0 900 $400O00 He
has real estate valued $7000O and other
was caused BY heavy losses they lad lately met
with and the tmposstblIty TO collect their loans
they ma'ured They mad agreed to pay s,x per cen.
many small doposiors. There 10 considerable feeling
among this ciass against tho concern.
TWO WASHINGTON INSTITUTIONS CLOSED.
WASHINGTON, D. G., Oct 81 1878
Tho German-Amcrican National Bank, an institu-
ton which grew out OF the German American Savings
Bank and occupied the Same building with that In
stitution at tho corner OF Seventh and r streets,
northwest, suspended TINS morning. Tho German
American Savings Bank has also closed its and
put up The following notice:-
Owing 10 the suspension Of the Gsrman-AmericaH
National Bank this bank 10 forced 70 close.
The officials Of the savings bank, however, declare
that their institution is sound Bon Of these banks
ewnsd aud pasronized principally BY Germans,
and the suspension caused much surprise, a. they
regarded az sound. An excited crowd surrounds
The German American National BANK was organ.
izcd May H. 1877, with capital OF $3.50 600 and str
culation OF $63, 900 Tbs president 10 John Hz the
SWISS Consu General 10 this city. and tho cashier
Mr. O. 4. Prenttss. The OF the failure the
inability OF the bank to realize upon mortgages upon
real estate, Ia which It had large amount Of money
Comptroller Knox this morning detailed National
Bank Examiner B. U. Keyssr 70 examine she Affairs
tablishm hmenI After hasty exain,oaton he stated Il
probable that the depositors will bs Daid in full.
Tho directors OF the bank were called together
yesterday. The result OF tho meeting that II was
deemed bost close the bank because there
mands made upon It which II was known Ihoy coud
not meet without saorincing assets under ths ham
mer which would DOT. bring the amount OF tho
banks claim ON the nortgsgc4 Fromthe best In
Ss,e sSou, ssaSo This Was Distributed s%onx
a large number OF deposttors, although thcro were
many largo individual deposit accounts. Tho Ger.
man. American savings Bank, which was run IN con-
nection with the National Bank, seems have
caused the trouble. IL Is said that the National
have to-day; but the savings bank
real estate, which the law forbids national bank
20 40, was the cause OF the trouble.
The National Bank Was not government deposit
tory and therefore Unitod States funds In H.
Quite number Of governments clerks, however. had
deposits ihorc Tho bank has paid no dividend for
sho last eightecn month";
sJerry." tho Presidents oosehman, lost his
savings, $450 The bank was tho agent OF sne Ger
mania Liis Insurance Company OF Now York. rho
company viii lose heavily II II thought about $3o, 900
or $35. .00o
TIE last statement or the bank made 70 tho Comp
troiicr or the Currency on the 18th inst II
shows the resources were $53l, l,911 o. rhs indivi-
dual deposits at the time wore $303, AT o.. The
ofnccrs OF the banks promise TO make 9 statement
tomorrow covering tho actual condition Of both the
national bank and the savings bank.