The sun. [volume] (New York [N.Y.]) 1833-1916, 1878-01-20
THE UNION TRUST COMPANY.
Passing It's Usual Dividend 10 Replace Some
Doubt f,I Securities

ALBANY, Jan. 19.-It being rumorcd here
that the Union Trust Company Of New York had
passed its usual dividend. THE SUN correspond
ent called ut the Bank Department TO learn the
actual condition OF that institution. according
to the latest examination. gentleman whose
position entities any statement he may mako to
respect says that thore was difference OF
opinion among the directors as to whether or
not n dividend should be paid. and the majority
decided that there should not. but In lieu thereof
some Of the assets OF tho company which were
regarded MS doubtful should be charged of and
the financial condition OF the com pany improved
to that amount On the 18th. 14th. and 18th
Of last month an examination into the con
dition Of the Union Trust Company was made.
under the direction OF the Bank Department. by
Charles L. Orvis. That gentleman has made
his report to the department and. on the whole.
II is said TO be a favorable showing for the com
pany. After making all allowances MIR. Orvis
finds that there Is a, surplus OF sS5.s13.2S; the
company holds bonds and mortgages bearing
six and seven per cent interest TO tho amount Of
s2il ,4J7, 10 its loans on cQllaterals amount to
e nayobr n lem bp o l
tcrcst ut from to per cent. on the currency
and Yer cent. on ihe gold From lhe currency
loss from the shrinkage in value. II has in
vested in United States bonds t2.5Oo,0OO. worth
age during the last year in these securities has
been large. and accounts for the diminution
Of the surplus There have also been
profits have been sufficient to meet. One
invcstmcnt in Lchigh and Wilkesbairre
Central llailroad OF New Jersey. Mr. Orvis says
proved 10 be an unfortunate one. Originally
the company held t2OO,0OO Of the bonds. but the
amount has been reduced to slG7OOO. Mr.;
Orvs puts them In Mt thirty.thrce per cent. Of
thcir face value which Is what they would bring
in the market at the time Of the exam nation.
a a which
were received from tho defaulting secretary are
rated a. worth the sum Mt which they were put
inly the company in ~ annual report.
Tho only real estate the company owns Is silt
uatcd in Elizabeth. n. j.. and is valued ut
d dpO An ap I mt o verdi po was was
simply u payment made for some bonds pur-
chased for dcpositor. and was paid while the
lost sGi l25 10y reason OF the forged check 81 tho
New York Life Insurance Company, and that
amount has been charged to tho account Of
Mr.. Orvis says that, taking into account the
large shrinknge IN United states bonds. ia"
Ichigh and Mllkrsharre Coal Company bonds,
and some others. together with the amount of
the forged check all Of which y has met during
the past year. the company exhibits the ability
I" earn a large amount OF money. lts deposits
amount to t5A75js6l2, on which interest is
pns IF from two te three per cont cent;
The company acts as transfer agent for
nnm,gr of large corporations. the rcvenu"
derived from which source is nearly equal TO
IA" amount Of the cntir" expenses Of tho ins,i-
tuition. Mr.. Orvis compliments the company
upon the way I'm which is books and accounts
| are Kept. ana says the executive management
seems worthy 81 commentator. The company
is custodian Of numerous trusts. many of the
securities OF which consist 81 United States
bonds both coupon and registered and other
available and negotiable securities. amounting
in the total 10 Al 1876 G5jS6. Heretofore It has not
ueen the custom Of tlg department to examine
these securities. hut MIR. Orvis took a now de-
parture in this direction and made n thorough
I examination Of each account and the securities
upperinining TO il. and reports that he found
thom al M called for 10y tho accounts On the
whole. tn" examination of Mr.. Orvi- shows that
the Union Trust Company H. in sound condi-
tion. and when oil tally given 10 the public IN
fun, win III ii VIII be in few days will probably
may entertain a. to the solvcncy Of that institu-
ton.