The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1879-01-08
CLOSING IT'S DOORS.

THE AMERICAN TRUST COMPANY OF NEW JERSEY
ANNOUNCES ITS Observation-Disclosures TO
THE CHANCELLOR FOR RECEIVER.
The American Trust Company of New Jersey, a
leading financial institution of Newark whose Offices
No. TAO Broad street and whose officers include
Cortandt PARKER, Ex-Governor Joel Parker Clerk in
Chancery STAIR Little, William A. Whitehead. the
New Jersey Custodian ex-Speaker Niles, Inslee A.
Hopper and score of other we'll known and wealthy
Jerseymen. with sprinkng Of New Workers. will
to-day it is announced close its doors owing to ina
bility to meet the further demands Of depositors.
From what could be gathered by HERALD reporter
in Newark last night the Of this inability
the same as those that have crippled other Newark
institutionsthe impossibility Of realizing cash
mortgages, real estate bonds and other securities
There is suspicion of any fraud. The
amount due to depositors is $4,000, and
the cash in hand only about $4,000 The
authorized capital Of the bank is s5ooooo and the
one that grants special privileges the bank allows
four per cent per annum interest on deposits. sub
jcct to draft at sight, and special rates on
deposits for specified terms; interest allowed
from date of deposit to date Of Withdrawal. and
credited in account monthly; issues certificates Of
deposit, with or without interest, for remit
tances Investments; is authorized to receive
trusts of every description from courts corporations
and personal Estates collect coupons and interest
hitting or ere iting the same In account as may be
desired to receive for safe keeping valabes OF all
kinds to guarantee the payment of all kinds of EVIL
dcnces of debt, or to purchase the same.
MEETING DIRECTORS.
meeting of the directors was held last July-the
regular half yearly meeting 1t then found that
the amount due to depositors about $75,000 the
same is due to-day. 1t was desired that reserve
fund should be raised to meet all possible demands.
demand therefore made the stock
holders to make o special. deposit of twenty
per cent. This would have realized
tund OF $4,000 The response was discouragingy
weak-a trihe Of about $1,000. In hopes that the
laggards would still come forward business
ried until yesterday, when another meeting OF
directors was held. There present Daniel NJ.
Lyon, Cortlandt Parker, Adolph Schalk, William
Robotham, w. A. Whitehead. John McGregor, Edward
Hood. Thomas w. Langstroth. Alexander Turnbull.
Job s. Crane. PAUL BudeInan and Judge Peabody.
The Board held three hours meeting. from two till
five o'clock. 1t declared that it would be dis
honest to the depositors to carry any further
business they stand. Finally Alexander Turn
bull (who IL of the largest depositors, well
a director and stockholder), Charles n Lockwood
and Job s. Crane were appointed committed to
apply to the Chancellor for the appointment of
ceiver. The application will be made to-day be-
half Of the committee by Mr.. Cortlandt Parker.
WHAT A DIRECTOR SAYS
A leading member of the Board interviewed
last night by HERALD reporter Hecorroborsted the
foregoing statement declared that dollar of the
banks money had been wropgfuy used; that there
was not faint of suspicion about its management
but that it was simply crippled by the blight which
hard times had brought upon its Investments.
There are ample MEANS he said, "to make good
every dollar to depositors but it would take time
realize upon real estate and other sound securities