Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1880-06-26
BANK SUSPENSION
THE FARMERS And MECHANICS
BANK OF ST. PAUL.

Unable to Meet Its Obligations Yesterday
Suspended Business and Will Go into LII
quidation-No Loss to Depositors and But
Little to tockholders.
The Farmers and Mechanics bank of st.
Paul, located at lS1 West Third street, sus-
pended business about II 80 yesterday morn
ing. The immediate cause of the suspension
was the inability of the bank to meet check
drawn by City Treasurer REM, in favor of the
Second National bank, for the full amount Of
the citv's balance at the Farmers and Mechan-
les bank. 1t is said that Mr.. REM had been
for two or three days in receipt of the informa-
ton tending to make him believe that the bank
was weak, and the repetition of
that information yesterday morning
caused him to draw for the city's
balance. The check was thrown out at the
clearing house, and after the clearing
house was formally notified that the bank was
unable to meet its obligations and had sus-
pended. The bank has been doing small and
consequently not profitable business for som g
time, but the principal cause of it's failure is
in large proportion of its assets being in such
shape that they could not be converted into
money. 1t is said to be complicated with the
u
and to have some other assets which is also
temporarily inconvertible. But, except from
the delay which must necessarily attend
a settlement of the affairs of the bank, the
creditors will lose nothing, and, under favOra-
BILE circumstances, the stockholders will proba-
bly, also be saved from loss.
TAE CAPITAL STOCK
of the Farmers and Mechanics Bank is
$4,000, divided into shares of 500 each. The
stock list and number of shares in each
name is as follows: @. A. Morton, $50 shares;
A. Wharton, SO; Wharton Il Morton, %; John
harrington, 60; George Culver, 60; Culver &
Harrington, 80; Morris Lamprey, %; John R.
Irvine, 20; R. T. Hand, 10; George Mitsch 10;
H. D. Schmidt, 10; G.. s. Moore, 5; F. j. Metz
ger, q; and harrington, Wharton q Morton, /.
The present officers are: John harrington,
president; Alfred Wharton, vice president; II.
s. Hurter assistant cashier. Directors Alfred
Wharton, O. A. Morton, Geo. Mitsch, John Far
rington, G.. 8. Moore, 81. D. Schmidt and
George Mitsch.
The bank was organized in November, 1871,
and began business with the following
officers: John harrington, president; Alfred
cashier. Directors-George Culver, Alfred
Wharton, Morris Lamprey, Butler Comstock,
George Mitsch. John harrington, VIM g.
Wright, II. ]. Taylor and @. A. Morton. OF
this original board of directors five are now
dead, viz: George Culver, Morris Lamprey
Butler Comstock, VIM. s. Wright and Fl. J.
Taylor. And two others, subsequently men,
bers of the board of the directors, are also dead
Wis John r. Irvine and r. T. Hand.
THE ASSETS AND LIABILITIES
of the bank are as follows: Assets $l02, 1877 SO.
Liabilities 1885, 800. The assets consist of bills
receivable, mortgages and cash. The iabili-
ties consist of $4,000 capital stock and $45,-
600 due depositors etc. Among the deposits
are $10,152.02 to the credit of the
CITY treasury of st. Paul, and 81, l44.24 to the
credit of the treasury of Ramsey county. The
State did not deposit with this bank The city
deposit is secured by bond given by Messrs.
harrington, Morton. Wharton, Moore and
Mitsch and Mrs. Irvine. The county deposit
is secured by bond given by Messrs. Culver
Wharton, Harrington, Morton and Irvine. The
remaining deposits, amounting to $31 ,604. u,
besides those credited to stockholders, are quite
widely divided, generally to the credit of resi-.
dents and business men of upper town. There
are not. so far as could be learned, any heavy
deposits, and there are but few whom the delay
of Judgment will seriously embarrass.
When the condition of the bank became
known yesterday afternoon
PRoFFERs OF ASSISTANCE
were made and it became evident that if assist
ance had been asked the bank need not have
suspended and that if it would be accepted the
bank might resume business this morning.
The stockholders were called together last even
ing and had a long consultation, ending in a
resolve to close the bank and put it's af-
fairs in liquidation. This determination was
based upon the opinion that the business was
not sufficiently promising of prospects to justi-
fy the responsibilities and expenses which
would be increased in undertaking to resume
the business. All present were assured that
not only will the depositors be paid in full with
in reasonable time but that ultimately there
will be little if any loss to the stock holders.
Details of the arrangements for liquidating
were not concluded at late hour last night