Weekly Phoenix herald. [volume] (Phoenix, Maricopa County, Ariz. Territory [Ariz.]) 1882-1896, 1884-05-15
RuusuN Co.
Bankers. OF Tucson and Tomb
stone, Fail.

I y
| noon by The report thai Hudson y
| Tt ole, bankers, of Tucson, had fail
ed, and Information concerning the
matter was eagerly sought through
telegraph ana Otherwise. To day we
are able to Icy before our citizens L
complete account hich we clip
| from the columns CT the C.ttzen:
There was considerable excite
nIent IN business circles last evening
about SIX o'cloe k, ever the au-
uouncom,nt that Hudson 81 Co.,
tanLeIs, lad closed their doors and
had maize an assignment 10 Mr.
4. L. Stiles. The finn was co1sid-
cred a solid one aud tie members
who compose it, Mir, Charles Hud-
son end Col. J. II. Toole, are still
regarded as perfectly good for all
demands against them.
This morning the reporter called
upon Dir. Stiles in the Office of the
bank and he stated that they were
busy adjusting matters ana that he
did Iq link that any of the cred,
itors would lose any hing. At that
time no ngures could be given, but
the affairs of the bank were rapidly
beng put in shape.
The reporter then visited Col.
TocIe at his res ideuce on Stone
Avenue, and found that gentleman
in a somewhat agitaied state of
mind. He said lie felt the blow
terribly, both Financially ard Een-
tally. He had spent the best years
of his life here aud this blow was
one felt 10 be the sevcrest Of all that
had ever been given HIM by the
fates. He says they have Sc curlties
here sufficient to more than pay the
obligations of the firm, and that
they viii at orcc be settled up by
the receiver. lie attribute d the
cause of the failure TO the fact that
the firm had been too liberal in
loans on real estate and to mining
companies The principal trouble
arose in the branch bank ct Tomb
stone, where the firm had large
loans with mining com panIes. The
closing down of some Of the rrinci>
pal mines there had placed them IN
the unpleasant rrGdicament they
are now in and had been The direct
cause of the disaster. The Colonel
slated that he had lost $4,000 in
that bank and that he had positively
taken no action to save himself. He
has family consisting Of a wife
and four children and nothing left,
so far as known, but his home. He
hopes, however, to have The matter
s;raightened out anc place himself
on solid footing financially. He
does not propose TO shirk any obi
ga'lon and will remain in the city
The reporter then called upon
Mr.. Hudson at his residence on
Main street, who has been consid-
eIed the head of the firm. Il was
considerably agitated, but admitted
the reporter readily and made about
the same statement made by Mr..
Tnole The trouble was that the
mining companies at Tombstone
were not expected by them to shut
down before The first of June, and
this expectation placed them in a
position that caused them to close
their doors when the mines shut
tlowa, Mr.. Hudson stated that
neither of the partners in their firm
had Ia ken any steps 10 defraud their
creditors, and that while they might
have held their real and personal
property by transfers, they bad not
lone it, but had placed ell their
lawful poss essions in the hands of
the receiver.
The failure created considerable
excitement, and has been all the talk
on tie streets to>day.
Many depositors who had their
"litlle all'' in the bank became OK
cited, and many exaggei ated reports
were started. The indication, how
ever, that all will get their money
has allayed the excitement to some
extent.
A man who came in from Tomb.
stone this afternoon states that ex>
citement is running high in that
town over the affair, and that some
leading mining men have left the
town to escape the wrath of miners
who had money deposited in the
bank. 1t appears that most of The
miders there had their surplus wages
deposited in the branch bank, and
that they feel that the unceremoni-
GUS shutting down of the works has
caused them the loss.
I he county funds were deposited !
in the bank but the county will not
lose anything by The failure. II B
Tenney, deputy treasurer, said to
the reporter this afternoon that the
treas urer had ample security for the
amount and that there would be no
no trouble regarding the county
finances.
The Odd Fellows had n considers
able amount deposited in the bank,
but it was a special deposit, and
when Justice Scott learned this
morning that the bank had closed |
he walked into the bank and took
charge of the funds. There was
rush at the First Ma
tional Bank this afternoon by per-
sons who had Withdrawn their de-
posts this morning, and after keep
ing the money long enough to warm
it up concluded that the millennium
had not come and were DESTROYS of