The Evening critic. [volume] (Washington, D.C.) 1881-1885, 1884-05-12
THE MARINE BANK FAILURE.
The Preliminary Report of Banl
Examiner Serbia.


Tho preliminary report of Bank Examiner
Serbia, with regard to the Mapine National
Bank, was completed Saturday. 1t shows that
tho bank is hopelessly insolvent and must be
wound up by receiver. The deposits, which
constitute nearly the entire liabilities OF the
bank, amounted when its doors were closed to
about Si,5OO,OOO. Tho report shows that on
these the bank, under the most favorable
management of its assets, will not be able to
pay moro than about eighty.nye cents on the
dollar.
The nominal assets, according to Mr.. Scrl.
ba's report, foot up $5,6OOO0O, while the
actual assets arc only S3,00O,O0O. The assets
consist OF the following items; Property turn
ed over TO the bank by President James ID.
Fish, 100000, the 100000 OF capital stock,
and an equal amount additional for which the
$4,000, 600; total, 5000, 900. OF the 81, 900,
600 loans no less than s2,0O0,0O0 are to the
bankrupt firm of Grant Ward, and these are
properly secured, 5000, 600; second, loans I'm.
properly secured, 100000; third, loans with
out any security at all or overdratts paid,
S000,0O0. The second class OF loans, or those
improperly secured, have been made on Sc
curities OF exceedingly doubtful value, consist
ing Of rehypothecated bonds, &c, principally
the Erie hallway Company. Under ordi.
nary circumstances the amount Of money
which the bank could claim on account OF
these rehypothecated securities from the own
ers would be the difference between the
amount for which they had boon originally
hypothecated and that loaned on them by the
bank. In case collision is established be-
tween the bank officers and Messrs. Grant Il
Ward, who rehypothecatod the bonds 80 as 20
convict the bank authorities OF guilty knowl-
edge, an equitable defense might be interposed
which would make the banks claim OF doubt
ful value. Thus the nominal assets are sub
joct 10 q deduction of $1,700,000 the sum OF
the overdrafts and the improperly secured
| loans reducing them to S3,00000O.
II Ia reported that some OF the claims against
| Grant & Ward are fictitious, and have been
put forward by Ward to enable him TO save
| something for himselfby making assignments
| TO friends under cover OF pretended claims.
| Ward is kept under the surveillance of de-
| tectives, who follow wherever no goes. Crlml-
| nal proceedings against him are probable at
| any moment. Elk. Congressman Freeman
| Clarke, OF Rochester, N. Y, II Is said, some
| tlme ago deposited 10000 In bonds for safe.
| keeping with tho firm of Grant Ward, and
| has discovered that 100000 OF them have
| been negotiated. 1t Is said he has sent his
| attorney to New York TO commence criminal
| prosecution.
| friend OF Mr.. william II. Vanderbilt said
| last evening that one OF tho last acts of tha
| gentleman before sailing for Europe Saturday
| was to return to General and Mr5. Grant thu
| deed Of their property, which they had trans
| ferred to him in payment OF tho Sl5O,OOl
| check he gavo the General on sunday last
| receiving a worthless check OF Grant & Ward 8
| Mr.. Vanderbilt accompanied the return Will
| the remark that General Grant could pay ia
amount OF the check at his leisure, ,ssSgad