Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1885-08-21
CLOSED IT'S DOORS.
The city Bank of Fort Worth, Tex,
Closed by an
Order from the Comptroller of the Cur.
reney-Starfling DISCLOSURES

GALVESTON, TEX, August 2O-A
special to the Neaos from Fort Worth
says: The sensational disclosures of yes
terday in relation to the affairs of the
late John Nichols, vice-president and
teller of the City National Bank, re-
suited in run on that institution to-
day. AS soon as the doors were opened
a steady stream of anxious depositors
filed through the bank, and about l
o'clock the crowd, seeing the bank was
paying every one who applied,
quietly began to disperse and the
run ceased. Some business men made
large deposits to show their confidence
in the bank, and matters seemed pro-
crossing favorably for the bank, when
about o'clock, to the surprise of every
one, the banks doors were closed, and
the following notice posted: This bank
has suspended by order of the Comp
troller of the Currency as per telegram"
WASHINGTON, D. c., August 20, 1885.
To A; NJ. BrittOn, President of City National
An examiner has been ordered to take
possession of and examine your bank.
Close the doors and hold all assets as
they are until he arrives.
Deputy Comptroller.
President Britton says that he notified
the Treasury Department, and received
the above reply. Mr.. Britton and num-
Der of other bankers in this city i'm
mediately framed a telegram to the
Comptroller asking him to rescind the
order closing the bank, but just as their
protest was about to be telegraphed, they
discovered forged check for $500, also
a note for 5000, and concluded to allow the
doors to remain closed until thorough
examination has been made. Nichols
was also city treasurer, and an examina-
tion of his accounts to-day revealed the
the fact that he was also defaulter
to the city of Fort Worth to the
amount of 300. His bondsmen
are responsible men, and the prob
abilities are the city will lose moth
ing. Included in his shortage to the city
are $4,000 in city bonds, which are miss
ing, and twenty Tarrant & Co. bonds for
$500 each, aggregating $4,000 market
value. These are supposed to have
been sold in the East. 1t was
also discovered that Nichols, in his ca
pacjty as yice-president of the City
National Bank, had borrowed $4,000
from three other banks in the city.
These loans were Immediately paid by
the City National Bank. 1t is believed
that Nichols hypothecated for personal
loans all his shares of the bank and Of
all other corporations in which he was
stakeholder. AS near as can
be estimated tonight, the short
age of Nichols to the bank and
the city of Fort Worth aggregates 49,
900. His unsecured loans from outside
parties will bring the shortage up to
100000 or over. He owned considera-
BILE property here and at other points in
Texas, but it is believed that
everything was mortgaged to Sc
cure outside loans, the aggregate Of
which no one knows at this time
There no longer exists doubt but thai
Nichols committed suicide. The phys.
clans say the symptoms of his death in
dicate strychnine. No explanation as tt
how or where the dead banker lost all hi
money is yet forthcoming. 1t is sale
that he was interested in silver mines
and other hazardous enterprises.