Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1885-08-22
A BIG STEAL.
The Fort Worth Bank, Texas, Suspends
Payment-Nichols n Defaulter to the
Tune ef 100000.

GALVESTON, Tex, Aug. 81.
special from Fort Worth says: The
sensational disclosures. of Wednesday in re-
lation to the affairs of the late John Nichols,
vice president and teller of the National
Bank, resulted in run on that institution,
Thursday. As soon as the doors were open
a steady stream of anxious depositors filed
through the bank, and about one o'clock the
crowd seeing that 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, end matters seemed to be pro-
crossing favorably for the bank, when about
two O'Clock, to the surprise of every one,
the doors of the bank were closed and the
following notice posted:
"This bank has suspended by order of the
comptroller of currency as per telegram to
VIM. A. Britton. President of the City Ma
tional Bank:
WARRINGTON, Aug. "a.
An examiner has just been sent to take
possession of and examine your bank. Close
the doors and hold all assets as they are until
his arrival.
j. S. LoNGwoRrHY,
Deputy Comptroller"
President Britton states that he notified the
treasury department of the defalcation and
receive the above reply.
Mr.. Britton and a numbe of other bankers
in this city Immediately framed q telegram to
the comptroller asked him to remand the
order closing the bank, but just as their pro-
test was about to be telegraphed they dis
covered forged check for $500. also a note
for 5000 and concluded to allow the doors to
remain closed until a thorough examination
has been made.
Nichols was also city treasurer and an ex-
animation of his accounts, to-day, revealed
the fact that he was also defaulter to the
city of Fort Worth in the sum of S3l, 800.
His bondsmen are responsible men and the
probabilities are that the city will lose moth
ing. Included in his shortage to the city are
$4,000 in city bonds witch are missing, and
twenty Torrent county bonds numbered from
"a to 55 for $500 each, aggregating $4,000
market value. These bonds are also missing
and are supposed to have been sold in the
east. 1t was also discovered that Nichols in
his capacity as vice president of the City
National Bank had borrowed $4,000 from
thre. 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 in the bank and other corporations
In which he was q stock holder. As near a.
can be estimated the shortage OF Nichols to
the bank and the city of Fort Worth aggre-
gates S75, 900. His unsecured loans from
outside parties will bring his shortage up to
100000 or over. He owned considerable
valuable property here and at other points in
Texas. 1t ia believed that everything was
mortgaged 10 secure outside loans, the az.
gregate Of which no one at this time knows
There no longer exists any doubt but that
Nichols committed suicide. Physicians say
that the symptoms of his death indicate
strychnine. No explanation as to how or
where the dead banker lost his money il
forthcoming. 1t is said that he was inter-
ested in silver mines and other hazardous
enterprises.