The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1886-02-03
RITZINGERS FAILURE.
The Well-KnOwn Banking Firm Of F. L. &
A. W. Rkinger Make an Assignment
The Act Rendered Necessary by Recent In
vestments A Run Inagurated Against
S.A. Fletcher 4 Co., but All De-
mands Promptly Met.

yesterday by notice posted at the door, in
forming the public that the firm had made
an assignment for the benefit of creditors.
1t has been an open secret for some days that
the firm was considerably embarrassed, but
the Sentinel, hoping that an arrangement
might be perfected which would enable the
bank to continue business, and not wishing
to create any uneasiness in the community,
reirained from giving publicity to the ru-
morS in circulation. Men were seen who
had withdrawn their deposits from Ritzing-
er's, and who did not hesitate to declare that
a collapse OF the institution was imminent.
These rumors continued throughout
Saturday and Sunday, and on Sunday
night the Sentinel received information
which led to the belief that the bank would
not open its doors on yesterday. Members of
the firm were known to be engaged in the
bank, and at 1:30 a. m. a Sentinel reporter
visited the bank, and just as he reached the
door representative of morning contem-
porary passed out. A knock at the door
brought the Junior member, and the follow
ing conversation took place between him and
the representative of this paper:
Reporter-Mr Ritzinger, you of course
know the rumors in circulation regarding
your business, and while the Sentinel does
not desire to make any publication that will
excite the people to a run upon your bank,
If it is not your intention TO open your doors
tomorrow, the Sentinel would like to have
the information.
Mr. RitZinger-Yes, of course, am aware
of the rumors, but you wait and see if we are
not open in the morning.
Reporter saw a representative of an
other paper leaving here as l approached,
and if you gave him any information /
think it but fair that you should give to the
Sentinel the same.
Mr.. Ritzinger-Yes, q reporter came here
and made some very impertinent inquiries,
and i sent him about his business with the
answer he deserved.
Reporter-Then it is not true that you
have arranged not to open in the morning?
If you have of course the publication of the
fact would not injure you in any regard.
Mr.. Ritzinger-You just wait till morning
and see if the bank is not open as usual.
This was not as satisfactory as the Sentinel
desired, but taking into consideration the
fact that the rumors in circulation would
naturally tend to make Mr.. RitZInger disin-
clined 20 discuss his business, the reporter
accepted as true the inference which his
language BORE and did not pursue the in
vestigation further. Still, being unwilling
to excite the people of the city by any pub
hcation regarding the banks condition, and
not knowing that information would be
given TO contemporaries and not 10
the Sentinel, this paper said moth
ing Yesterday morning concerning the
banks affairs. Having pursued such con-
seryatiye policy regarding the Ritzingers,
the SentinePs surprise can be imagined
when yesterday morning it found in its con-
temporaries the very information, coming
from the RitZingers themselves, which the
Sentinel had asked. and which had been re-
fused TO it in the evasive answers given by
the junior member of the firm when called
upon at his place of business. What actuated
such a discrimination is a matter for
which the Sentinel fines no adequate ex-
planation. When the reporter called at 1:30
a. m. the deed OF assignment had been made
and the publication of the fact in the Senti-
mel would not have caused any addl-
tjonal complications to the firm which had
already collapsed. Certainly the readers of
the Sentinel who happened to be patrons of
the Ritzingers, were entitled TO the informa-
ton regarding their business rs early as the
readers Of its contemporaries, and especially
so when the Sentinel made the same effort
to secure the facts.
As stated above the failure was not unex-
pected 10 many and it is possible that the
majority of those who are sufferers by it be-
long 10 that class which is less able to bear
the loss. The depositors are largely Germans,
and many OF them are mechanics and small
trades of the economical sort who no matter
how hard the times, always have bank ac-
count There are also many large manufac-
turers and several insurance and secret or
derS which were customers OF the bank. But
the business of the concern, while it has
been lsrge in proportion to the banks capi-
tai, has not been very great. and, it is held by
other bankers, will not, therefore, involve
necessarily many other establishments. The
firm is one OF the oldest in the city, and has
passed through several crises. but it appears
that the prime cause of the failure dates
l. r. II l...l
was compelled to take large
amount of real estate upon which the
firm has been upable TO realize. Added to
this the bank is said to have lost 100000 in
whisky, through Simon Bunte and Kickoff
& Sweeny, whom the bank backed for con-
siderable sums each. About $40, 900 was lost,
it is also claimed on the street, on Walters
stave factory. At any rate, through the
banks relations with the whisky firms
named and particularly Bunte, feeling of
uneasiness was created among the depositors,
and those who were posted on affairs began
to draw out their money. This quiet but
steady run has been in progress for about five
DAYS, and it is said that i150,000 were paid
out to depositors, while the number that
brought deposits perceptiDly diminished
from day to day. Some two or three banks
came to the assistance of the frm and it was
not until Saturday that it failed TO meet its
clearances. On that day the bank gave col
lateral instead oil caSn 10 AT leaSt one uepOS-
itor, but it was not until Sunday that an as
signment was agreed upon.
The RitZingers attribute their failure di-
rectly to the rumorS that had become so cur
rent upon the street These caused the de-
positors TO draw out their money, and kept
others from depositing. Ii was, therefore, a
constant drain, without any means OF sup
ply, and the collapse came. The capital of
the bank was variously estimated from $50,-
600 to $780, 600, but this is mere gGesswork.
The bank was turned over to Mr.. George B.
Yandes, the assignee. yesterday, but
the assets and liabilities will not
be determined for some days.
A gentleman well acquainted with
the Ritzingers' affair, say that their deposit
account averaged about 500, 900, and that in
the last ten days they have paid out to de
positors Sl50.000. When they closed on Sat
urday night they had about $4,000 in cash
on hand, 81, 600 of which is in silver. They
own considerable real estate and a hasty cal
culation, making very low estimate on their
property, and not considering notes which
are moi thought to be perfectly good, they
will be able to pay from eighty-fve to ninety
cents on the dollar. Others however, say it
viii not pay more than forty cents and 9TH
eys still s0timate il even lower.