The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1886-11-12
GOING INTO LIQUIDATION.
The Stockholders of the First National
Bank Decide to Quit Business.
All DepositOrs and Creditors To Be Paid at
Once and Further Business Operations
of the Bank TO Be Stopped.

A meeting of the stockholders of the First
National Bank was held yesterday for the pur-
pose of discussing the affairs of the concern and
determining whether or not the business out
look would warrant the continuance of its oper-
ton, the banks business, for some time, has
been less profitable than in former years,
and recently the officers were caused
much annoyance by extensively circu-
lated rumors that there was danger
OF a collapse. statement was published over
the names of the directors contradicting these
sensational and unfounded reports, and assuring
the public that the bank was in an absolutely
safe condition The rumors, bOwever, affected
the business of the bank to a marked extent and
led to the officers calling the meeting which was
held yesterday for the purpose of deciding the
question of whether or not it would be advisable
to continue operations.
More than two-thirds of the stock was repre-
sented, and there was thorough and prolonged
discussion of the questions that came up for con-
sideration. The result was determination, by
a unanimous vote, to suspend business and 60
into voluntary liquidation for which all essential
preparations have already been made In pur-
suance of this purpose it was resolved to surren
der the banks government deposits and take up
its bonds In the afternoon the following tele-
gram was sent to the Secretary of the Treasury
indianapolis, Nov. IL.
Hon. Daniel Manning. Secretary of the Treasury:
This bank wishes to be discontinued depository.
Please have action taken through the United States
National Bank of New York. q. T. CLAYPOOLA
President First National Bank Indianapolis
After the adjournment of the meeting of stock
holders in the afternoon, Judge r. N. Lamb, one
of the directors gave to the press a brief writ
ten statement of the results of the deliberations
as follows. after full and free discussion of
the situation it was unanimously determined
that the bank should go into voluntary lquida
ton. It has ample assets, and is prepared to
pay its deposltors and creditors when they call
for their money. The business will be closed
UP under its present organization in such way
as to avoid the sacrifice of its assets as far as
possible. and looking to the best interests of its
stockholders" This statement expressed sub
stantially all that Judge Lamb was willing to
say.
How soon do you expect to be able to to close
up business!" he was asked.
ut will probably require considerable time to
settle up everything" he replied, 'as good part
of the banks assets are in the form of real es-
tate and in disposing of this we are determined
=
essary. The work of closing mp, however, will
be done as rapidly as possible"
When asked for an approximate statement Of
the banks assets and liabilities, Judge Lamb re.
piled that while he was not prepared to give any
exact figures, he could assure the public the as
sets would be amply sufficient to meet all in
debtness, but the amount of surplus would de,
pend entirely upon what is realized from the
sale of the corporations real estate.
All business coming to the First National will
ia n hn of
merce, which was organized under State char
ter~in 1885, and is of the oldest banks in the
city. More than two thirds of its capital stock
of $500 600 is owned by Mr. W. G. DePauw, who
is one of the largest stockholders in the First
National, and its conservative management has
won for it unlimited confidence among money
depositors. Under it's charter the stockholders
are liable to the creditors of the corporation for
double the amount of their stock.
The First National was organized May IL,
1868 It's capital stock was then $3.50, 000 VIM. H.
English was the president, and DR.. VIM. r. Nof
singer was the cashier. 1t was the first national
bank in the State, and it was marvelously sue
cesSfu dividing among its stockholders in the
year of its beginning a profit of % per
cent The stock was increased until
at the close of the war, it amounted to
100000. DIR. Nofsinger was succeeded in
1865, by Jno. G. New, and in 1870 the capital
was doubled, but was subsequently reduced one
half. The banks prosperity cesitinued through
the panic, ana large QlY1cenoS, were paid to the
stockholders In 1877 Mr. New became presi-
dent, but year later sold a controlling interest
to VIM. H. Morrison. The stock was reduced in
1880 to $500. $780, and in 1882 the bank was re-
charted with capital of 100000, A. D.
Lynch becoming president In August. 1888
Mr.. English again became the president. and E.
F. Claypool was elected vice president A few
months ago Mr. English retired and Mr.. Clay
pool succeeded him.
The last published statement of the bank
made on Oct Z shows that the aggregate amount
of its assets was ST. &C., 49, and the liabilities
were 81, or, 776.46