Omaha daily bee., 1888-10-03
FAILED FOR A COOL MILLION.
The Traders Bank of Chicago Com
PEELED to Close Its Doors.
ITS PRESIDENT SLOWLY DYING.
His Long Continued Sickness Given
as the reason for the Present
Trouble-Thc Cashier Thinks
They Can Pay Their Debts.
A Biu Financial Crash,

Big Financial Crash. |
CHICAGO, Oct. Especial Telegram TO
THE BEE The Traders Bank, with liabil- |
tiles reaching Sl,0O0,00O, closed its doors to-
day. The announcement of the failure fol
lowed by the sad tidings that the president,
Joseph o. Ruttcr, is dying at his residence,
39l Superior street, created something of a
sensation in financial circles. This action
was not only great surprise TO the creditors
and dcpositors of the bank. but it took the
cashier, Thomas Talman, entirely BY sur
prise. 1t seems that the bank has never been
in Strengthened circumstances at all, but its
| closure is the direct result of the expected
death of Mr.. Ruttcr.
Cashier Tallman this morning told this
| story to q reporter. He said Last night |
| did not know that this event was going to
occur Only this morning was / awakened
to the inevitable result and l acquiesced in
the closure on the recommendation of emf
nent legal authorities. We have not
been in bad condition as re-
spects finances. The expected death
| of President Rutter is the main cause of this
result. / cannot say what the assets and lia-
blities will be, but if our debtors pay US we
! can satisfy all the obligations we owe. OF
| course, is case MIR. Rutter should die, legal
| complications would arise anyhow, and in
| such case it might be better to have the busi-
ness in the hands of the court Mr.. Rutter
| Is not yet dead, but am expecting to hear OF
| his demise every minute. For six mon tbs
| all the work here has devolved upon me, his
condition rendering him unable to be con-
suited even, and the strain fell heavily upon
| me- None of our creditors will suffer l
| think / am safe in saying. Certainly they
| will not if | can help it."
did the Hutchinson deal have anything
| to do with iti'
"Nothing whatever. We had no board of
trade patronage and we were influenced in
no way by the pranks Of wheat"
The application for receiver for the bank
was made before Judge Shepard. The court
Hra@ De pEsy'a as ths ns reasVsr
The bonds were placed at S5OO0OO
The Traders bank has been doing business
since 1872. 1t was organized in 1861 at
Freeport, ILL.,, as the Frceport Savings insti-
tuition. The Chicago Commercial and Say
ings bank, the name adopted in 1872 devel-
oped into the Garden City Savings bank in
| 1913, and in 1872 was known as the Traders
bank For ten years MIR. Rutter has been
| president and for the same length of time
| Thomas Tallman served as cashier. OF the
S2OO,C0O capital stock, which was divided
into 1000 shares, MIR. Rutter owned 1900
shares and Mr. Tallman the other 500.
These two men constitute the bank and it is
said they conducted the institution more to
have employment than for any other reason.
There was considerable furry around the
| IL
been closed About IL o'clock the doors
were closed and a little placard was hung in
the window which read: Bank closed. In
formation given at 10 Ashland block" The
| announcement attracted large crowd
and the street corner was jammed by mer-
| chants and clerks who had been out for their
| lunch. Although they stood out in a drilling
| shower they we're undaunted, and as they
held their hands on their pocketbooks, they
| read and re- read the words on the door. Not
until O'Clock did tae crowd decrease in
numbers, and only then when a savage look
ing little cloud began to pour big rain drops.
The scene was almost indescribable in the
interior of the bank as anXious-visaged men
came trooping in to talk with Cashier Tall
man. He had vacated his desk and sought
seclusion in his private room There they
met him with tears streaming down his face
| They were depositors; their money was at
stake, and they appealed to him, asking if
they were safe. Small tradesmen, whom he
knew needed their money and who could not
afford to go down in q bank failure, were the
suppliants. He knew their wants and could
say nothing. 81 have been with the bank since
= it started" said he to reporter ''that is ten
years ago-make this talk short if you please" Z"
? | and the handkerchief again went up to his
| eyes. 81 have been in business in Chicago since
1853 and /" Here the gentleman again broke
! ! down and retired into an ante-chamber Re-
| turning in q few minutes he said 81 never
| dreamed of this trouble until last night. 1t
) | was late and l had retired when L decided to
shut up the bank. sent for our attorney,
Mr.. Walker, and disposed of the affair"
"Will you pay out dollar for dollarP
a "That depends" said Mr.. Talman. III
| others will pay us we can pay them. Just so
. | soon as the receiver takes charge matters
, | will assume their accustomed way. We have
a no fears-we have friends" and the tears
came again.
"Whie the failure of the bank to-day was
not thought of yesterday" said Vice Presi-
dent Lyman j. Gage, Of the First National
, | bank, "stiil it cannot be said to be a great
| SurDrSe TO II has for some time
been supposed that the bank was
connected very closely with the af
y fairs OF the Rutter estate. 1,
will have no perceptible effect upon the
n financial condition. In my opinion it will
3 not effect the money market in the least.
don't think the First National bank had any
dealings Of consequence with it. do moi
think it had any very large depositors. Fol
that reason the failure will not affect any
!. large business firms in the city or any Other
local bank"
: "Did the failure of the bank result in any
8 way from the board OF trade failures, or will
i its failure affect board of trade men in an.
@ | way!"
mo to both questions. AS / said before
it is my opinion that the failure will not affec
the condition Of any large business firm o
interests, or the general financial condition il
y the city"
ID Joseph O. Rutter was native of Phila
n delphia, He was born in 1886. 1t Is state,
r. that Mr.. Rutter descended on his mother
s. side from Sara Rapalye, the first white chill
le born in the province of the New Netherlands
-
No More Writs For Celestials.
SAN FRANCISCO, Oct. 2.-Collector of tn
q, Port Hager to-day received official notice o
he the approval of the Chinese exclusion b
a from Assistant Secretary of the Treasury L
r, Maynard. The collector will issue tn
necessary order to prohibit the landing o
any more Chinese. This order will first al
feet several hundred Chinese on the steame
Belgic, which will be due to morrow Judg
Hoffman, Of the United States district cour,
to-day declined to issue any more writs o
habeas corpus TO Chinese who arrived her
on the steamer City of New York Satui
day. The custom house officers have ascei
L. L.. ontil lln,nA AZ