The morning news. [volume] (Savannah, Ga.) 1887-1900, 1889-10-17
A BANK IN TROUBLE.
Two $4,000 Suits Brought Against the
SwatnsborO Bank.


W. 5. Chisholm, Jr., Esq, filed two suits
aggregating about 5000. in the United
States district court yesterday against the
Swalnsboro bank. The suits are brought
by northern capitalists who have advanced
money to the bank. The cases are return
abe at the November term of the court. at
| which time they will be tried
The move has caused considerable stir
among the Swainsboro people. The action
OF the capitalists in closing down on the
bank has struck terror TO the hearts of the
people who had great hopes for the enter
prise.
F. B. Gilbert, Esq, who came down from
Swalnsboro yesterday, said that Presi-
dent Stephenson is unable to DO
anything. Briefly stated, the bank
has never been in operation.
A charter was granted, the bank was in,
corporated, and officers were elected but
for some cause itnever got any further.
President Stephenson came to Swainsboro.
from the north, notaJgreat while ago, and
settling down in the busy little town, began
to agitate the stirling Of u bank. He en-
listed the supportLS 81 The foremost men of
Emanuel county. Mr.. Stephenson pr 5duced
the very best Recommendations, and had
the favor Of the people- He showed that
he was a business man Of excellent char
acter and splendid qualifications. The bank
was talked of forssonne time, and meeting
Of citizens was hslda and the question was
definitely settled. x 2 ,.s-
The bank was to start with a capital
stock of $25, 600. Theenterprise was pushed,
and last DecembaE. the bank was chartered.
The incorporatoES Tere; John c. Coleman,
j. Neal Mcleod, g. L. Smith, Green Ball
Alfred Harrington and J. A. Brannen.
Three months after charter was obtained
and the officers were elected, Mr. Stephen
son being made president. The stock sold
rapidly at first, but toward the last il
began TO drag and parties outside
of the state were offered stock, and good
many bought. Toward the middle of sum.
mer, when it was expected that the bank
would open, it is understood that the SUD-
scribers reported funds Short and the
president was empowered to go to work
and borrow. He secured a sixty days
loan of $50 from Parthina J. Dodge OF
New York, and from Helen S. Olmsteac
of Michigan he borrowed 81, 800 Re
turning to Swainsboro, he began tc
furnish the banks offices, and get ready fol
business He purchased a safe and Office
furniture, it is understood, but after all the
banks doors did not open for business.
The subscribers did not come UP with
subscribed $1,000, but not dollar, it il
said, was paid in. 1t was obvious
that it was only matter of time wheI
the bank would be in a lawsuit. President
Stephenson hung on, but he apparently
had little influence on the subscribers
since none of them were ready to pay in
When the two months expired for which
the notes were given they were sent fol
collection to T. B. Gilbert, Esq When
they were presented President Stephenson
said that they were genuine, but the bank
had no funds and could not meet them.
The subscribers say that they arc pressed
pecuniarily and cannot pay up their sub
scriptions. Mr.. Gilbert is not disposed L
talk about the matter He said that hC
could assign no reason why the subscriber
fail TO come up to their agreement, if it il
not from stringency in money matters
He said that he would not be surprised tt
see the bank go into the hands of a re
ceiver.
A gentleman from Swainsboro who wal
| in the city last night intimated that there
had been a split between the subscrib er
and the president of the bank. He init
mated that the merchants and business
men who have gone into the bank hav,
become dissatisfied, thinking that they car
make more by selling goods on time, realiz
ing large profit, than by loaning money
at a small interest and getting cash for thei
goods