The Anaconda standard. [volume] (Anaconda, Mont.) 1889-1970, 1890-02-01
The BANKSSTILL CLOSED
George H. Pell and President ClaasSen
Under Arrest.
THE tssnk Examiner. Have Not Net Made
Report. Slut ~ Is Thought
the Creditors viii
Not Lose.

VI. ~.
brok"r,waS arrested last night for the part |
taken i'm ,iisposing "f the securities Of the !
Sixth National hank. He was to-day held |
in s2itno bail for examination ou Thurs
day next. Classcn. president of the bank
Tor whose arrest warrant WAS issued at
thu same time was that for rcli. IL still
AT large.
The Sixth National hank and Icunox
Hill banks are closed and at 10 o'clock ~
notice posted on the door of the Euait-
able, which stated that the bank was
closed temporarily. An official state
men, of the condition of the thrc" banks
u expected this evening.
Th" United States district attorney this
afternoon issued a warrant for the arrest
of James II. Lannon's and officers are
looking for him. At "A news agency about
noon to-day Peter tlasscn. prcsidcnt of
the Sixth National bank. made "a state
that ! was IA member of the syndi-
cate that purchased controlling iu-
ter,'st in TN. sixth National bank. u is
not true that ! made any loan tn myself in
SAID bank. On the contrary, I have
checked Ola my other personal bank ac-
counts in this city, aud have deposited To-
my credit in the Sixth National bank aud
hay" checked not ono cent against IL.
Th'' first time ! saw Leland. tine late pres
iStcnt of the Sixth National. was January
-. when certified checks were rendered
To him and acceptedb 10y him. amounting to
$6yb.UD. for which he turned over the con
troll of the stock of the bank. Thc~. checks
were deposited 10y him in til" Union Trust
company and paid. Hence ] was not
the terms had bccu arranged aud agreed
before I ever met him. Afterward,
this payment being satisfactory" /" Leland.
he procured the resignation of Seriatcm
of the old board of directors. aud as they
resigned new board took their places,
one member at time. Thcreupon l.e-
land rendered his resignation to the pres
iSlcnt, and 1 WAS elected unanimously in
hi. place. On H.. , , m"rning ru Of the 80 81
vaults. where lac turned over to me the
securities belonging to- the sixth Ma
| tional bank. and ! finding them correct
rptciItcd therefor. eitlcr the same after
noon or the following day. la "a confer
| ence with Cashier Colson I learned that
| gestCti, and concurted with him. that IL
lie well to dispose of from SsbDUn to
Sao,Uo worth Of high premium bonds aud
49, bank kr,ew my iptcutissns were tn
raise the surplus of the bank up to at
least S2.D.UD, and So be able to uccono-
date depostiug customers. I stated to-
| the cashier that before l would sell any
of these securities ! would have a CONSUL
| tation with the directors well as with
| gentlemen who owned at least ~ percent
of the controlling stock purchased. aud
| CURED in the plan and J was requested to-
| cntr,ist the. sale tn Pcll. Waliack n Co,
| who received thercupon S'22.oD par value.
| for which these bonds were to TIE. sold, for
! which they gave receipt to the bank,
| which duly turned over To- tn. cashier.
| Subsequently 2pl of thc~s. bonds were re-
,,,rmcd. s.a,.Hu i'm cash was paid, and for
the balance Pell, waliack 4 Go. gave
| checks. mostly certified. To- the bank on
| last Tuesday. january ~. hut the bank
ex .Ininer. as well as th" clearing house
| committee, declined to accept these
checks as payment. ,'.,, About $4,000 "f
| upon which they wcr. drawn. IL was
subsequently, developed had they bccu
| sent tn the clearing house in the usual
course and in the order of business they
would have been paid. IL will h'' seen
| hos. l f,trt IN.
am not dircctnrnor president of III.
Equitable. bank. nor am such in the
| I.annox Hill bank.
All ,iay long n was expected that Pr.si
dent Tallman would call ON the E,Iuit.,bl.
bank and furnish S.D.sn necessary To- r..
| sumo business, hut lac did not appear au,
| the doors remained closed. Many dcpo-
itors called during the afternoon aud w"r'
told the bank would resume i'm "a few days
that the affairs wer., all right aud wa,
only closed bsratsc an examination wa,
in progress. Examiners worked all das
| pccted a statement would u. given ont
hut il was not found possibl" to- tell any
afternoon. by order of the United Ntat.
bank examiner all the remaining ~.curi
ties of thc sixth National bank w.r. car
RED away from that institution and places
III som: safe deposit vault. EXAMINE"
Hepburn told III" rcp"rt.r~ tina
h" Would prohahly ,,,.h finish h,i w"rl
further statement &" III" press. This re-
!, port will b. forwarded tn the "nnIptroll.,
>
the bank was bssiegcd toy dspositors VIII,
were anxious about their money. Man.
ladies' were among them. and all wcr
. told their funds were safe. Among th
. ! ,l'positors are DIR. 'armosiy. the v"t"riuar.
surgeon: Thorcy. III. broadway florist
, Rudolph AroIis,u. Bill DAILY aud William
McMahon. All Of them Expressed conf
, dcncc in the statement that tn" mons.
| was SAFE. Suit has been commence,
: against the E"nnoN Hill iank in behalf a
one alepositor for comparatively sual
, | sum. When the proceedings i'm rclatio
r | to the bank troubles before United Stat.
: | Commissioners Shields were ended, Cseorg
| h. Pell was taken to the United State
y | marshafs office to give his friend
|. an opportunity to secure bail. Amou
h the friends calling ON him durin
Z the day was "A man supposed To be hi
y | brother. Major pcil. Two Others who h.l
;. ' seen the prisoner announced to Unite
4 States Assistant District Attorney Rc-
"A that they wcr., ready To give bail The
I. were not accepted. however, a- their re-.
IA estate possessions did not satisfy Ro-'
= Their names kept secret. 1h.I
were altogether five applications to Ia
r come bail for Peli. but none of them ,Iti.,
n filed. This ended all the attempts
:. get bail. and at 3 y. N. P"ll.
j. charge of deputies was taken to the Lu
evening President Claus-.u of TIA" SKI
National Appeared IN United States Con
missioner Shields Office accompanied !
l. his counsel and two deputy marshal
l. 4 warrant Was read to him charging hi