New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1890-02-14
CHARLESH. LELAND'S LOSSES
HOW HE CONES OUT OF THE BANK
TROUBLES.
A STATEMENT sDYT TO THE NEWSPAPERS FROM
THE SIXTH NATIONAL BANK.

THE SIXTH NATI ONAL BANK.
what unmarried TO be an Official statement of the
affairs surrounding the transactions which caused the
temporary suspension Of the LenoX Hill, the Equitable
and the Sixth National banks was prepared yesterday
and sent from the sixth National Bank. of which
Charles IL. Leland is president to various newspapers
The statement lacks Just the points OF interest which
the public the minority stockholders and the de
positors in these three institutions have been eagerly
looking for since publicity was first given TO the
troubles of these banks 1t does not tell much Of
how. when and where any plans for the settlement
were made.
when A. B. Hepburn, the National Bank Examiner
closed the doors Of the Sixth National Bank. he an
nounced deficiency OF S676,3l1 o. This was made
up by certified checks amounting to S3e2,OOO. repre-
sentng distracted securities; 81 10000 in loans con
sdered worthless; LcnOx Hill Bank overdIaitS
s7SlO1 O3 and other overdrafts and items amount
ing TO S36.21O. Mr. Leland paid in 100000 in cash
10 make this good, giving a guarantee that he would
be responsible for the balance, S5G.311 O3, II neceS
sary He received the checks for $4,000 worth OF
securities five Of which, in accordance with theT COT
tfeaton, were obligations of the LenoX hI ana
Equitable banks. They amounted to S25OOoo Iho'e
checks, with 100000, were given TO get back inc
1895 shares of sixth National Bank stock when MI
Leland sold to the Caassen Pcll syndicate. This was
done through an arrangement with Conrad " Jordan
president of the Western National Bank These checks
were not used against the LenOx Hill or the E1uaole
Bank but were cancelled IN accoruahoo
with the agreement between MeSsrS. JORDAN anu
Leland. The balance of the S392'ooO was
made by checks of Pell. Walack Il Co. on the 1hiru
National Bank for $4,000: James A. simmons Oh
the Commercial National Bank for 10000 and one Oh
The American Loan and Trust Company for $4,000
md George H. Pen on the St Nicholas Bank FOR
100000 The statement figures up Mr.. Leland :
financial position now follows: Received Tor
1905 IL shares sixth National Bank stock, @oo3'o'o
against this $500 900 paid to make up the dc
fcency and 5000 900 for the return of the STOCK 70
which nav be added S56.3l1 O3, the amount guaran
tced. These figures make Mr. Leland present do'u"
loss S166.425. and possible loss S222.736 O3.
of s31O5OO of certified checks Of the LcnoN Hin
Bank the National Bank Examiner recognized 100000
as claim against the sixth National Bank because II
was the Clearing House agent for the LchoN I'M
Collateral security of the Lenox Hill Bank on which
s53 500 was realized held by the SKIN National
The balance was included in the deficiency made good
Nv Mr. Leland The holders of the certified checks set
tied their claims for 600 which amount was pald
10 the Western National Bank by the sixth Nauonai
Bank and the checks destroyed in the presence
Of Charles NJ Preston state superintendent OF h"hS
II is argued now that the CldasSen-Pcu syndicate Is
considerably ahead on the Transactions FROM thr az
ttracfed hands $4,000 was realized; ~ $4,000 m
loans from the sixth National Bank was Outh'N' anu
practically the capital OF both the LcuOX Iill and nc
E0uitale banks went 10 them. But against this
must be placed the amount paid to Mr. Leland Tor ms
I.O33 shares of stock. .
At the sixth National Bank Yesterday nothing could
be obtained from the vice president as 10 the value d"
the securities stu missing. II was learned from
another source that al within few thousand dollars
of the entire amount of the securities were ID hr bank
wants and that the remainder would probably be re-
turned by this morning
Ex-JudCe DonOhue counsel for George II. Pell ap-
reared before Commissioner Shields Yesterday az The
hour set for the examination in Pe case. District
Attorney Mitchell desires TO finish Cdas>cns cAdinlua
ton first, and the hearing in the case against Pen
was AZ Eft~lNfut
dan of the Western National Bank, viii probably ties
tfy today in the examination On the charge against
Claassen and will tell how many of the bond, taken
from the Sixth National Bank have been returned 10
that Institution.