The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1890-12-19
RUMORS BROKE KEAN
Run on Deposits Caused the
Firms Assignment.
BONDS WILL PAY CREDITORS.
w. C. +. o. Building Funds in Broken
Bank-Failure Of Owings Bros.
at Providence, Il. L.

CHICAGO, Dec. 1s-S. A. Kean, doing
business under the name of S. A Kean 81
Co., assigned this morning, as arranged
for last night. Fennen, attorney for the
bank, says the failure is the work of a
steady drain ON the finances of the institu-
ton for the past two weeks. Reports detri-
mental to the bank were circulated, result
ing in the withdrawal of over 500, coo
within that time. While there were
plenty of securities in the bank, they were
not marketable under the present monetary
conditions without sacrificing them. The
attorney says the bonds are ample to pay
the liabilities in full 1t is expected that
q complete statement of assets and liabili-
ties will be made tomorrow.
1t is learned that the deposits amount to
$4,000. Most of the depositors are we'll
TODD people, who will not suffer severely
through their losses. Very few poor peo-
pie did business with the bank.
This afternoon a warrant was taken out
for the arrest of Mr.. Kean and his cashier,
George b. Warner, for receiving money
VIXEN the bank was known to be insolvent.
Arrangements are being made to reor-
ganize the concern as q National bank.
An investigation of the affairs of the in
stitution began before Judge Scales this
afternoon. According to replies made by
assignee Jacobs, the assets, exclusive of
kean's personal estate, would aggregate
approximately 81 ,353 900 and the liabilities
81, 10000 The assets consist of land
scrip, various municipal and other bonds,
cash on hand to the amount of $57 900, etc.
OF the liabilities half-million are due de-
positors, and $500, 900 due banks ON bonds
deposited for loans.
Assignee Jacobs is a close friend of
Kean's. He said that last Saturday Kean
came to him and told him the deposits
were going very fast, and he would like TO
have some gentleman look into the affairs
of the bank and tell him what to do. Over
quarter of a million had been drawn out
within ten days. Kean said someone had
circulated reports that the bank was I'M
sound, and rush to withdraw deposits
followed
A meeting of bankers was held yester-
day afternoon, and they decided 10 loan
Kean $4,000 is he could get $4,000 more
They wanted guarantee for the 10000,
however. kean and Jacobs secured a
promise of aid from Fowler, the packer,
and William Deering, the harvester manu-
facturer, but could get no one else. Then
they were informed an attachment had
been filed against the bank by one of its
creditors, and decided to assign.
Warrants for the arrest of kean and his
cashier were served this afternoon Both
were released on bail.
Considerable interest was aroused by the
report that the funds of the building COM
mittee of the National Woman's Christian
Temperance Union had been deposited at
the bank. The w. C. T. u. is erecting a
magnificent temple in Chicago, the work
on which has been under way but short
time.
The investigation this evening showed
that not only the w. G.. T. L. Building As
ISOLATION, but nearly all the numerous
organizations that cluster around the big
temperance union were depositors at the
bank. The gift fund"-of the Temple AS
sociation Withdrew its account a month
ago, but returned 1t again. \ deposit of
several thousand dollars was made just
before the bank closed for the last time
The treasurer of the w. c. T. e. itself has
an account there, as did also the Woman's
Temperance Publication Company, the
two w. c. L. u. restaurants in this city
and the treasurer of the lecture bureau
Altogether the temperance organizations
have, 1t is estimated, upwards of $4,000 in
the institution. Nearly all the Method
list ministers in the city did their banking
with kean, but it is understood that the
most of them had been Withdrawing their
deposits recently.
Mr.. Kean is a Methodist and profound
Prohibitionist. He has stood high in the
lay circles of his church, and is promi-
nently Identified with miscellaneous
religious. movements. Undoubted trust
was placed in him, and the
brethren thought their deposits
could not be in a safer place
His bank became the repository for the
savings of preachers and the little funds of
church societies. The failure affects the
business element in but a limited way,
though the vast number of small deposit
tors swells the deposits to sum that has
excited comment.
PROVIDENCE r.. l., Dec. 1s.-Owings Bros,
agents of the Atlantic Mills, have assigned.
Their liabilities are large The mills con-
tinue running under the management of
Stephen o. Metcalf The assignee of Owings
Bros. refuses to give any figures. The
failure is serious one. The cause is the
stringency in the money market
Five years ago the wooden mills at St.
Croix, \. B., failed, owing about 500 900.
The concern had been largely backed by
0wings Bros, and they have since been
taking up notes for its indebtedness. The
last of these fell due this month. but owing
to the great stringeney of the money
market the Owings were unable to obtain
the loans necessitated by this drain.
BosToN, Dec. 1S.-The managers of the
Atlantic mills state that the mills are not
affected by the failure of Owen Bros, and
that the latter's liabilities are ST COS. O00
NASHVILLE, Dec. 1S.-Mieghers & Co., of
Rome, Ca, wholesale grocers and cotton
factors, have assigned, with liabilities of
$4,000. Their assets are about the same.
New YORK, Dec. 1S.-The steamer Ma
jestic, from Liverpool, today brought 500
20, 800 in gold for New York bankers.
Los ANGELES, Dec. ls.-M +. Chaplin.
general merchandise dealer at Santa Mon
lea, filed petition of insolvency with the
county clerk today His assets are $40
coo; liabilities, 81, 900