Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1890-12-11
DELAMATER'S BROKEN BANK.
The Failure Attributed In a Large
Degree to Politics.


The Liabilities Estimated at From
S4Oo,OOO to &1,OO0,000 : 100000 of
the State Sinking Fund on Deposit in
the Bank.
MEANWHILE, PA, Dec. 5.--A great sensa-
ton was created here to-day by the an
firm consisted Of George b. Delamater
nouneerncnt Of the failure of Delamater
q company, private bankers, The
and his two sons, George Wallace and
Thomas A. Delamater. George Wallace
Delamater, late Republican candidate for
governor Of this stute, was president Of the
bank, and another brother, V. NJ. Della
mater, was cashier.
George Wallace Delamater is also di-
rector in the Merchants National Bank of
this city, president of the Meadvlle Gas
Company and the principal stakeholder of
the. Meadyille & Lihesville railroad, of
which ], A. Delamater is president.
The failure was great surprise to the
public generally, as the Delamaters were
reputed to be very wealthy and perfectly
solid. statement of the Liabilities and
assets has not been made vet but it is eX-
peeted that the liabilities will be very large
The bank was the depository of the county
funds
The County Treasurer, Henry NJ. Muller,
says the deposits on this account amounted
to about S5S,D0p of which $4,000 belonged
to the county and $4,000 to the state as its
proportion Of the tax collections The
bank also had 100000 of state funds on
deposit.
This money belonged to the state sink
ing fund and cut considerable of figure
in the late campaign. Ii is not secured by
the bank: The state will have to look TO
the bontsmen of State Treasurer II. X
Boyer for lis money. The county fHnds
are irreclaimably lost, for the Delamaters
were the b0ndsmen of the county treas
urer. State Treasurer boyer, when seen
i'll Philadelphia, said the state would lose
nothing, as the deposit was secured by a
bond. investigation, however, discluses
the tact that the bond was simply that of
the bank and its individual stockholders
An assignment has been made to John
w. Hoskins and George W. Mctlintock,
attorneys, who will begin work tomorrow
10 strengthen out the accounts preparatory
to statement. The liabilities are yariollsly
estimated at from s400,0Do to $l,0O0,O0j
and it is probable that the exact figures
will come between the extremes men
toned.
George Wallace Delamater is director
OF the Finance Company of Philadelphia,
and rumor gained currency that he had
been helping that institution and thus
crippled himself. A telegram from Phila-
delphia sets this report at rest.
Secretary Oscar Welsh of the Finance
DDHitltllI says MI lyeltlnaler is director
OF the company, but did not have a dollar
on deposit or invested with it, and the
Finance Company had no account with
Delamater & Co.
Various causes have been assigned for
the failure-thc furry in the east, endorse
ments and the like-but those in a position
to know and free to speak are unanimous
IN the opinion that the failure is due to too
much politics 1t is true that the elder Del
Anl1tpr nn6nrGnr for Stata al.
John J: McFarlane, who fled the country
when the Bank of America failed in Phil
adelphia, together with its fraudulent in
surance annexes. But the late campaign
of George Wallace Delamater for governor
strained the resources of the family far
more than any losses in business transac-
tons. 1t is generally understood that the
fight cost Delamater about 100000.
In the assignment the individual prop
erty of the members of the firm Is in |
cluded, though their wives are preferred |
creditors in small amounts. The Mer-
chants National Bank is also made a pre-
ferred creditor. Judgments have been
entered to the amount of 81, 100000 The
founding of the Delamater fortunes was /
the Noble q Delamater well on the Farrell |
farm, 10 miles north of Oil City. That |
was famous oil well, and produced over
$1,000, 600 worth of oil. Its credit balance
was 81, 100000
Prior to the striking of that well George |
u. Delamater was an obscure country mer- |
chant, and the Hon. Orange Noble Of Erie. |
1elamater's partner, was cooper, making
barrels by hand. Noble is now a banker
and railroad man, reputed TO be worth
100000 or SiOOO,0O0.
Delamater was at one time worth more
han Il million, but the fortune has not in
creased since the sons were taken into
and assumed control of the
business.