St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1890-12-21
FINANCIAL CLOUDBURSTS.
Firms long On Liabilities and
Short on Assets.

Short OH Assets.
CHICAGO, Dec. 2O.-The assets of S.
A. Kean Il Co.. the suspended banking
firm, are growing steadily less as the
proceedings in court, on behalf of de-
poSitorS who cl;6m that the bank re-
ceived deposits from them after it was
inSOlvent, progresses. At the opening
of the court this morning Cashier
Warne resumed the witness chair to
correct his testimony of We sterday in
regard to the amount of cash on hand
when the bank closed. lie said it was
made $4,000 less than he had testified
to through the sending of that sum to
the Corn Exchange bank after banking
hours to make good its balance at the
latter bank according to an arrangement
by which Kean's checks were passed
through the clearing house by way Of
the Corn Exchange, Kean not being a
member of the clearing house. c. L..
Hutchinson, president of the Corn EX-
change National bank, testified as to
the attempt by Kean to get aid from the
other banks, and said that they had de-
cided not to help him unless Kean's
This action was taken because it was
the general belief among bankers that
Kean was inSoIvent. W. j. Mcdonald,
head of the bond department, testified
that the gross yearly profits Oh bonds
were 100000, and the net profits about
$4,000. He then made an exam
nation of the books. which were
in court, at the close of which he testi-
fed that on the day the bank closed,
there were 1868. 100 worth of bonds III
the bank; of these, 1861, $50 worth were
pledged as collateral, leaving but $6,250
worth actually belonging to the bank.
A month previous the same account
was: Amount of bonds Oh hand, S423.
600; amount OF bonds pledged as Sc
curlty, 3S1, 700; balance belonging to the
bank, S41, 800.
The attorney for the assignee gave
notice that he would ask the court on
Monday to make an order per hitting
the assignee to return to the depos itors
who were not indebted to the bank any
checks or drafts deposited by them for
collection. The court indicated will
ingneSS to make such an order. A
number of new cases were filed to-day
by persons who claim that they were
permitted to make deposits after the
bank was insOlvent. The court directed
the assignee to answer on Wednesday
next.
Mr.. Kean to-day delivered the articles
of agreement made two years ago by
which Mrs. E. NJ. Culver became a
sp ecial partner. This partnership was
subsequently dissolved. The articles
contained this peculiar paragraph ::
The business of the firm is to be con-
Quoted on strictly Christian principles
and according to the teachings of the
Bible.'
CHATTANOOGA, Tenn, Dec. 20.-The
Helena Wood and Coal company yester-
day made an application in the chancery
court for the appointment of a receive r
for the South Tredegar Iron company,
of this city, declared by the petitioners
to be insolvent, and that judgments is
sued from yesterday will result in a
majority of the creditors losing their
claims. The restraining order was is ..
sued. and a hearing will be had Jan. 5.
The indebtedness of the South Tredegar
company will reach 100000, and, if let
alone, they can conclude sale of their
property now under negotiation and pay
out. The Atlantic Trust company holds
deed OF trust of the property in queS-
ton for 100000 to secure bonds.
CHICAGO, Dec. 2O.-On the applica-
ton of a Judgment creditor Judge
Tuley, of the circuit court, has ap-
pointed w. ID. Budd receiver for the
property of Braton Dushee, real es-
tate dealer and builder, doing business
in the southwestern part of the city.
His liabilities are estimated at about
S2G0,000, and he claims that he will be
able to pay in full and have something
left. The assets consist chiefly OF
houses and unimproved lois, and the
liabilities are mostly for money bor-
rowed on mortgages thereon.
EAST TAwAs, Mich, Dec. 20.-The
J. H. Schmeck & Co.'s bank here has
made all assignment. This movement
had been expected for several days,
although MIR. Schmeck at first said he
would not submit to a suspension. The
affairs of the Institution are now in the
hands of Harting & Nesbltt, of TawaS
City. 1t is impossible yet to state how
great the liabilities are.
PROVIDENCE, r. l., Dec. 20.-The
assignees of Owen Bros. have furnished
the following statement to the press:
The gross Indebtedness, direct and in
direct. of Owen Bros. is about 81, OOO,-
600. The value of the assets it is i'm
possible to state at this time.
BIRMINGHAM. Conn.,, Dec. 2O.--The
wooden firm of r. W. Lewis & Son,
Ansonia, assigned to-day. Liabilities
about $4,000. Assets small. The cause
was a lack of capital Egbert Bartlett
is nominated as trustee.