Telegram-herald., 1890-11-14
WILLARD A VICTIM.
Rumsrs That ths Noted Finan-
eisr has AgAis Failed.
The Onsisaghf IN wAh Street Proves
eaors Than Fss Can ntthsfGaa
The Sifo4tioa.


NEw Y0Bk. NoY lA-Ons kAnk ana
f0ar brokeg4ge hr@s sre not gas oEly
victims of tie Sreck Ia Vail street II
current repeFts bo true aa1 taere =
Eaaeh convincing evidence IN support II
tssm, Henry Nllsra Is b0pelessly eR-
tang 81 In ne msslstr0U ot rain snd
stands today financially bankrupt The
North AmerleaR Cen psny, which Nss
formed last spriag out of tie cd Oregon
TFanseoatlnental Comp psny and = hiC
started out on ITS new life under
such brilliant circumstances IS
wreck Willard made heroic strug-
gle 70 keep his head above dis
aster and succeeded IA ward
ing il ot until the present crisis. when
his holdings, represented b the North
American Company, we're attacked and
beaten down For Two days the raid
on North American was heii in check.
but this morning IL broke from the
bounds OF It's frieuds' protection
ana was asSsiled in manner
which plainly demonstrated lack of con
fdence ia Willard and North American
stock. Within an hour the stock was
driven down ten points, equivalent in
the eyes Of spectators 70 break past
redemption, although il recovered four
points soon after.
The cry went around that Wizards
broken again" though no Official an
nouneement OF the great Northern Pa
citc leaders embarrassment was forth
coming 10 sustain it. No one seems
10 be able TO say definitely just how
deeply he is entsngled in the affairs
OF the North American Company. II is
safe 70 infer from the fact that all Mr..
Villard's pet companies were controlled
by the North American Company that
Mr.. Willard is very heavy sufferer
NEw York, Nov. 13.-Thea action OF
the associated banks in authorizing the
issue of certificates TO an unlimitsd
amount eui. ted the stock market
Wednesday. Members OF the clearing
house had only TO present satisfactory
collateral TO receive certificates and
consequently settle their balances
Three State banks were unable 10 set
tie their balances at the clearing house
on Tuesday morning and the issue Of
ceftlEcatsS was authorized.
The smaller banks which had an
nounced their inability 10 pay their
balances had no connections with Wall
street. and the suspension Of the North
River Bank at the close of business was
a complete surprise. Last week the
clearing house circular showed the
North River Bank as having capital
81 of
s2,O0o,Ol3 deposits, Sl,975, 600, and
cash on hand. S27O,O The
cause of the present difficulty is
simply tight money. On account OF the
mention OF the North River Bank as
one of the defaulters at the clearing
house Tuesday depositors started a
quiet but steady run on 1t Wednesday
morning. The bank stood out until
9:3o, when its ready money was exhaust
ed and it had to close its doors. 1t did
an average business of S., OoO, 600.
An advance Of $685. 900 in clearing
house certificates was insufficient TO
meot the banks requirements, and
the remaining securities that might
be offered for additional aid
were found unacceptable. The bank
had nothing 10 do except to
close its doors, and this was
done. The loan committee Of the clear
ing house went to the bank for the pur-
pose of examining its assets, but only
10 end that a representative OF the State
banking department was in charge.
The bank has been established, ii is
said, over fifty years.
A meeting of the creditors Of tho
North American Company was held
early in the day When II was con
cluded it was officially stated: The
North American Company is solvent
beyond all question. The meeting ol
the creditors was very satisiac tory,
The company's assets will not be
slaughtered"
1t WAS mutually agreed by the com
mittee. on behalf OF the creditors, thai
the affairs Of the company should bs
wound up but without preference. The
committee agreed. in other words. ths'
the creditors should not sell out on esct
other, but that the liquidation Should
be gradual
George w. Quintsrd, the assignee o
Charles VI. whitney & Co, who fsilet
on Tuesday said that the frm OWED
about s.. 900, 600, which was covered By
collateral at 30 per cent margin at th'
time OF making the loans. Th'
Arm had on hand. be said
about 500, 600 in securities, an,
about twice that sum was du'
in cash. which IL was thought would b
paid within the next few days anS
would go toward making up to cred
itors any deficiencies OF securities
Union Pacific directors here deny th'
story, and houses in Wall street will
excellent Doston connections ridieul'
the idea. that Mr.. Gould has obtained