St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1891-05-23
TROUBLES OF TRADE.
The Sleepy Quaker City Is
Stirred to It's Financial
Foundations.
Spring Garden and Keystone
Bank Failures Develop
Sensations.
Reward Offered For the In
dicted Bank President
Bardsley's Folly.
A Nephew Of Gen. Villas Sui
eideS AS a Result Of a
Boston Failure.

Indy --.-I uUilC III
terest in the sensational developments
in the affairs of the Spring Garden
bank, the Keystone bank, the flight of
the indicted president of the latter III
srituIion and the resignation from office
of City Treasurer Bardsley continues
urabated to-day. William Wanamaker,
one of MarSh'S bOndSmen, this morning
offered reward of $1,000 for the arrest
of the fugitive, and has employed de-
tectives to run him down. In some
manner it was circulated here this
morning that Marsh had been captured
in either Montreal or Toronto, but the
report cannot be authenticated, and it
is. believed to be little more than an idle
Tumor. An attachment was taken out
this morning against the Bradford mills,
of which City Treasurer Bardsley is
owner. by John and James Dodson, his
sureties Oh his bond. This morning Mr..
Bardsley made an assignment of all his
property for the benefit of the city to
Edward W. Magill. Argument was
heard this morning before Judges Fin
letter, Gordon and Read to compel Mr..
Bardsley to answer certain questions
asked him by the committee of the city
council that is now investigating the
city's repositories. The decision Of the
court was that Mr.. Bardsley should an
swer the questions. Mr.. Bardsley made
the following statement this morning i'll
reference to the Clamer note found
among the assets of the Keystone bank,
which E. y. Clamar believes to be
forgery:
BardsIey's Statement.
"Some years ago E. J. Clamer induced
me TO 20 into the brass foundry business
for the purpose of assisting him. The
firm name was L. j. Clamer & Co., my
self being the company. | was to fur
nish the capital and to sign all notes,
checks, and other papers. During the
progress of the business it was neces-
sary to issue notes upon which TO raise
money, which was done i'll number of
instances. The business not proving
profitable or satisfactory it was discon-
tinued and sold out. The firm never
was dissolved. AS the notes fell due L
paid them, as | was responsible for all
the debts of the firm. Under the agree
ment it was not the duty OF
Mr.. Clamer to sign either notes
or checks, and to my knowl-
edge he never did sign any,"
The clearing house due bills issued by
the Keystone National bank, and given
to Mr.. Bardsley at the various times
that the $780, 900 of state moneys were
deposited. are not worth the paper they
are written on, unless the assets of the
bank yield more than the deposits as
shown by the ledger. These due bills
are issued by the banks belonging to the
Philadelphia Clearing House associa-
tion for the accommodation of depoS
itors. On New York certified checks
are issued by the banks. but in this city,
when depOSitOr desires it, due bill is
issued by bank, the bill being signed
by one of the tellerS and counterSigned
by one of the officers of the bank.
Worthless Due bills.
These bills can be deposited in any
bank, and at the clearing house settle
ment the next day, if the issuing bank
has a credit, the amount of the dne bill
is deducted. Ii Mr.. Bardsley, when he
received the clearing house due bills
from the Keystone National bank. had
Immediately redeposited them, the bills
would have been presented at the
clearing house the next morning, and if
the keystone bank had been a creditor
to the amount of the bills they would
have been paid; but this process would, .
of course, have been simply a with
drawaI of the money deposited by Mr..
Bardsley in the bank. Mr.. Bardsley
knew, or should have known, that
by keeping the due bills he was
simply specializing upon the SOL
vency of the Keystone National bank.
The bank is not at this time a creditor
at the clearing house to the amount of
the due bills now held by Mr.. Bardsley,
and they are, therefore, worthless.
They are simply an obligation On the
part of the bank to pay the face value
of the bills, and amount to nothing more
than ordinary promissory notes. The
due bills held by Mr.. Bardsley are in
effect promissory notes of the Keystone
bank, and cannot be paid unless the
the assets yield more than the deposits.
st the Office of the United States mar
ssH.I it was stated this afternoon that
the rumor that the aDsconded president
Cf the Keystone bank had been arrested
il Montreal had been investigated and
found to be without foundation.
Prompt Mr.. Pattison.
HARRISBURG, Pa, May 22.-Gov. Pat
t.son sent the following communication
to Auditor General McCammant this
morning: 81 desire to be informed at
YOUR earliest convenience of the condi-
ton of the accounts of John BardSley,
city treasurer of Philadelphia, with the
commonwealth of Pennsylvania, and to
have statement of his account with
the commonwealth since Jan. /. 1890. l
also desire you to furnish me, at your
earliest convenience, with statement
of the account of the city of Rhiladel-
phia with the commonwealth of Penn
svlvania and copy of the said account
as it has existed siuce Jan. l, 1890. am
6esirous of having this information at
an early day in order that the law de-
rsrtment of the commonwealth may be
furnished with basis to promptly in
stftute such proceedings as may be ad-
visable to advance and protect the in
terests of the state"
HARRISBURG, Pa, May 22.-In re-
sponse to above request the auditor gen.
eral has furnished Gov. Pattison the ac-
counts of the city of Philadelphia and
Treasurer Bardsley With the state. A
recapitulation of the statements shows
that the net balance due the common
wealth is 1862, ,076, which, added to
amount due on licenses and loans, or
S453, ,634, gives net balance due the
common wealth of SS15,711. Attorney
General Hensly has been requested to
take the necessary steps to protect the
+ commonwealth.
FAILURE, THEN SUICIDE.