, 1891-11-14
The Cheyenne National Bank Sus-
ponds Business.
The Failure of John W. Collins in
California
Carries Down the Home Institution
With 1t.
Money of DepositOrs Here Will be
Secured For Them.

this hastily written notice posted up:
Temporary suspension on account of
insufficient funds TO meet checks, caused
BY tie run.
Even at this hour it was not generally
known that the remotest cause In the
world existed for a temporary supervision
of the Cheyenne National bank. Its alb
solute ~solvency was considered beyond
question and to ouly a few had even an
its own or its manager a run might be
precipitaued upon it. The newt actually
seemed to fash over town and very soon
it was in possession of everybody in the
received with amazement and soon
the rumors began to fv thick and fast
many of them SO utterly ridiculous on
their face that it is hard to understand
how they ever gained currenov. The
only possible explanation is that the sus
pension was so sudden and startling that
people who Away pretend to know il
all and seldom know anything, set their
imagination to work to furnish facts.
For a time there was considerable ex-
element, particularly when many of the
smaller deposltors learned what was up,
but soon the true condition of affairs. or
at least an inkliug of 1t, got abroad with
the result of setting at rest many of the
senseless rumors. reassuring q great ma
jority of the interested parties and pre-
venting anything which in the remo.est
way could be considered a run upon the
other banks.
At . o'clock Thursday afternoon George
L. Beard. cashier OF the Cheyenne Ma
tional bank, received a telegram from
John W. Collins. president of the Cali
fornia National bank at San Diego, CAL,
briefly announcing the suspension OF
that institution. Mr.. Collins was
the organizer and for several years
past had peer president of the
cheyenne National bank, the only WYo-
ming banking institution with which he is
now connected. Mr.. Boards first ster
was to consult I. B. Hicks. president Of
the First National; Henry G. Hay, cashier
of the Stock Growers National. and T.
A. Kent, proprietor OF Kent's bank. lie
laid before them the information which
he had received and invited them to the
Cheyenne bank for consultation. At the
same time he called In John l.. Murray
and A. G. McGregor. two directors Of
the bank. Mr.. Murray was a Juror in
the Jarvi oosa pnu nn trial in tho TTn;tad
States district court, but was given ar
hours time. At tho expiration of thai
period he was forced to return to cour
and Mr.. Tim Dyer was left in the bank
as his representative.
An examination of the books of the
bank blythe committee of bankers made
this showing:
1896, 0OO
Cash on hand....,.... ............ IS, OoO
Cash in Eastern banks............. As, 600
$475. OOO
Due to depositors and other
banks ......... ........"...........$3lS,0OU
Balance in favor of the bank. ....Sl57, 200
AS to the securities held by the bank
for its loans they we're examined by the
/, bank directors, who threw out every piece
of paper about which they had the least
question (Which includes a large amount
that while not Immediately available
will ultimately be turned into cash) and
favor as absolutely good security over and
above all liabilities 49, 1000. In other
/, words thev laid aside $4,000 worth Of
paper which the bank carried as security
. when for any reason they did not con
slider it gilt edged.
The bankers went home with the
understanding that if there was any need
OF their assistance they would be notified
the first thing in the morning. The an,
neuhcement of the suspension of the
California National was printed in both O.
the morning papers just as it was received
from the Associated Press. Collins
name was not linked with it because tn,
examination of the CHEYENNE Natiopal
bank showed it to be perfectly solvent
independent Of Collins and the
mept would simply serve to arouse 9
commotion, create a big run on the bank
: and consequently do harm. IL was
generally believed by the bankers thai
there would be no run on the Cheyenne
National and by the time the news Of
Collins failure in San Diego became
generally known the bank would have
time to call in its S45, 900 deposited in the
East and make such disposition of its
most available collateral as would provide
it with sufficient funds to withstand any
run it would then be liable to have.
The bank opened its doors promptly at
10 o'clock and people began to drop in at
once. There was at no time a crowd aud
90 rush. Tine first customer drew out
81 900, the next something like SO. 500
and the next over $4,000. The cash in
the banks vault was a little over S35. 900
but it was taken out In such big humps
that 1t disappeared like snow before the
breath Of fha Ghtno,G u,nl