New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1891-09-19
tBr TELEGRAPH TO THE TRlBrSE.r

WITH ALL THE MONEY NEEDED
tBY rELEGRAPu TO THE TRIBrSE.r
Kingston, n. Y, Sept. 1s.-It is many years
spee this quiet city has been so thoroughly ex-
,.Itea as it was to-day Vague rumors were afoat
last night, but the truth did not come out until
,be following modest statement was read in " The
Leader this morning:
AZ meeting of the trustees Of the Ulster County
savings Institution. held last evening, the following
whereas It has Just come to the knowledge Of this
beard that James f. Osrander the treasurer q IaS
c5nyerting them to his own use; therefore,
Reoyed Tat he be ana az hereby Is agS ~ ans IS
fusqRs Resoved That the resignation of James f: os
trander as trustee OF this institution be and hereby Is
81 Brodhead, the first vcepresldent Of the insti,
ton and for many years the cashier OF the kingston
National Bank. viii succeed Mr.. ostrander.
The trustees decided not to give out any figures
This of course. left the public in a position to
fear the worst. which it usually does. Crowds
gathered in knots along the streets and about the
banking house long before banking hours to-day
and the defalcation the sole topic OF CONVEX
sation. BY some the amount was stated as d
Quarter of q million. and the widest rnmors gained
currency Depostors rushed for Dank-oookS
wildly denouncng banks. and the BANK depart
,nent for not having discovered this emoeZzenlenV'
which it was said had been going on lor Ten or
twelve wears But before the bank opened IL
80 ,oornoa that tbe institution was entirely
solvent and would pay every demand as fast as
the, money could be counted out. This partially
aIIaved the excitement and the business began
with only moderate rush. An oflcer was STA
toned al the door and one or TWO wel-KhOWh
residents not connected with the bank tried 10
nacifv the people who came for their money by
The assurance that the bank was sound and they
were in no danger of loss.
About noon the officials posted notice to the
effect that the bank would meet every demand at
onoe and would remain open for that purpose until
a n m. to-day and tomorrow. Notwithstanding
,bis the run continued and even increased during
the afternoon. Women poured out in crowds
from the lower part OF the town and from the ad-
sacent country, The men were in a minority.
This amounts withdrawn were small in most cases
md The tellers and officers worked like beavers.
TIC total sum drawn out during the day was not
announced by the bank but it is probably large.
" the close Of business huge piles of currency.
cold ana silver were inside the rail, and the officials
wene confident Of the banks ability TO meet every
demand Tomorrow the country depOsitors are
expected to appear in force. Ali the city banks
have teleraphed for additional supplies Of cur
rency. and they expect to stand by their neigh
bor having the utmost confidence in its solidity.
Mr.. Ostrander, the defaulting treasurer, has oc-
cupied the place Off twenty-five years. lie is a
man past middle age always moved in the best
society here, was engaged in many important
business undertakings and is married. He had
been under police surveillance for thirty-siN hours
previous TO his arrest at noon today. He waived
examination before the Recorder, and was re-
rnanGed 70 the custody Of the police Justice Ed
wards being telegraphcd for TO fix and receive
kill Ind
is one Of the banks trustees, said to-day
"The first intimetion OF the trouble the Board
had was about a week ago, although it is found
that Ostrander had been stealing Systematically
from the bank for twelve years. The money was
taken out of the cash from time TO time in vary
Ing sums and checks put in its place The largest
single haul was $4,000, which went to pay for
a row of brick buildings which were afterward
made over TO his wife"
Ostrander's bond is for $3.50 and is signed
BY A. II. Bruyn, President of the Savings Bank
here. This amount has been already secured. The
total defalcaton. he says, is $4,000. OStrander
has still some real estate in his own name and
some that is held by his wife will be proceeded
against On July /. the bank had in cash In bank
and trust companies 100000, and S536000 in
negotiable bonds. According 10 the last State
report July l. the following condition of the bank
appears: Resources S2,404,25l 81 due deposit
ors S21, ,207 40 surplus S207 ,954 81 open ac
counts $3.50; deposits during last six months.
including interest. $246,17S So; withdrawn,
S35e 0SAl4.
The bank was established in 1851, and has
always been considered one OF the safest and most
solid savings institutions in the State. It's wreck
would be great public calamity in this section.
but happily there seems now not the slightest
danger of this. In fact, public confidence is be
ing rapidly restored. Over $4,000 was deposited
with il to-day and many are trying to buy up
bank-books tonight for the interest that will
accrue This loss of interest WILL of course.
benefit the bank 1t is thought now that much
Of the trouble could have been averted had the
published notice contained the amount of the
eefalcatOn.