Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1891-03-26
THE KEysToNg GOES DOWN.

The Philadelphia Bank Closed by Order
of the Comptroller of the Treasury
Philadelphia Has Big Deposit,
PHILADELPHIA, March 20.-Soon after
the Keystone National Bank opened for
business this morning the heavy iron
doors were lowered and the following
notice was placed upon them
PHILADELPHIA. March 2O--This bank ia
closed by the order OF the comptroller of the
TREASURY. tSignedl N. p. DREW,
National Bank Examiner.
After the closing of the banks doors ad-
mission was denied to all persons The
closing of the bank was a surprise to most
of its depositors.
During the financial stringency in the
latter part of last year there were rumors
affecting the banks solvency and heavy
run was made upon it, but the institution
tided over the run and was Thought to be
in good financial condition. The largest
depositor of the bank is the city of Phila-
delphia which has on deposit there about
100000. The authorized capital of the
bank is 100000 and surplus of 100000
was claimed.
No statement of the banks liabilities
and assets is obtainable as the officials,
directors and Bank Examiner Drew are at
present engaged in consultation with
closed doors. II is said that the bank was
closed by the comptroller by reason of its
reserve fund having fallen below the
amount required by the national banking
law.
The bank has line of deposits amount
ing to about Sl,i00,000 and it is claimed
for it that it has assets sufficient to meet
this amount.
WHY THE COMPTROLLER ACTED.
WASHINGTON, March 20.-Mr. Lacy,
comptroller of the currency, said to-day
that it was by his direction that the ma
tional bank examiner had taken charge of
the Keystone National Bank of Phladel-
phia. His action was based on reports re-
ceived from the examiner and on ''other
developments" The comptroller refuses
to say anything in regard to the condition
of the bank until after he hears the result
Of the examination now in progress.
PHILADELPHIA, March 22.--It is conf
IDENTIFY announced that the keystone
National Bank will resume in few days.
President Marsh says he is not a wealthy
lhhll anu is ftutlN 10 Tetlrc IN favor Of
some one of greater means whose standing
will help the bank. II is probable that
the stockholders instead OF paying an
assessment will give over the management
to capitalists, who are ready to advance
money provided they are given control.
City Treasurer Bardsley holds that he is
not responsible for the S400000 of city
money he deposited there, because it was
named as n depository of city money for
that amount by city councils. Only month
ago he had over 81 100000 on deposit in the
Keystone, but only for few days. II was
soon distributed to other banks. The Key
stone has always been to some extent
political in its leanings, city contractors
having great deal of business with it, AS
it is near the city Offices it has had large
deposits from the city treasury.
Treasurer Bardsley is said to have over
Sl50,O00 of the states money deposited in
his own name, for which he is responsible
as he is simply an agent of the state. He
is assured, however, that there will be no
loss to depositors. The State is secured by
special bonds. 1t is a fact that the city and
state have been carrying the bank, for
fully one-half of the deposits was public
money. 1t is reported that the bank held
some accommodation paper, which is re-
garded as worthless, and further develop
ments are looked for tomorrow.