St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1892-08-17
The Assignee Says the In
z Stitution Is Still Per-
fectly Solvent.
Queer Reasons Alleged for
Closing the Bank at the
Present Time.
HINTS That Finances Are Not
as Substantial as They
Appear.

Deposit company. Ill when large
amount of funds belonging to the Order
of the Iron Hall is deposited, failed to
open its doors this morning. Inquiry
developed the fact that the directors of
the bank had made an assignment for
the beneht of the stockholders and de-
positOrs to A. E. Stockwell, of this city.
attorney for the bank.
Neither President Somerby nor Cash
Ter Hayes could be found. Assignee
Stockwell was found in company with
Ii. G. Williams, treasurer of the Iron
Hall Building company, and also di-
rector of the bank. and was asked the
reason given for the assignment. He
replied by referring to the recent suit
for receivership instituted against the
Iron Hall at indianapolis and the
fact that $3.50, 900 of the orders money is
on deposit in the bank. 1.-The lawyers
for both sides in the receivership suit
he continued, with the consent and
approval of Judge Taylor, came here to
take away the securities of the bank
and remove them to indianapolis.
To Head Off Wreckers.
Mr.. Krumbhaar, state superintendent
of banking, has been working with the
plaintiffs with the undOubted intention
of wrecking this institution and the
Iron Hall. 1t was for the purpose of
protecting its creditors and keeping its
assets within this jurisdiction that the
assignment was made. The bank in my
opinion is perfectly solvent, and able to
pay dollar for dollar" Mr.. Stockwell
declared that it was impossible at this
time for him to make any statement of
the assets and liabilities of the institu-
ton.
1t is. claimed by applicants for the re-
ownership at indianapolis FOR the Iron
Hall that $4,000 of the Iron Halls
funds are locked up in the institution,
and that the Mutual company is also
surety for the Iron Hall officers to the
extent of s., 100000. The amount on de-
post is believed to include $4,000.
said to have been advanced by the SUI
preme justice of the order to make good
an impairment of the banks capital
which the state bank examiner diScov-
cree last spring.
Costly Good Will.
At that time the examiner claimed
that the bank was lnSolvent, and APP
piled for a receiver. Among its assets,
set forth in the cashiers affidavit of de-
Tense, was the good will of the corpo-
ration, valued at S170,OOo." This item
was thrown out by the court. and the
bank was ordered to make good the inn
parment, which it succeeded in doing,
but has always refused to reveal where
the necessary $4,000 YVES obtained.
In his testimony at indianapolis the
other day, Chief Justice Somerby finally
admitted that the sf70,000 had been
given the bank by the officers of the
: Iron Hall. in order to save il from going
aintotfie, hands of a receiver. 21.,ss.-l ;
officers. Statement =; j:
J. The officers made the following Off
cial statement OF the banks condition
on May 81 last: Resources-Cash on
hand and deposited with banks or bank
ers, SlS4, 95S.4l; checks and other cash i
items. $6.G14.S9; call loans upon col
lateral. $6S, $50; time loans upon col
laterals, $780, S5; loans upon bonds and
other paper owned, S20S, O62; investment
securities, $50, 400; real estate, furniture
and fixtures, s2,O73.72; overdrafts,
SS51.41; current expenses and taxes
paid, $5,32S.05; miscellaneous assets,
S25, 1864. Total. 1896, 425.13.
Liabilities - Capital stock paid in,
s16S,950; surplus funds, s40,206.71; un-
divided profits, S7.7l2.42; deposits SUBJ
ject to checks. $493. s55.37; deposits spe-
cial, $50. 70e.63. Total, $3.50, 1878.
The bank officials refused to discuss
the ''s2OS, O63.7O commercial and other
paper owned" the ''$25. 726 "a miscel-
Ianeous assets,' the ''sS9,400 invest
ments securities" and the item '.reaI
estate, furniture and fixtures, So, 072. a."
The Cash on Hand
The cash on hand, ETC.. is thought to
be to large extent the $4,000 do
mated by the Iron Hall which went to
make up the S16S.95O capital stock paid
in. Of the deposits subject to check,
amounting to s492, S55.S the bulk is Iron
Hail money. and the rest. it is said, is
mainly funds of the other fraternal
orders. The special deposits, $50. zoe. 633, |
are, it is explained, deposits for
special purpose" pa.
In addition to the Iron Halls funds
on deposit III the institution there is
also locked up $4,000 belonging to the
advance beneficial order, one of the
short-term organizations which went
down in the general crash of such
schemes about a year ago.
The advance order also made an as
Segment to A. E. Stockwell, who de-
posted the funds of the advance order
In the bank, of which he was counsel
and now assignee. A few months
pressure was brought on Stockwell to
remove the funds of the defunct bene-
fetal society from the Mutual bank, but
he refused, declaring the institution
was solvent. StockWell was on Aug. 8
elected trustee of the Iron Hall Build /
ing company.
AccOuntan Mt Walker Mad.
INDIANAPOLIS, Aug 16.-Supreme
Accountant Walker, of the Iron Hall,
was asked tonight by reporter what
effect the appointment of receiver
ho oil III