The morning news. [volume] (Savannah, Ga.) 1887-1900, 1892-08-17
IRON HALL IN A BAD WAY
ITS PHILADELPHIA DEPOSITORY
ASSIGNS.

The Iron Hall Oficers Advanced 1t
$4,000 Year Ago to Make Good
It's impairment OF Capiral-A Claim
That S72o,Ooo Of the Orders Funds
Are Locked Up in the Philadelphia
Institution-The Latter Surety for
the Formers Officers.
PHILADELPHIA, Aug 16.-The Mutual
Banking, Surety, Trust and Safe Deposit
Company, in which a large amount OF
| funds belonging to the order Of the Iron
Hall is deposited, failed to open its doors
this morning. The directors OF the bank
had made an assignment for the benefit of
the stockholders and depositors TO A. r.
! Stockwsll OF this city, attorney for the
bank. Neither President Somerby nor
! Cashier Hayes could be found to-day and IL
is believed that the former has left for
| indianapolis in the interest Of the Iron
| Hall, of which he is supreme justice.
| Assignee Stookwell was found in company
| with H. G. Williams, treasurer of the Iron
Hall Building Company, and also a director
of the bank, and was asked the reasons
given for the assignment. He replied by
referring to the recent suit for receiver
ship instituted against the Iron Hall at In
diauapolis, and the fact that $780, 900 OF the
orders money is on deposit in the sus-
pended bank.
THE EXCUSE FOR THE RECEIvERsHIP.
The lawyers on both sides in the receiver
ship suit, he continued with the consent
and approval of Judge Taylor came here to
take away the cash and securities Of the
bank and remove them 20 Indianapolis. 1t
was for the purpose Of protecting its credi-
tors and keeping it's assets within this ju-
risdiction that the assignment was made.
The bank In my opinion is perfectly
solvent" said the assignee, and is able to pay
dollar for dollar all around. The directors,
however. cannot permit their assets and
securities to 60 out OF this jurisdiction and
thus compel their deposit)rs TO 60 30 In
dianapolis for their rights"
NO STATEMENT ATTAINABLE.
Mr.. Stockwell declared that 1t was impos-
sible at this time for him to make any state
ment OF the assets and liabilities of the in
stitution. The demand for the Iron Hall
funds, he said, was made yesterday during
a Joint meeting of the bank directors aud
officers of the order, which lasted all day
The directors resisted the demand and there
was nothing lett TO do but make an assign
ment.
1t is claimed by the applicants for the re-
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 S1,000,00
WHERE $4,000 WENT.
The amount on deposit is believed to In
clude S170,0 said to have been advanced
by the supreme justice Of the order to make
good an impairment Of the banks capital
which the state bank examiner discovered
last spring. at that time the examiner
claimed that the bank was insolvent and
applied for receiver. Among its assets
set forth in the cashiers affidavit of
defense was ''Rood will of the
corporation valued at $40, oo0." This item
was thrown out by the court and the bank
was ordered TO make good the impairment
which IL succeeded In doing, but 1t has
always refused to reveal whence the necesy
sary $4,000 was obtained. In his testi-
mony at Indianapolis the other day Chief
Justice Somerby finally admitted that
$4,000 had been given the bank officers by
the Iron Hall in order to save II from going
into the hands of a receiver