New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-05-16
MORE TROUBLE IN THE WEST.
MINNEAPOLIS COMPANIES EMBARRASSED
THE NORTHwEsTERN GUARANTY LOAN COM
PANY WILL PROBABLY sUsPEND-A
STATE RANK cIQsEs
[BY TELEGRAPH TO THE TRIBUNE1


minneapolis, Minn. MAY J5.lt was reported In this
city and In 81. Paul to-day that the Northwestern
"uarahly Lean Company. which has become Involved
IN financial difficulties OF late, had suspended The
iumor. although gaipng general crcdence. found
to be false II Is expected. however that the com
pany will be compelled to suspend in few days.
Officers and directors Of the concern admit much.
H. +. Mcnagc, president OF the company, will not
talk for publication beyond the expression OF con
viction that the company will eventually pay every
dollar. lust how much time will be required for
this Is unknown.
The trouble with the company Is that from various
causes many Of its patrons have refused to take up
or renew their notes The company's difficulties, 1t
Is the general belief. only temporary. Some Of
the wealthiest men Of the city. Thomas Lowry and
others back OF It, and 1t Is believed that the
will be able satisfy all dorands. 1t will not
he possible TO ascertain the exact condition of affairs
uness the company suspends as II expects TO do. The
company is about ten years Old and its stock Is
S123O.OOO II owns the 90 COO. 900 building In which
its Offices are situated. and holds collateral and in
fee simple large amount OF property here. in CHI
cago and elsewhere. It's business Is oaning com
mercial paper sufficient collateral and the guar
anteeing Of the paper. 1t has some S3O00,o00 OF
this paper.
one of the results Of the rlmors regarding the
Guaranty Lean on the Farmers and Me-
chanics savings Bank to-day. The deposltors are
largely working people. The bank is not alarmed.
being able TO meet all demands II has nearly
S3oooOOO of aveilable cash and securities and could
stand a run OF eight days II necessary The run is.
h0TSse ss If @S mot qT ercSnn Bank
with small capital. suspended, but will undoubtedly
resume in day or two.
Thomas Lowry, vce-presldent Of the Northwestern
Guaranty Loan Company. when by Tribune
reporter at the Fifth Avenue IIoel yesterday. said
that he had not been to meeting of the board Of
directors for ghteen months but that he believed the
company had collateral back OF all It's liabilities and
that il would be able meet all It's obligations n
little time were given to II. lie said that he had
received nO nation whatever vest, rday concerning
the condition of the company. Mr.. Lowry Is also
president OF the Farmers and Mechanics saving Bank
OF Minneapolis. He said yesterday that the bank
perfectly sound and could easily stand the run upon
IL. which he attributed to the general distrust and
panic in financial circles.
At the American Exchange National Bank, which
Is the financial agent in this city Of the Northwestern
Guaranty Loan Company. 1t was said that most Of
the cOmpanys paper put ont In small lots OF
81 900 To SiO 900 and held all over the Eastern
States. little II any OF II having been placed In New
York. The bank officials declared that they were not
in the least affected by the Minneapolis companys
embarrassment.