Watertown republican. [volume] (Watertown, Wis.) 1860-1906, 1893-05-17
BANK CRASH At INDIANAPOLIS.
The Capital National Involved by the
Chemical Failure at Chicago.


INDIANAPOLIS, Ind, May 1.-THE
Capital National Bank of this city, To-
Gated on South Meridian Street, sus-
pended this morning. The statement
is made that the closing of the
banks doors was made necessary by
the closing of the Chemical National
Bank of Chicago last week, which in
stitution owed the Capital some $780,
600. The bank also carried a large
amount of Premier Steel Works paper.
The latter concern was placed in the
hands of a receiver Friday last. The
bank is the depository for number of
building associations.
The announcement of the suspension
Of the bank came as great shock to the
people, especially in Meridian Street,
where the news was first circulated, and
in a few moments it was the only
topic talked of by business men. The
theories as to the cause and as to the
ultimate result of the failure flew fast
and thick. Some express the belief
that the suspension would be only tenn
porary. The general feeling of uneasi-
ness was very manifest, however.
nj. ID. Wilson IS presideDtand Charles
Dougherty cashier of the suspended
bank. The bank was organized in De-
cember, 1889, with paid up capital
stock of 100000. 1t has done
profitable business from the begin
ming until now and up to Tuesday
morning when news came Of the failure
If the Chemical National Bank of Chi
cago, there was nothing in the condi-
ton of the business of the bank to
The Capital National Bank, like other
banks throughout the country,
the officers say, has pursued
conservative course, endeavoring
10 keep its discounts within
prudent limits, and, as the statement
Of the 4th to May by the comptroller of
the currency shows, the bank had the
reserve on hand that the banks Of this
city have kept. The condition Of the
bank is claimed to be good at this
time. The bank had on deposit
with the Chemical National Bank
of Chicago, at the time of
National Bank was the correspondent of
the local concern, and the fact that the
Capital had deposit with them became
known and created apprehension and
caused heavy drafts to be made.
The officers say: "The balances
were running against us so large
that we felt it would be
impossible without material aid to stem
this current any length of time. There
was no place where we could go at this
time to secure the amount of assistance
which the board of directors felt would
be necessary to tide us over.
1t was therefore thought best to sus-
pend before the payment of all the cash
(J-n hnI 0fI T1,IC To
suspend before we were compelled
to suspend. The bank has avail
able assets at this time of
over 100000, not including the
deposit with the Chemical National
Bank. If that were at the disposal of
the bank there would be no necessity
for taking the step that has been
taken. Loans and discount of the
bank have been conservative and
it is believed by the officers
r the bank that they are Of excellent
llity. The assets and liabilities of the
k at the close Of yesterdays bust
; were ST ,465, 962.70. We think the
.ance is in such shape as to be read
- settled up without injury to any
business interests of indianapolis.
There are enough available funds on
hand to pay almost, if not quite % per
cent to the depositors, and the paper is
of such character as to be easily realized
upon, so that there need not be much
delay in depositors getting their
money"
The comptroller of the currency was
Immediately notified of the suspension
OF the bank and requested to advise the
officers as to the cause to pursue in
all current matters connected with the
bank. The bills received for collection
will be presented as in the usual course
Of events, and funds arising from such
payments will be held intact for the use
of those on whose account they were
kept -