The morning call., 1893-10-12
A STEP FORWARD.
The Rehabilitation of a
Savings Bank.
AN INCREASE OF CAPITAL
The Peoples Home to Conduct Busi-
ness on Liberal Lines After
November L.

The most important action taken by the
directors of the Peoples Home Savings
Bank since that Institution temporarily
suspended in June was the resolution
adopted yesterday at the meeting Of the
board.
In fact, it means the entire rehabiita-
tion of the bank. and steps are now being
considered by which it will be made
stronger than ever.
On November l the bank will resume
business regularly. On that date COM
mercial depositors will be paid in full, and
notices will be regularly accepted from
savings depositors. Arrangements have
been consummated by which checks will
go through the clearinghouse, and busi-
ness will move from that time exactly as
il there had been no suspension.
The bank has been preparing for this
ever since it opened its doors some weeks
ago.
Its attorneys have been hard at work on
collections, and with such success that
while the bank had only about $4,000 in
its vaults at the time it opened, now more
than 100000 Is stacked up there. in addi-
tion to what has been paid out to depos-
itors.
The making Of collections has, too, but
just commenced, and while this amount
has been raised, collections that in the
aggregate are many times as large have
been commenced, and with what is now in
sight the amount in tie vaults may be
almost doubled before the first of next
month, when actual payment will begin.
II has been decided 10 pay commercial
depositors in full if they desire il, as most
of these accounts are those of business
men, who may need the money in a COM
mercal way, aud whose deposits one day
will balance the drafts of former one.
Then, too, the total amount credited 10
commercial depositors is not so large that
its complete withdrawal would in any way
embarrass the bank in its present condi-
ton.
The managers of the institution are we'll
satisfied with the result of the first at
tempt at reopening the bank. The run
lasted only three days, and in all less than
one-fourth of the total mum ber of deposit
ors have made any demand for their share
of the apportonment. and the officials do
not anticipate any different result from
this new move.
In speaking of the matter one of the
directors said: 1--WE have waited long
enough to feel certain that the crisis in
commercial circles is entirely over ana
money is now much easier than during the
summer. If il should become necessary.
we could dispose of some of our securities
to the other banks, for as the public is
aware, they are of such character that the
Bank Com missoners can take no exception
to them.
"The large amount of coin which we ave
on hand, however. will preclude the
necessity of such action, and the number
OF collections that are pending, and which
will undoubtedly be settled within thirty
days, Will place the institution in most
fcfo onfO in h0 bo
bank and the depositors against any loss
whatever.
IF the amount of cash on hand does not
seem large, you must remember that this
is a savings bank, and that it is not sup
posed to have more than very small per-
centage of its assets In cash. and do not
doubt that we are carrying larger per
cent in coin than any similar institution
in the city,"
But another proposition Is under consid-
GRAFTON by the board which also affects
the banks standing very materially.
There has never been more than 1914 per
cent of the ca pital stock of the bank paid
up and 1t is now proposed to increase this.
probably to 30 per cent. possibly more than
that.
This would give the bank a paid-up
capital OF S500,000 and this assessment
will be voted as soon as word has been re-
ceived from DR.. Mcdonald as TO whether
that is as large an assessment as he wishes.
The board is a unit on the plan, and only
want the word from the doctor when the
levy will be made.
This action on the part Of the stock
holders. showing their faith in the institu-
ton, VIII go a long way with The public.
The people who are connected with the
bank are determined to place it on strong
basis and independent of any other insti-
tuition, that it may become a tower of
financial strength in itself. and to this end
nothing will be spared.
Business will continue to be conducted
as at present until November ], when the
new order of things will go into effect.