Mineral Point tribune. (Mineral Point, Wis.) 1869-1938, 1893-06-10

o'clock William PlanldntOn, the vice
president of the bank, appeared on the
scene and almost simultaneously the
following notice was posted:
Owing to the failure of our efforts to
reorganize the bank and to the contn-
uous withdrawal of deposits, we have
thought it best for the interest Of all
depositors and the stockholders to close
the bank. PLANkINTON BANK.
only dozen people were inside the
bank doors at the time the notice Of the
suspension was posted There had been
no regular run on the bank of late.
Since the scare OF two weeks ago,
however, the large depositors who did
not take part in the run that occurred
at that time, had been steadily with
drawing their accounts from the Plank
mton and transferring them to other
banks Many accounts had been with
drawn through the medium of the Mil
waukee clearing house
After the bank had been closed Mr..
Plankinton was interviewed by a re-
porter. He repeated the reasons as
intimated that the bank was on the
point of finding itself unable to meet
demands upon it,
The Lappen failure was of course the
chief cause of the PlankintOn bank )
failure. The poor showing made in the
Lappen inventory was the Lust straw.
g., auk's recorded claims against the
Lappeu houses amounted to $4,000.
The claims of Robert Hill and A
Landauer which take precedence of the
Plankinton bank claims, aggregate
$4,000 The inventory Of the Lappen
stock shows a total of only $20S000,S2.
The failure will not have a straw's
weight in helping one to judge of the
financial condition Of the country. 1t
was not caused by tight money mar
kct. or by a run, or by any of the
other causes which may legitlmately
affect the banking business.
The failure was owing solely to bad
banking.
The opinion that depositors will be
paid in full is first based on the hon
orable character OF the men who are
stockholders in the institution.
1t cannot be concealed that there is
criticism of the directors of the bank
because they have failed to keep the
president, Frank II. Day, in the lines
of sound banking So long as the de-
poSitors are paid in full this criticism
is likely to be confined to the street
corner.
One fact that causes universal regret
is that the name Of good old John Plan
kinton should be connected with such
a case, SO aifecuonately is Mr., Plan
kintons memory held that there would
be really much less sorrow today were
it the Jones bank and not the PIanEin-
ton bank, that found itself in a condi-
tion which made it necessary to close its
doors.
President Day has some defenders
who claim that a power greater than
he got him into the Lappen business
and that he was simply dragged along
10y it, just Us any other man. however
skilled Il banker he might be, would
hay been.
A meeting of the directors Of the
bank was held shortly before noon to
take action as to the future course to
be pursued. 1t was decided TO proceed
to a liquidation at once and Mr. vii
liam Planbinton was named as assignee
and took possession of the institution
Immediately after the close OF the
meeting.
1t developed that the bank is in pos
seS sion OF a large amount Of nonneSo-
table paper upon which an unsuccess-
ful effort to realize was made several
days ago. Besides this the assets are
large and valuable to such an extent
that il was said that no loss would be
occasioned to anybody interested
1t was stated that nuder the circm
stances the best possible thing that
Guild have been done was to suspend,
to attempt to readjust the a1gled af-
fairs in the ordinary run Of business
proved To be more than could be prop
erly accomplished,
May BE Discontinued.
While there was considerable differ
cnce of opinion the sentiment seemed
to prevail among the directors that the
affairs of the bank would be wound up
and the business discontinued.
The bond given 10y Mr.. plankinton is
for St.GO0,OOO, with John T.. Mitchell
David Ferguson and Chas. Ray rs sure
ties.
What effect if any the failure Of the
PlanN.ntcn bank win have upon the or
ganizltiou of the company intending TO
carry on the Happen enterprises is
query that is being asked on all sides.
Several Of the members Of the com
mitae Of the creditors having the mat
ter in charge were seen today and they
stated that the failure would not have
any direct effect upon the arrangements
now being perfected. The entire
amount Of stock had been subscribed, II
is said ana the only thing remaining
rs be done IS to decide upon a compe-
tent manager. It is proposed TO place
Mr. Tapnpu in charge uuOu a salary