Fort Worth gazette. [volume] (Fort Worth, Tex.) 1891-1898, 1893-04-01
NORTH TEXAS BANK.
Al Interesting Review Of the DoIunci Concern
From niuh Authority.

a chapter Of still greater interest than
any which preceded ID has just been added
to the history of the North Texas Ma
tioual bank Of Dallas. The new allega-
ti0ns are contributed by Phillip Lindsey.
an attorney OF Dallas and formerly Il
director Of the bun6. Mr. Lindsey who,
from his Former. association with the
management Of the bank should DC pre-
suned to have expert knowledge OF its
ass ats calculate that a liberal valuation
of the stock would not require q shrink
age of more than 80 or 90 per cent in
stend Of so per cent as tearfully Qck.
nowle0gcd by the present discredited
management of the bank Thcrc Is
CLEAN Of hope fer the shareholders in
this statement, though II is qualified by
Mr., Liudslcys further remnrk to the
effect that 70 realize this percentage
will require the most careful manage
ment' As was stated last week, the
bank borrowed S2JO.OOO from Mr.. Har-
die and bis associates turning over
the cream of its assets as security. How
this was accomplished by persons against
whom there are several judgments for
debt and who do not appear 10 have any
business standing in the community II
~ difficult TO explain. However that may
be, the negotiation was made through
q bank in the city OF Boston Mass. for
$2JO,tNO against which there was de-
posted collateral 60 the amount Of S40O.-
OOO. This agreement Is signed 10y 4. Il.
llardie MS authorized by the North Texas
National bank. This loan. - a. Walker.
cashier of the Schuster-iluE NutiOnl
bank of ~. Joseph. Mo-, who had be-
come II stakeholder I'm the hank through
q loan upon is stock. is willing 10 take
up himself or join others IN doing so.
There Is every reason 70 hope for Il
better outcome Of the present unfortunate
condition of the bank. providing the
shareholders viii keep away from per-
sons like Mr., Hardic who seems 10 be
In the confidence of the officials of the
bank, while the latter by systematic
effort TO eNuggernte tie depth Of their
own depravity as bankers, expect 20
come into possession of whatever value
in the banks resources still remains
As to the position Of tho officers word
should now be said That thcy have
cast disCredit upon the fair fame of their
city Is keenly felt in the whole busl-
ness community of Dallas, IL seems
! that they managed TO violate consider
1 able portion OF the requirements OF the
national banking act aud il Is the knOwl-
! edge OF their desperate situation which
makes them eager for quiet settlement
upon the ruinous basis Of 20 cents on the
dollar.
Mr.. Lindsey estimates their debts to
the banks as follows:
Cashier Oldham, $50 shares which were
never paid for and returned to the bank.
President Blnnkenship. individual de-
| mand note, $4,000; Endorsed for friend,
| $4,000; guarantor for another friend,
| 10000; sundry indorser, $1,000.
Mr.. Lindsey adds that this is all now
| known TO the directory which seems TO
| hint at further disclosures. These facts
| We're studiously concealed from the di-
rectory; and il appears that they We're dis
! covered by National Bank Examiner
stone, who placed them before the comp
| troller. Nlr Hepburn wrote in return
| significant letter which he desired
should be Immediately placed before
! the board of directors, but which, says
| Mr.. Lindsey, was concealed from Us
| for three weeks" AZ the time of the
increase of the banks capital, the presi-
dent and cashier certified in accordance
! with the legal requirement that all OF the
additional stock was paid mp, whereas
| IN fact at that very moment, the presi-
| dent owed the bank $4,000, the cashier
| 100000, and the vic,-pres I'M.
| llNol, 100000 for the shares. viii n
these eminently precious rascals held.
| Perjury, incompetence. imprudence; these
| are embleinatic of this triumyirate OF
! intamy. Incredible IL seems, but Mr..
| Lindsey adds that he had
| been offered 40 per cent ON
his stock If he would pool issues
! with the band Of cormorants who are now
! IN possessionl Thus the duty of the
shareholders Is plain Let them submit
| their interests TO Mr.. Walker of st
| Joseph Mo-, or TO Myron Butman OF
| Saginaw. Mich, with the assurance TINT
| these gentlemen are of known probity,
! hnnncial responsibility and business sa.
| gacity. Let them see that this wretched
! affair is thoroughly ventilated; above all
let justice be done.-American Banker