The Lamar register. [volume] (Lamar, Colo.) 1889-1952, 1893-08-05
WALL sT}EgT NEXT.
ss,.a...n New ,r1 saving. Bank.
DeciiI3 to Pay.

feveoteen New Abrk Savings Banks
DecliI4 to Pay.
The publication o4thc intended action Of
the savings banks AMI Institutions to put into
practice the law emitting them to sixty days
notice from depositrs o. intended with
draWais OF money lprecipitated a run on
the morning OF the 2dh Some of the banks
paid the amounts in full and thus sought to
restore confidence. Oilers required notice,
the time ranging frou ten to ninety days, ac-
cording to the pertd specified In the by
laws.
The meeting Of tn presidents at the I'm
migrant Industrial Savings bank Friday af
ternoon was called, said President James
Mcmahon of that bank, to consider what
action would be advisable TO relieve the
heavy drain that has been made since the
present financial depression commenced.
Each president was invited to give his eI-
perienee since the draia began and what, In
his opinion, should be done to stay IT, They
all agreed that the withdrawal of the deposits
was In much greater proportion than the
money coming In.
I'VE cannot do business said one, with
10000 being taken oct daily aud only si0,-
COO being deposited"
II was the eouceHsus OF opinion that the en-
forcement Of the sixty-day clause would be
the only relief The executive committee OF
the associated banks have been consider
Ing the situation Of the savings ba INKS for
some time. The Withdrawals OF deposits have
not been In large sums, but 1t has
been steady drain throughout the
month Of July. While there has not
been anything Ike run, the drain
has been constant and heavy, and the
cEsh holdings OF some OF the banks
were getting low. They found that 1t was
advisable to do something. They deemed it
better TO counsel concerted rather than indi-
viduai action. They bad choice between
the good and bad securities, which In the
present state Of the market meant n sacrifice
or the taking advantage Of their lawful right
TO require sixty days notice OF intended de-
Pos!t Withdrawals This, then, was advised,
and they have seat out notice TO banks
throughout the state.
Seventeen savings hanks were represented
in yesterdays meeting. representing s367,-
10000 aud a surplus OF si51, Sos, coo.
Chairman OF the committee, Presideu,
Rhoades, Of the old Greenwich bank. said
this afternoon;
''Our decision Is not bindlng on any one,
and have no doubt many will not avail them
selves Of the action Bat the stronger ones
Will, and vlll do so to Introduce the policy.
Ny bank Is Ia an excellent, sound position,
but on Monday shall lead the way.
I'VE bad the broad interests of the whole
financial community In mind when We came
TO cur conclusion. It Is said that the money
Withdrawn from the savings Institutions went
to.WsIl stree; and elsewhere IN investments,
No doubt small portion did go thither, but
I, is absurd to suppose that the people who
are depo.itors 10 our banks buy many securI
ties In Wall street
They hoard. and the greater part Of oui
each Losses was put in hiding and was of nj
use to Any one. We have OF late been send
ing to the down town banks and trust compa
niles every day or two for $50, 600, 600 and
10000. This made our drain eventually
drag Ga the whole money market Our &C
ton, or rather our advised course, will thu
put stop In measure to one hole In TIT
eommunity's eAsh resources. II our plan o.
formal announcement had been followet
from the nrst 1t would have caused no alaru
and no confusion