St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1893-05-12
FORCED TO SUSPEND.
The Columbia National Bank, at
Chicago, Closes Its Doors.

Chicago, Closes Its Doors.
CHICAGO, May 1.-THE Columbia
National bank of this city suspended to-
day. The bank had Offices in the In
surance Exchange. The deposits were
Sl,400,0O0 and the capital 81 100000.
Rumors that the institution was in
trouble have been current for nearly a
week. 1t did business with
small country banks and was
not in esteem with the other
banking concerns of the city.
AS to the cause of the failure, those
who should know say that collections
on loans have been poor. The officers
of the bank are T. Everingham. presi-
dent; w. q. Bentley, vice president;
Zimri Diggins. cashier; John L. Green,
assistant cashier. Notices announcing
the suspension of the bank were posted
OH the doors, and few moments later
James d. Sturges, bank examiner, as
sumed control in the interest of deposi.
tors and under authority Of the comp
troller Of currency.
The Columbia National was reergan-
lied two years ago, out of the old United
States National bank. Estimates by
bankers intimate with its affairs make
WHO 14ooCto, 90, %OVsOUOi lluUll-
tiles, 81, 100000. A constant run on the
bank since the announcement of the
Chemical suspension decided the direct
OFFS to close the doors. A call for help
was made, but, as the bankers were
not bottled until this morning, INSULT
cient time was allowed for an investi-
cation and the request was denied. The
Columbia was not a member of the
clearing house. Zimri DWiggins, the
cashier of the Columbia, assigns as the
immediate cause of the failure of his
bank the suit which was brought
against 1t by the Sioux City Loan and
Trust company, which failed few days
ago. The Columbia was the Chicago bank
with which the Sioux City concern did
business, and their deposit in the bank
at the time of their collapse IN Sioux
City amounted to S35,U00. A draft was
drawn on the Columbia for this amount.
When the draft was presented by man
from Iowa the bank refused payment,
claiming that it bad loans outstanding
against the Sioux City company which
equaled the amount of their deposit.
Immediately on this refusal of the bank
70 honor the draft, the company entered
suit against the bank. The news of the
suit spread and caused a run on the
bank, which they were unable to with
stand.
A meeting of the officers and directors
was held this afternoon. and at its con
clusion it was announced that the bank
would probably resume business in
short time. Cashier Preston, OF the
Metropolitan National bank, through
which the Columbia National cleared,
said tonight that the failure was not
bad one, and that he saw no reason why
the suspension should be anything but
temporary.
WASHINGTON, May 11.-Comptroller
Eckels has designated d. A. Cook, bank
examiner for Illinois outside Of the city
of Chicago, to take charge Of the Column
bia National Bank of Chicago. He has
also telegraphed Hugh Young, bank
examiner for Western Pennsylvania.
residing at Pittsburg, to proceed at
once to indianapolis and take charge of
the Capital National bank, of that city.
Comptroller Eckels was today ad-
vised that the stockholders of the
Chemical National Bank of Chicago,
whose failure was recently announced,
will make good the impaired capital as
soon as the exact amount can be ascer
tanned, and the bank will resume bust
ness. Every cent, it is asserted, will be
paid, and it is understood that the de-
pOsitors at the worlds fair branch have
already been paid.