The sun. [volume] (New York [N.Y.]) 1833-1916, 1893-05-16
RATHER PANICKY OUT WEST.
a RON ON a SOLID MINNEAPOLIS
SAYINGS BANK.

hno rNorthNsstcru eurrontl LOAN COMPANY
Very shaky, but Hopes TO Pun Through
-Neher - Carpenter, Troy BANKERS, Close
Their Doors as . Result OF tho North
westerns Diiemma-The Farmers and
Merchants state bank OF Minneapolis
suspends Payment-A Denver Banker
with n Lot OF New York Creditors Fails.
M%rNEEAroLIs. May 15.-This morning there
we're twenty people In front OF tho Farmers
and Mechanics Bank before It opened its
doors. and later the crowd increased until a
full-nodged run was In progress. But stored
away In o back room was $1,000 900. while in
the vaults was stored So OO 900 in bonds.
which will tonight be shipped to New York to
be converted into cash. The bank is prepared
to pay every dollar to its depositore. The
other banks have rendered assistance.
which has not been needed. and in
stead. Of being q loser by the run
the bank will be the gamer to tho extent Of
S150.000. as there is due on the deposits four
and q half months accrued interest which the
depositors forfeit by Withdrawing their funds.
The bank 10 so we'll prepared for q run that It
does not insist on the rule which requires that
notice OF sixty days be given Of the wal
Of deposits.
Aside from the presence Of a vast crowd Of
onlookers. there were no scenes worthy Of
especial mention. The depositors who with.
drew their money were mostly the smaller
ones. Many OF them wero teachers in the
public schools who made a rush for the
bank as soon as the boil rang for the
noon hour and were 80 intent on getting their
money that in many cases they did not return
to tho school building 10 attend to their after
noon duties. At the close OF the banking
hours notice was given that the bank would
DO open at o o'clock tomorrow morning.
There were 200 people in line at this time.
During the day the bank paid out 500. 900.
and received on deposit nearly SIS. 600. The
Farmers and Mechanics Bank is one OF the
Oldest banks in this city. and 10 as solid As O
rock.
Tho money strin gency in the East and the
demand from that quarter for money intrusted
to the Northwestern Guaranty Loan Company
for investment has resulted In the serious
embarrassment OF the company. It has not
suspended yet and may not be obliged to do
so. but 1t is feared 1t will be compelled to do 50
in q few days This company was organized
In 1884 by Messrs. Menaee. Bull and Channell.
with $1,000 capital. which has since been
increased to 81. 250.0O0. It has done an ex-
tensive business In bonds, mortgages. guar
anteeinE paper. IS we'll as other securities.
Much OF this paper now. while we'll
secured. cannot be realized on owing to the
present none stringency. and for this rea-
son the company Is unable to meet It's obliga-
lions. The creditors are mainly Eastern peo-
pie. and while tho failure is damaging to
credit eastward tho losses do not fall uron
local people outside Of the stockholders
The officers OF the company are: L F.
Menage. President: Thomas Lowry and Will
liam E S~treeter. yice-Prssidsnts: F. J. Per-
cival. Secretary: G. J. Robinson and H. W..
Cole. Assistant Secretaries: 8. N. Houghton.
Superintendent OF Loans: +. R Chase. Cashier.
The company IL about ten years old and has
q capital stock Of s1.250.0oo. For several
years the company doated paper. II took coll
lateral sufficient to cover tho psper and then
s sSs sois: . RssRs;sHss .S 81 t6S dps y 'i,. All dd sSI Il! I.
market has made It i%Po..ible to take Up q
realize or the oollateraL: Il 6 reported to:
ii A. Ss'l fsi4 s w! e.. q i M ssSss; Eill HAL sIds i SSsi
has ; nns's5 led Payment The following notice
""Pondine q run this bank has suspended
payment. Expect to ro..qb%Hf : ip a few asSs:
$1,000. it has been looked upon As weak for
: ss%s 'a%si AND %hI sS 'is It + Is SslI L :sa vii 81 Slt s9s
only temporary.
TROY BANKERS IN TROUBLE
Troy. May. 15.-The banking and insurance
doors to-day. The arm are the local agents gent Of
s ssssf TSi e sSisy n afstsS sssSt s Sif S5 S 49, = III h :
director and Vico.President Of the Northwest
sTn; and ate after oI his death de- r. his place in r The
iSdea"Sn the he cashier siht%% 81 the MS fr msq but e thus @. far AZ
bee. s'a msds. Mr. +! ga dsrp ssssss said Ss dr tbst aithi has q
reasonable time the Northwestern Guaranty
n hSsn in fa Hrn sn %ill d +. e SSls to S nsy re ssiI ns9 % Cd
t ma present .S.s III snS %1n,.";as ti 81 hIs irp: i;
by the, inability to secure ready money.
the Vest, and. In TACT, ali over the country.
He said that the securities for which the nrm
company again resumed business.
The Insurance branch Of tho firm OF Neher
4 Carpenter will resume business tomorrow.
THE EMIcA NATIONAL WILL REOPEN.
The Chemical Natignal Bank EiI! be- re.
Is still in charge and will offer no objection to
i pni ssPsse saia: sound condition President
I've have ARRANGED to pay all demands in
been agpointed to perfect the plan for rssump-
t ma.. n @hHt The plan is we are not ready to
Bank EIsmlner Cooke would not talk re.
r Il: gstu tsst to Wifi f'E :. s snB@ 81 tns d ts ths S e IL.
t~roller Of tho Currency. saying that, any In
as to Its composition could only be
secured at Washington.
Theirs is g story out 70 the eject that Bank
standing the interview II which the Bank Ey.
had long .bssn aware of the "siokIy con-
dltlon" OF the Columbia Bank. It is re-
late % tho Last week IN April stuIsls mailed
81 the. Currency. ia which he reported the
Columbia National in good condition and said
The WHOLESALE paper house Of the Godfrey
q Clark 1 patp9Sr r. C9%psRy; r. 3 sS3 Filth nysala,
satisfy a ss1Ns%Sptio%Pss Issued on ePts for
bureh, Pa. May, is, 1898, and are
and 70 Eilsa, (. Godfrey for sl.s5os. A wSosc
frey \ Clark Paper Company has Its main
8 6 IL pitt:sIrFh' where q paper bag fac
pess here 10 a branch Of the Pittsburgh house.
II deals exclusively in heavy wrapping paper