The evening world., 1893-12-21

State OF New YORK. County Of New York. So:
The officers Of , the bank are Arthur
b. Graves, President; William ]. Gard
ner, Cashier; william Thorp. Notary;
] Directors, Arthur b. Graves. Henry F.
Hitch, Joseph H. Parsons, John straiton,
william H. Akin. william ]. Gardner,
George n. Sheldon, l. c. Lathrop. John
ID. Barrett. 49, q .rS iE9e
A member Of the Clearing House said
The closing of the st. Nicholas Bank
does Dol. surprise any of, us. Some time
, z the bank had to reduce its capital.
and sanee thes failure of the Madison
Square Bspk y has been known to be In
q weak condition. / believe, neverthc.
less, the bank will make a fair showing.
and that deposltors will be paid In full"
The st. Nicholas Bank sent Its checks
20 the Clearinghouse this morning at
h usual hour. and was all ready to
10 through the regular routine, when
word was received by Manager Sherer
from Supt. Preston that the bank would
not open to-day.
He Immediately notified the clerks not
20 complete the exchanses.G and the
checks sent in by other banks on the
st. Nicholas were returned to them to
hold for future developments. sa'
Al officer. OF the St. Nicholas Bank
said TINS, morning that the action OF the
Clearinghouse Committee and the State
superintendent in closing the bank was
entirely unexpected by the officers. and
declared that the condition Of the bank
did not warrant any such procedure.
which was characterized as an arbitrary
action.
"a T-Hn ~ ynt,o hn Cnth had In
formed Supt. Preston that they thought
the banks capital was impaired. and,
therefore. refused to clear for It untii'a
thorough examination OF it's affairs had
been made.
The Superintendent thereupon closed
the bank pending its examination.
This morning. he further stated. the
bank would have had a credit in the
Clearing-Hou rus II It's checks had gone
through.
There was nd trouble OF any kind with
stockholders or creditors, including de-
positors. Nor. was f'there the. slightest
question that depositors would be paid
In full, and a very large percentage of
the stock, II the bank was finally closed.
ment that AFFAIRS, # the Madison Square
Bank were not Involved with those of
the st. Nicholas, George p. Sheldon. n
director.of{ the latter institution. made a
statement directly to the contrary.
Mr.. Sheldon is President OF the Phoe-
nix Life Insurance Company, OF Brook
lyn; Of, which e9rpSFat,9n PTesidsn.
found at 1.-The Insurance C~ompany,,s gen
eral. office, AZ Cedar street, He did not
seem,,sat all disturbed, and when asked
close, laid %candidly IT, was due TO com
plications arising out of the Madison
square Bank, failure,
'It'owed the st. Nicholas $iS0,e0o on
secured collateral amounting to $3.50, 900,
which partially secured us said he.
Our counsel, ,Messrs. Buckly, Stone 4
to the ddllsidend of q 3 per sre cent ert''' decla s'sd
by the receiyers, upon the entire amount
OF s4s0,oQ. This they recognized On the
sdyiee q their a.s9rneySsi and SSHld
make up the difference between the
collateral and the original Indebtedness.
Had We secured this money yester-
day, perhaps all would nave been well.
We VIII .lose nothing through the Madi-
son Square Bank. and neither depositors
nor stockholders will lose one penny
by the CLOSING, OF our baak. l do not
regard it as "a failure. but more in the
light ,of a liquidation"
te-Presideat 'Lathrop, of the 81.
Nicholas Bank, addressed the members
of the Cotton Exchange from the ros-
trum on the subject of the closing of the
bank.
lie C|enOunCeu the dCtlOn OF the sank
Examiner as arbitrary. and gives his
assurance 70 the members that there Is
no scandal or irregularity connected
with the bank. and that all depositors
will be paid in full.
All the clerks Of the bank were sent
home after II o'clock. and at that hour
all the, officers and directors had arrived
and were in consultation with the State
banking officials.
Checks certified by the S.. Nicholas
Bank yesterday were thrown out of the
~ q - .f- 40 IGNaEA Ii
This led TO unexpected results in Ger
tain cases.
For instanceaa house which received a
check yesterday. aud preferred to have