The herald., 1893-08-05
IT IS NOT AS BAD AS PICTURED,
City Bank Depositors Likely to
Get ALI Their Money.
Some Recent Inspired Articles Which
Had Little Foundation.
1t Appears ~ II There Was . Smooth
Scheme In Existence to Make
Things Appear Worse Than
They Really Are.

OF the City bank is bad one--a very
bad one-and there appears to be much
reason for the severe criticism of the
management which has been INDUCED
In come quarter. But there is another
side 10 the matter.
Many OF the recent publications in a
contemporary, notably the one Of yes
terday morning. bear the sarmarks Of
being inspired, for they have been full
OF erroneous and misleading statements
regarding the amount Of money that
deposltors are likely TO receive. There
is possibly q scheme existing to depre-
ciate what few assets the bank has, 30
that some one can buy them In cheaply.
or perhaps after short time de poaitors
will find that some person will offer to
buy in their accounts for song. The
situation, according to Receiver Brodt-
beck's own showing, by no means in
dicate that depositora will lose all of
their money, but that they will receive
large proportion of 1t, II not all.
There are number OF things about
the bank since IL Was closed that need
explaining and the HERALD expects
soon to throw some light on the matter.
There can, however, be no question but
that the depositors will do well to take
things into their own hands as soon as
possible, and under competent legal ad-
vice protect their interests. Meanwhile
there 10 no reason to allow any mali
cious or speculative interest to paint
things worse than they are, which il
bad enough.
A reporter called on Mr.. Childress
yesterday and obtained statement
from him which is given below.
AS will be seen Mr. Childress shows
from Receiver Brodtbeck's own state
ment that the depoaitors are assured of
30 per cent of their claims, and are
likely to get more. That is to say there
are assets In the bank to pay that much,
but il the "bear" movement is allowed
to continue, and further inspired articles
are printed the result may be disastrous.
The depositors will doubtless take meas
ures to protect themselves from any fur.
ther attacks of the nature rcferredto.
In speaking Of the matter Mr.. Child.
ress said: An
"The various reports, which have
been circulated 40 to the condition oil
the City bank seem to have produced
such q misspprshension OF ths assets az
to lead the depcsitorsi to believe that
they will realize only small per cent
age of their deposits.
"This opinion cannot be based upon
any report Of the assets made thus far.
The total liabilities of the bank, includ-
ing amount due TO depositors and every
other indsbtsdnssp amount to $ls4,-
205.94. Against that stand first $8l,-
413.07 good assets, which tho receiver
does not assume to criticize. This alone
provides for nearly 80 per cent. q tetsl
indebtsdnsss Of the bank.
"In addition TO that 10 the second
item OF doubtful and worthless assets oi
SITE, ,1l1.l4, out OF which Aertainly q
respectable sum OF say, even 10 pc,
cent should be realized, say $4,000.
would dislike to believe that any such
sum could be classed 40 doubtful OF
worthless, but as don't know what
assets go to make np the $l72, ,O0C
named, am unable to gay Just how
much could beirealixeds L t7A
''In addition to thias is the real estate
conveyed to the bank, which the re.
ceiver values at $4,000. 1t will be seen
that the first and last Of theae items
leaving out any estimate OF thu claims
marked doubtful at 4 worthless q will
nearly pay depositors Id fnlE
'In his estimates as given above, nj
account. as 1 understand it, is taken o
bank vaults and fixtures, which vii
realize several thoussnd dollars, in fact
the safe deposit vaults have since beer
sold for $500 cash.,
II believe the receiver's estimated
value of assets above quoted to be &
conservative that they will be foune
,, very much below rather than above tn,
realizing value. In the above I hav,
confined myself to the very conserva
tive estimates of the receiver, and the,
show that the depositors may count OF
receiving nearly or quite dollar for dol
lar. But my own estimate of value O
assets, based upon my knowledge O
them and my opinion OF what could b
realized on them in the ordinary cours
of business without the necessity of sac
rifice, was at the time of the banks fail
ure very much larger amount.
II wish to say emphatically that tn
indebtedness of W. 7. and A. D. Chill
dress, corporate or single, direct or indi
rect, is attributable solely to the guar
antee Of the old assets of the Childres
I Safe Deposit bank and the terribl
| ahriukaoe in vaIua which thew in cor,